Ofgem's response to National Grid's Winter Outlook Report 2014/15

Publication date
28th October 2014
Information types
Policy areas

We welcome that National Grid is finalising contracts with power stations to provide extra reserve to help it balance the system if needed. This is a sensible precaution to take account of market developments including uncertainty over power station availability and this is why Ofgem approved new tools to help National Grid manage these lower margins from this winter. National Grid expects these contracts to be in operation for 1 November. 

We are confident that National Grid has the right levers to keep the lights on and maintain a risk of customer disconnections which is better than the reliability standard set by government. However, given the tighter margins there can never be any room for complacency and National Grid and the industry must remain vigilant at all times.