The Department of Energy Security and Net Zero (DESNZ) issued a notice last week (13 September) that the government has acquired National Grid’s Electricity System Operator (ESO).
From 1 October, the UK’s energy system will be under public ownership, overseen by the National Energy System Operator (NESO), which will be chaired by former E.ON CEO Dr Paul Golby. DESNZ says the NESO will work alongside Great British Energy to deploy renewable energy, helping to connect new generation projects with the electricity grid.
NESO has been established through powers under the Energy Act 2023, which sets out the responsibilities of the new public body to maintain the UK’s energy supplies, protect energy consumers and plan for an efficient clean energy system that is fit for the future.
The government agreed an enterprise value of £630 million to acquire the ESO from National Grid, subject to customary closing arrangements.
It will oversee the strategic planning and design of the UK’s electricity and gas networks, breaking down the silos which currently exist because the two systems are managed separately. Further, it will look to expand renewable generation, storage and other emerging technologies, such as carbon capture usage and storage, mapping out the UK’s future energy networks.
Golby, the newly-appointed chair of the NESO, stated: “NESO will support a more integrated and coordinated strategy to meet the unprecedented challenges of climate change, ensuring security of energy supply and keeping bills as low as possible.
“We will have a broad strategic oversight of both the electricity and gas systems, managing system planning, market operations, and ensuring that our energy infrastructure is secure, resilient, flexible, and future-proof.”
This article was originally published on our sister site, Current±.
