UK Power Networks is to develop a smart, flexible energy system to help keep costs down for consumers.
The group is transitioning from a Distribution Network Owner (DNO) role to becoming a Distribution System Operator (DSO). That means instead of just managing the power flow in and out of businesses and homes, it will now also manage a system of separate distributed generation (DG) networks.
In response to a call from Ofgem and BEIS, UKPN has set out a series of innovative plans, priorities and commitments to ensure it can keep delivering reliable and affordable power for more than eight million properties in the East, South East and London.
The group says it will build on its plans to develop smart charging, further develop its commercial and technical capabilities, continue to improve how it uses low carbon generation and support local energy innovation.
Around 8.5GW of energy from renewable DG sources has already been connected across UKPN’s service area.
Suleman Alli, Director of Safety, Strategy and Support Services at UKPN, said: “We have already begun to transform our business.
“The roll out of active network management of DG has already allowed 330MW of generation to connect saving of over £100 million to DG customers. Research shows that a smart, flexible energy system has the potential to save customers up to £8 billion a year by 2050.”