Source · Select Committees · Environmental Audit Committee
Recommendation 9
9
Accepted
Paragraph: 63
Grid flexibility offers substantial benefits through increased use of decarbonised consumer technologies.
Conclusion
The benefits to the energy sector of developing grid flexibility are substantial. These benefits are underpinned and sustained by increased usage of decarbonised consumer technologies such as smart meters, heat pumps and electric vehicles in ways which make best use of the energy supply.
Government Response Summary
The government is working with DESNZ and ENA to ensure developers can access a full range of connection providers, welcoming industry proposals for transmission level competition. They are also working with Ofgem and NESO to initiate the first competition for onshore electricity transmission network build.
Paragraph Reference:
63
Government Response
Accepted
HM Government
Accepted
Department for Energy Security and Net Zero and the Energy Networks Association to ensure that developers can call on the fullest possible range of providers when seeking to connect their generation facilities to the grid. Ofgem and DESNZ recognise the value that effective competition can have for connecting customers, in driving up standards and putting downward pressure on costs charged by connection providers. Connecting customers at distribution level already benefit from competition, where independent Distribution Network Operators (iDNOs) / Independent Connection Providers (ICPs) compete on the provision of contestable works with traditional DNOs. We recognise the potential for competition of this nature at transmission level, however we must ensure the conditions are right. We welcome proposals from industry on how this could be achieved through the code modification process. More generally, Government is working with Ofgem and NESO to begin the first competition for onshore electricity transmission network build as soon as possible. Price controls and investment