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The role of future energy networks
Ofgem has just published a report by Frontier (Europe) that looks at how network regulation might respond to the need to deliver a secure low carbon economy. This is part of the Ofgem's RPI-X@20 review, which is looking at a broad range of options for regulatory reform.
Frontier's report asks whether the current structure and role of electricity and gas networks could form a barrier to the effective regulation of future networks, given changes such as an increase in renewable generation or a rise in the use of electric vehicles. Responding to such changes, and to the fact they are uncertain, presents new challenges for network regulation. In particular, it may mean there are more options for networks to trade-off investment in network assets with active management of demand and supply. The report concludes that some changes may be required to ensure they are able to do this efficiently.
 frontier news - Ofgem Future Role of Networks 250909.pdf |
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