The UK has launched National Energy System Operator (NESO), the new TSO London said will guide Britain to a secure, clean and affordable energy future.
The government said the new organisation will have broad strategic oversight of both the electricity and gas systems, ensuring the country’s energy infrastructure is secure, resilient, flexible, and future-proof as the country decarbonises to reach net-zero.
“The creation of NESO is driven by an urgent need to unify and optimise Britain’s approach to energy,” it said.
“The current system, though effective in many ways, requires a more integrated and coordinated strategy to meet the unprecedented challenges of climate change, ensuring secure energy supply, and keeping costs manageable for consumers.”
NESO will bring together critical roles and responsibilities under one roof and will stand independent from both government and industry in delivery of its future work.
London said it has outlined new roles for NESO to support it in delivering a world-leading holistic approach to energy.
“This holistic, whole system thinking approach will sit at the heart of NESO’s work ensuring that the future challenges across a range of energy technologies, networks and economic sectors are adequately resolved and planned for,” added the government.
“While these decisions may not always be universally popular, they will be made with transparency and decisiveness, ensuring the best outcomes for the whole system and the whole of Britain.”
One of NESO’s first actions will be to deliver guidance to the government on the delivery of a clean power system by 2030.
“This target demands swift and decisive action to bring it to reality, but it is an achievable goal,” it said.
NESO chair Paul Golby added: ”Today is a significant day for the energy industry and for the country, the establishment of the National Energy System Operator is critical not just to the delivery of clean power by 2030 but to the delivery of net-zero by 2050.
“As we take on the new roles and responsibilities of NESO it is critical that we do so with humility.
“We won’t know all the answers by ourselves but by working together with government, the regulator, industry and wider society we can deliver on our primary duties to run a safe, secure and affordable energy system capable of supporting net-zero.
NESO chief executive Fintan Slye said: “NESO will sit at the heart of the energy industry ensuring that a holistic, whole system approach is taken in delivering decarbonisation across energy, heating, transport and beyond in order to delivery net-zero.
“NESO will act as a catalyst, but it is through collective effort across the energy industry and society at large that we will deliver an energy system that is secure, resilient, flexible, and future-proof.
Energy Minister Michael Shanks added: “We are on a mission to make Britain a clean energy superpower, and today marks a milestone in that journey with the launch of NESO.
“This new independent body will help to set a path to decarbonising our networks, giving the industry confidence to invest in a clean energy future and supporting skilled jobs across the country.”
“To protect billpayers, we must reduce our reliance on insecure fossil fuel markets and I look forward to working with NESO, alongside Ofgem, to deliver clean power by 2030.”