We have published our response to Ofgem’s call for input on the future of distributed flexibility.
In our response, we agree with Ofgem that change is needed and support their proposed vision for distributed flexibility. We acknowledge the significant role that distributed flexibility will play in the future energy system and recognise that it is a critical enabler in achieving net zero in the power sector by 2035 and throughout the economy by 2050. In regards to the proposed common digital energy infrastructure, we note that Archetype 3 – Medium ‘Exchange’ represents the most feasible option in terms of delivering Ofgem’s three critical functions in a timely and cost-effective manner. We emphasise the importance of utilising existing energy infrastructure and assets, such as the Data Integration Platform (DIP) rather than implementing a “new build” infrastructure. We believe that building new infrastructure would prove challenging to deliver, in addition to being both more costly and slower to implement. We finally recommend the establishment of independent governance for the emerging infrastructure and that Elexon could deliver independent and transparent governance services to the emerging infrastructure.