The Department for Energy Security and Net Zero (DESNZ) consulted on proposed changes to the Capacity Market (CM) to modernise Capacity Market Rules and improve the participation and delivery assurance of consumer-led flexibility (via Demand Side Response mechanisms).
Alongside this, the Government also ran a call for evidence on improving consumer-led flexibility in the Capacity Market, by improving categorisation of Demand Side Response technologies and the assurance processes surrounding testing and delivery.
Both the consultation and call for evidence closed on 17 February 2025.
A summary of our response
We fully support the Government’s plans to accelerate reform of CM arrangements ahead of longer-term reform through the Review of Electricity Market Arrangements (REMA).
Some key points from our response:
- We’re supportive of DESNZ’s proposals to improve how the CM arrangements accommodate the growing diversity in technologies, including consumer-led flexibility, seeking to participate.
- We encourage DESNZ to think carefully about ensuring proposals get the right balance between ensuring assurance remains robust but also pragmatic and proportionate when accommodating of diversity in technologies.
- We will work with DESNZ, LCCC and industry to finalise and implement proposals in a timely manner.
Read our response in full
Further information
- Consultation on proposals to modernise Rules and improve participation and delivery assurance of consumer-led flexibility (GOV.UK)
- Call for evidence – Capacity Market: consumer-led flexibility (GOV.UK)