UK – The Department for Business, Energy and Industrial Strategy (BEIS), the Office of Gas and Electricity Markets (Ofgem) and National Grid Plc. have signed a multi-party statement with National Grid ESO to create the Future System Operator.

The UK Government and Ofgem are committing to proceed with the creation of a new, independent future system operator (FSO). As a newly independent body, the FSO will take an increasingly significant role in shaping the energy system and driving forward competition.

The FSO will build on the track record and skills of the ESO, enhancing roles and responsibilities with the goal of unlocking additional value for consumers and progressing towards the UK net zero goals.

Fintan Slye, Executive Director, Electricity System Operator, said: “We warmly welcome today’s announcement and together with Government, the regulator, National Grid plc, and industry we will help deliver a reliable and clean transition for all.”

“The ESO will continue working closely with all parties involved in the coming weeks and months to enable a smooth and successful transition,” Slye added.

Depending on a number of factors, including legislation timings and discussing timelines with key parties, the FSO could be established by, or in 2024. The UK Government will be working closely with Ofgem to take preliminary steps to smooth the transition.

Source: National Grid ESO; BEIS