The energy sector is changing. Generation is becoming more distributed and variable, and consumers are benefitting from new ways to monitor and manage their energy use. There are opportunities for new business models and technologies to emerge, and for existing businesses to develop, to deliver better services for consumers.
To make the most of the opportunities offered by these changes, and to deliver against our carbon commitments, while providing reliable and secure supply at minimum cost, we need to consume and produce electricity more flexibly.
We propose to initiate work, focused around priority areas, to make sure that regulation supports an efficient, flexible energy system, which delivers benefits for consumers. We will progress these work areas as part of a broader programme of work with the Department for Energy and Climate Change (DECC), intended to manage the transition to a smarter energy system. We welcome your engagement over the coming year.