The UK National Energy System Operator (NESO) has said it will update its Demand Flexibility Service in the coming months to introduce measures to encourage consumers to increase their energy consumption during periods of excess electricity supply.
It said that as the UK is decarbonised, weather-variable renewables make up an increasing proportion of the supply network, resulting in periods when supply can significantly exceed demand, especially in the summer when solar generation is at its peak and demand for heating is negligible. It believes energy firms might offer reduced rates during such events – typically lasting 30 minutes to an hour – to help absorb some of the excess power in the grid, with some projections that in certain situations the energy rates could become negative.
NESO said it can also export excess energy to neighbouring European countries, store energy in batteries or hydropower systems, and work with generators to adjust output. NESO said that it was confident that the UK’s energy system will withstand pressures on the grid despite recent shocks to oil prices brought about by the war in Iran.