For consumers, DSO will result in lower costs per unit of energy, opportunities for new markets for customers to buy and sell clean energy, and viable local energy solutions that will drive decarbonisation at the local community level.
Through enhanced DSO roles and responsibilities we will deliver new marketplaces for flexibility services. For consumers, DSO will result in lower costs per unit of energy, opportunities for new markets for customers to buy and sell clean energy, and viable local energy solutions that will drive decarbonisation at the local community level.
Getting familiar with some key DSO terms
New DSO services will result in lower costs per unit of energy, opportunities for new markets for customers to buy and sell clean energy, and viable local energy solutions that will drive decarbonisation at the community level. We’ve outlined the key enablers of this change below, which you will see referenced throughout this Action Plan.
The need for DSO is clear
The combined impacts of climate change and net zero legislation, and consumer demand for reliable, clean and affordable electricity, are driving a rapid acceleration of DER, millions of new EVs and a transformation in the way we heat our homes.
Networks will need to deliver substantially greater volumes of electricity to meet future demand, and fulfill our customers’ opportunity to make use of their own and community assets to decarbonise their energy, transport and heating and benefit financially from new markets and products.
DSO and DNO delivering together
Ofgem’s RIIO-ED2 (2023 – 2028) will be transformative for the UK’s energy sector, and we are preparing now for a rapid acceleration of renewable and distributed energy solutions, millions of new electric vehicles on our roads, a revolution in the way we heat our homes and a radical transformation in customer behaviour.
Future electricity networks will need to be capable of delivering at least twice the amount of today’s energy by 2035 to meet the government’s net zero plan. The solution lies in DNO and DSO co-operation and alignment: DSO activities will ensure data and sufficient network capacity is available when customers need it, while DNO activities ensure that the network is safe and reliable and operating with great efficiency.
Centralised generation model
Distributed generation model
