SSEN and Flex Assure’s final HOMEflex report calls for fairness, transparency and consumer protection across domestic energy flexibility market

SSEN and Flex Assure are calling on energy flexibility providers to adopt their newly-announced Code of Conduct and support the creation of a compliance scheme ahead of the government’s expected regulation of flexibility service providers in 2027.

The HOMEflex project, a groundbreaking initiative by Scottish and Southern Electricity Networks (SSEN) Distribution and Flex Assure, has released its final report which outlines a comprehensive Code of Conduct, along with a proposed compliance scheme aimed at ensuring fairness, transparency and consumer protection in the UK’s rapidly growing domestic energy flexibility market.

Funded by the Network Innovation Allowance (NIA), the HOMEflex project responds to critical concerns about consumer trust and protection in a market which is projected to save the UK up to £14.1 billion annually by 2040. In compiling their report, the project engaged extensively with consumers and industry stakeholders to develop standards addressing key risks in the domestic flexibility landscape.

In its report, HOMEflex outlines a full set of recommendations for operating a voluntary compliance scheme - timely guidance as Flexibility Service Provider (FSP) licensing regimes are expected to come into operation in 2027. With this in mind, a domestic compliance scheme could be seen as a useful way of preparing the industry for best practice prior to the introduction of formal regulation. 

Key governance structures of the domestic compliance scheme include:

• Accountability for FSPs with a primary customer-facing relationship.
• The incorporation of independent oversight through an oversight committee and a board of directors.
• Adequate complaint and dispute resolution mechanisms and auditing of compliance scheme members through third party entities.

SSEN’s Future Networks Innovation Project Manager, Simon O’Loughlin, said:

“With HOMEflex already recognised as best practice for domestic flexibility across Great Britain and further afield, it’s fantastic to see this work by Flex Assure and the engagement by the Centre for Sustainable Energy come to fruition as the framework that will take HOMEflex to the next level. 

“Every electricity network cares about protecting customer interests and making sure everyone can benefit from flexibility and low carbon technologies. Procuring flexibility services from companies which have these considerations for customers, and abide by the HOMEflex principles, is a great way for embedding fairness for the low-carbon future.”

Charlotte Roniger, Scheme Manager at Flex Assure, added:

“We’re delighted to publish HOMEflex’s final recommendations report marking a pivotal step toward a fair, transparent, and consumer-focused domestic flexibility market. This work lays the foundation for a voluntary compliance scheme that will help prepare the sector for upcoming government licensing.

“As the UK moves toward a net-zero future, ensuring robust consumer protections and industry accountability is essential to unlocking the full economic and environmental potential of domestic flexibility. 

“By adopting the principles and structures outlined in this report though an interim compliance scheme, stakeholders can empower consumers to make informed decisions in an increasingly complex energy landscape.”