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ESO begins replacing Balancing Mechanism

The Electricity System Operator (ESO) has begun its replacement of the Balancing Mechanism with a new platform to support the delivery of net zero.

To “revolutionise the Balancing Mechanism”, the ESO has launched the first stage of its new Open Balancing Platform which, as well as replacing the Balancing Mechanism by 2027, will also replace the Ancillary Services Dispatch Platform which is used to procure the ESO’s operational reserves and contingency resources.

This first stage, said the ESO, will “unlock new levels of precision” for its control room and enable Bulk Dispatch – a new tool allowing engineers to send hundreds of instructions to smaller Balancing Mechanism Units and battery storage units sites at the press of a button.

“This new system will enable ESO control room engineers to choose options from a pre-selected and optimised list of units to meet a network requirement. This will greatly reduce the time taken to instruct balancing mechanism units and reduce the number of manual instructions required from the control room. This will drive increased value for consumers by increasing the optimisation of network balancing, speeding up the process and reducing costs,” the ESO said.

It further explained that by optimising control room instructions from the new platform, technologies like battery storage will be able to play a more active role in balancing the network.

Future stages of the platform will be delivered across 2024 and 2025 to incorporate a wider range of technologies into the Bulk Dispatch process, as well as the transfer of existing response and reserve services from the Ancillary Services Dispatch Platform.

Craig Dyke, director of system operations at the ESO, said: “The Open Balancing Platform is critical to delivering the balancing system we need to meet net zero.

“Further diversification of generation assets, both in technologies and size, require that we deliver more flexible solutions to increase efficiencies and competition, to support the delivery of our zero carbon ambition and to create savings for consumers.

“By enabling transformation in our balancing capabilities, the ESO can continue to deliver world class reliability and security, both now and in the future.”