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UK Power Networks’ Distribution System Operator (DSO) is offering consumers ‘day-ahead flexibility’ in what is being billed as an industry first.
Working with flexibility market platform provider Epex SPOT, the new product will run daily mini-tenders to provide services for the following day, alongside the current twice-yearly flex tenders.
These mini-tenders allow flexibility providers to offer a more informed view of their availability and will also allow them to provide services in other areas such as wholesale markets and ancillary services.
It follows a trial which took place late last year in Lawford, Essex, where day-ahead flexibility was used to manage an area where future constraints were forecast.
UKPN explained: “As a hub for renewable generation and home to a growing number of flexibility providers, it served as a testbed for the first trial of (the) DSO day-ahead product.
“The trial successfully saw the UK’s first use of the day-ahead product at distribution level, with three flexibility providers responding to day-ahead forecasts of constraints produced by UK Power Networks’ DSO.
“The DSO worked with flexibility providers and the national system operator in summer 2023 to develop the product so that it maximised opportunities for providers to participate in both local and national services.”
The DSO added that the new day-ahead product is transitioning from a manual to an automated process which will communicate data with market participants’ own systems.
Alex Howard, head of flexibility markets at UK Power Networks’ DSO, said “Flexibility providers have told us that they want the chance to participate closer to real-time.
“We’ve responded by working with them to develop a solution that works for our company, flexibility providers and the wider system.
“As we now transition participants to the EPEX SPOT LocalFlex platform, I’m excited about scaling this up to attract new flexibility to DSO markets.”
In January 2024 Utility Week established its Flexibility Forum, in association with our strategic partner CGI, to help break down barriers to energy flexibility growth and provide an independent setting for sense-checking the direction of travel in flexibility market governance and regulation. The Flexibility Forum community includes stakeholders from across the energy value chain. Outputs from the forum to date include a report on the status of demand side flexibility markets in GB and a review of discussion at the Forum’s first meeting.
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