Electron partnership to maximise flexibility
Today we are announcing a new strategic partnership with Electron, the provider of next generation market platform ElectronConnect, that will increase the volume and value of flexibility for both system operators and flexibility service providers (FSPs) by enabling market interoperability.
The collaboration between our Distribution System Operator (DSO) and Electron will see Electron integrate its next generation flexibility market platform, ElectronConnect, with our innovative Market Gateway. This will give FSPs greater choice over how they access and participate in flexibility on our electricity distribution network, lowering barriers to entry and increasing market participation.
ElectronConnect enables system operators to procure flexibility from multiple technology types, network levels and time scales, from a day-ahead to a year-ahead. For FSPs, ElectronConnect streamlines the process of participation in flexibility markets, offering an end-to-end solution from onboarding through to bidding, dispatch and settlement, all delivered through an intuitive web-based UI and set of open APIs.
Network flexibility enables our DSO to effectively manage peak-time demand. This is helping to connect more customers to the network, whilst simultaneously keeping customer energy bills to a minimum as we deliver longer term investments to the infrastructure.
In the past year we have deferred more than £80m in network reinforcement works in the electricity distribution network through the use of flexibility services. For customers, if they participate in flexibility, they can potentially benefit from lower energy bills, depending on the rewards offered by their supplier.
This strategic initiative illustrates how we are promoting an open ecosystem, demonstrating interoperability between market platforms. The aim is to make it easier and more valuable for FSPs to participate in flexibility, ultimately increasing adoption across National Grid’s electricity distribution network. The standardisation that underpins this ecosystem will also promote greater transparency and accessibility of data – building on the existing initiatives led by Open Networks and the Department for Energy Security and Net Zero, which all aim to improve decision-making and alleviate operational bottlenecks for both system operators and FSPs.
Jo-Jo Hubbard, Electron CEO and co-founder, said: “We’re excited to partner with National Grid to help extend the volume and value of flexibility delivered into its distribution network. National Grid's Market Gateway is a unique solution, standardising key steps on the flexibility journey, simplifying FSP participation and promoting interoperability between market platforms.
“This approach is something we're strong advocates for at Electron and sits perfectly alongside the open ecosystem-led design of ElectronConnect. This integration is another example of the interoperability we are building into ElectronConnect to help network utilities across the UK, EU and US unlock the value of low carbon flexibility at scale.”
Helen Sawdon, Flexibility Commercial Manager at National Grid DSO, said: “Our flexibility partnership with Electron is our latest step in making participation in distribution network flexibility more accessible for a wider range of customers. We know that customers want flexibility services to be easy to access and to understand. Strategic partnerships like ours with Electron are key to reducing the barriers to flexibility and increasing uptake.”