What this stakeholder priority is about
This priority is about how we help the UK achieve net zero targets by innovating to advance the decarbonisation of electricity supply, transport and heat at the lowest cost to consumers.
We do this by:
- innovating in the reinforcement of the electricity transmission network
- enabling competition in networks and non-network solutions
- collaborating across organisational boundaries to enable whole system solutions
- proposing options that enable the decarbonisation of power, transport and heat
- proposing uncertainty mechanisms that ensure our plan can flex to deliver net-zero.
What you can find in this chapter
- What this stakeholder priority is about
- Track record and implications for T2
- What our stakeholders are telling us
- Our proposals for the T2 period
- The justification of our proposals
- Our proposed costs for the T2 period
- How we will manage risk and uncertainty
End to end description of stakeholder engagement and how it has influenced our plan
Engagement Log (Whole system - non-network companies)
Engagement Log (Whole system - DNO&ESO)
Engagement Log (Future of Transmission & Managing Uncertainty)
Investment decision packs set out the technical need case, options assessed and proposed investments.
Protection and Control Coordination
Facilitate competition (pre-consents)
The cost benefit analysis below demonstrates the investment modelling for supporting our decision through various options considered.
Cost benefit analysis on enable the on going transition to the energy system of the future
Our approach to whole system thinking and proposals for improving whole system outcomes
Stakeholder feedback:
You want us to provide a network that enables the transition to net-zero by 2050 at lowest cost to consumers.
Proposal | T2 baseline | Consumer benefit |
|---|---|---|
| We will innovate and invest in the network reinforcement to facilitate a changing energy market and keep costs down. | £507.1m | Decarbonised economy Lower system operation costs |
| We will invest in protection and control coordination studies, changes required to maintain security of supply and identify future requirements for zero-carbon operation by 2025. | £31.1m | Decarbonised economy Reliable supply |
| We will invest to facilitate closure of conventional generation and secure easements to maintain access and minimise costs. | £134.7m | Decarbonised economy Lower network costs |
Stakeholder feedback:
You want us to facilitate competition and new business models to minimise costs.
Proposal | T2 baseline | Consumer benefits |
|---|---|---|
| You want us to facilitate competition and new business models to minimise costs. | £181.5m | Lower network costs Lower system operation costs |
| We will innovate by facilitating non-network solutions. | £0m | Lower network costs Lower system operation costs |
Stakeholder feedback:
You want us to deliver electricity whole system solutions across network companies.
Proposal | T2 baseline | Consumer benefits |
|---|---|---|
| We will optimise with the ESO through a new mechanism to reduce whole system costs and installation of system monitoring to allow for zero- carbon operation by 2025. | £48.0m | Decarbonised economy Lower network costs |
| We will optimise with DNOs by identifying whole system opportunities, establishing an ongoing process and investing in five reactor units. | £30.7m | Decarbonised economy Lower network costs |
Stakeholder feedback:
You want us to enable all energy whole system solutions.
Proposal | T2 baseline | Consumer benefits |
|---|---|---|
| We will seek to implement a suitable anticipatory investment mechanism that allows solutions to unlock rapid decarbonisation to net-zero 2050. | £0m | Decarbonised economy Lower network costs and barriers to entry Clean air |
| We will provide strategic network options that have the potential to help overcome some of the challenges of decarbonising at lowest cost to consumers. | £0m | Decarbonised economy Lower network costs and barriers to entry Clean air |