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Go ahead for regional energy strategic planning across GB

Go ahead for regional energy strategic planning across GB

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Regional energy planning is set to be undertaken across GB, mapping network upgrade needs in every part of the country by the end of 2027.

Under a new decision from Ofgem, energy plans are to be drawn up for nine regions in England and for Scotland and Wales, by the National Energy System Operator (NESO).

Each plan will set out what needs to be done in each area to protect security of supply, meet rising electricity demand and help to deliver a cost-effective route to net zero.

They will look at the building infrastructure needed for decarbonising heating and transport, industrial clusters and hydrogen plants.

They will also assess how local areas have different needs in terms of security of energy supply in response to extreme weather events such as storms.

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“The Great British energy system is experiencing unprecedented change as it transitions towards net zero. Regional energy strategic plans are a vital part of this change and will ensure local priorities and communities are put first,” said Akshay Kaul, director general of Infrastructure at Ofgem. 

“This is the first time that national and regional planning will be fully integrated – city by city, town by town, neighbourhood by neighbourhood – putting the right networks and generation in the right place, cutting duplication and delivering the best value for customers.”

In the decision, the activities of the NESO were confirmed as the regional energy strategic planner – a role awarded in November 2023 ahead of its creation in 2024.

This includes delivery of an overarching strategic energy plan, integrating the regional plans with the NESO’s strategic spatial energy plan and the central strategic network plan.

The methodology for the creation of regional energy strategic plans is due to be consulted on later in the year, with the first plans to be delivered by the end of 2027.

Broadly the plans will coordinate national, regional and local energy planning by modelling how to meet projected generation and demand in each region over a 10-year period, with multiple long-term options to reach net zero in 2050, based on the national strategic spatial energy plan currently being drawn up by the NESO.

Each regional plan will be overseen by a board drawn from devolved, regional and local government and including representatives from gas and electricity distribution operators and other cross-sector bodies involved in spatial planning or investment, with a mandatory 80% vote required to sign off the final document.

The plans will have an annual data refresh and full update every three years, alongside targeted reviews of electricity and gas network plans.

Julian Leslie, director of Strategic Energy Planning and chief engineer at NESO, adds: “As the body responsible for developing these plans we will work closely with local stakeholders and gas and electricity networks, to ensure that local communities play a central role in planning how they decarbonise and how their contributions support national strategic energy planning.”

As part of its duties the NESO has been charged to develop a transitional regional energy plan output by January 2026, which will feed into the DNO business plans for the 2028-2033 investment period.

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