The UK has taken a major step towards a clean energy future with the launch of the National Energy System Operator (NESO), set to begin operations on Tuesday, October 1. This new public body, established through a £630 million deal with National Grid, will manage the planning of the country’s electricity and gas networks, advancing the government’s mission to achieve a clean energy transition by 2030.

The government has secured an agreement with National Grid to acquire the Electricity System Operator, which will be brought under public ownership to form NESO. Chaired by former E.ON CEO Dr. Paul Golby, and led by Chief Executive Officer Fintan Slye, NESO will play a pivotal role in accelerating the deployment of renewable energy and ensuring long-term energy security. By connecting new generation projects with the national grid, NESO will make clean, homegrown energy more accessible and affordable for bill payers.

Energy Secretary Ed Miliband hailed the move as a milestone, stating, “The new National Energy System Operator has a huge role to play in delivering our mission to make Britain a clean energy superpower. We need to move Britain off expensive, insecure fossil fuel markets and onto clean, cheap homegrown power that we control.”

Strategic oversight for clean energy

Currently, there is no single body responsible for the strategic planning of both electricity and gas networks. NESO will fill this gap, offering integrated oversight that will streamline planning and break down barriers between sectors. It will enable investors to confidently build new energy infrastructure as part of the UK’s wider clean energy strategy, ensuring security and resilience across all energy systems.

Paul Golby, NESO’s Chair, said: “NESO will support a more integrated and coordinated strategy to meet the unprecedented challenges of climate change, ensuring energy security and keeping bills low.”

A key role in achieving net zero

As part of the government’s push to achieve net zero, NESO has already been commissioned by the newly established Clean Energy Mission Control to provide advice on hitting the 2030 clean power target. The body will also collaborate closely with Great British Energy, the government’s new renewable energy initiative, and other key players to ensure a smooth transition.

John Pettigrew, Chief Executive of National Grid, welcomed the collaboration, saying, “We look forward to working together with NESO to continue driving the UK’s energy transition forward at pace.”

NESO is expected to play a crucial role in delivering clean energy infrastructure, advancing technologies like hydrogen and carbon capture, and ensuring the UK’s energy system is resilient and future-proof. By planning for a secure, decarbonised energy network, NESO will not only support the government’s net zero goals but also work to keep energy bills as low as possible for consumers.

Ofgem and NESO collaboration

Jonathan Brearley, Chief Executive of Ofgem, praised the creation of NESO, stating: “The setup of NESO is a huge step forward in ending Britain’s exposure to volatile energy markets and getting clean, renewable power to every single one of us.”

With the launch of NESO, the UK is positioning itself to become a global leader in clean energy, with a firm commitment to reducing its reliance on fossil fuels and building a sustainable, affordable energy system for the future.