Helping you make sense of the energy and water sectors


In this insight paper we discuss:

This is the second in our series of “Future Networks” discussion papers. It builds on the background laid out in our recent “Setting the Scene” publication. The focus of this paper is on how the future roles of Distribution System Operators (DSOs) may evolve if flexibility exchange platforms became widespread, covering:

  • Definitions of the DSO role which have been proposed to date by industry stakeholders including government, Ofgem and network companies
  • The benefits of flexibility exchange platforms, and how those benefits can be maximised in the context of regional flexibility markets
  • Functions of DSOs in a future scenario in which flexibility exchange platforms are widespread

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Andrew Enzor, Cornwall Insight , Senior Consultant commented

"This paper discusses the great potential of flexibility exchange platforms to increase participation and reduce administrative costs of regional flexibility markets. To fully realise that potential, the DSO role will need to evolve to ensure platforms can operate effectively at all stages of the procurement processes, including signalling requirements ahead of need, establishing contracts and overseeing the operation of those contracts."