ESO welcomes Ofgem consultation on new Regional Energy Strategic Planning role

Ofgem has published a new consultation setting out further details on a new role for the ESO to take on following its transition to become the National Energy System Operator’s (NESO). As set out by the consultation this newest future role, will be to develop Regional Energy Strategic Plans (RESPs) to support the transition to net zero. 

This is the first industry consultation after Ofgem awarded NESO the RESP role in November 2023 and is a significant step to determining the final design and how it will function. Ofgem has set out this should embody the following guiding principles: place-based; whole system; vision led; proactive. 

We remain excited to be undertaking this role, integrating new regional energy plans with the existing strategic energy planning landscape. Working in concert with the Strategic Spatial Energy Plan (SSEP) and the Central Strategic Network Plan (CSNP), RESPs will ensure the views of local stakeholders are central to the way we plan for Great Britain’s net zero energy system. We believe Regional Energy Strategic Plans will add value within regions, taking a whole energy approach for the first time and enabling local actors to have a practical say on the energy infrastructure needed to support their growth and decarbonisation ambitions.

What’s proposed?

Under this new role, NESO will join up national and local energy plans, and work across all energy vectors to create Regional Energy Strategic Plans that cover the full range of changes required across all energy types. This consultation brings greater clarity to our role and responsibilities, including: 

• Defining the eleven RESP nations and regions, this includes one for Scotland, one for Wales, and nine in England (see map in picture).
• Strategic Boards of local actors will be established for each region, to ensure that their RESP reflects local and regional priorities and context.
• Each region will have a long-term regional vision which sets its energy priorities.
• Net zero pathways for each region will set out the whole system approach needed to realise the visions, with a single pathway for the short term, and multiple pathways for the longer term. We expect to produce the first set of pathways in 2026.
• The pathways will form a key input to gas and electricity network business plans, ensuring their investments align with and contribute to local and regional needs.
• The RESPs will provide a single coherent view of demand, generation and energy network investment in each of the eleven regions.  

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Kayte O’Neill, Chief Operating Officer, ESO said:

“We welcome this important next step for the Regional Energy System Plan. We look forward to collaborating with stakeholders across the regions to unlock the benefits of integrated regional whole energy system planning.”

How to feed into the design of the Regional Energy System Plan

Ofgem has opened a consultation which asks for feedback on their proposed design. The design includes details on:

• The proposed regions that will each create strategic plans
• The proposed principles that NESO will need to follow in developing the methodology for RESPs
• The inputs that will be used to develop RESPs
• The role and composition of the Strategic Boards in each region
• How local actors will be supported to contribute to the RESPs

Ofgem would like to hear from all interested parties, including those who are outside the energy industry. 

View the consultation