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UK Launches National Energy System Operator (NESO) to Drive Energy Transition

Credit: National Grid

The has officially launched the National Energy System Operator (NESO), a new transmission system operator (TSO) designed to lead the country's shift towards a secure, clean, and affordable energy future. NESO will have broad strategic oversight over both and gas systems, ensuring the UK's energy is resilient and adaptable as the country works towards decarbonisation and net-zero goals.

The government emphasized the urgency behind NESO's creation, highlighting the need for a unified approach to tackle change, secure energy supplies, and manage consumer costs. “The current system, though effective, requires a more integrated strategy to meet the unprecedented challenges of climate change and ensure secure energy supply,” a government spokesperson said.

NESO will function independently of the government and industry, taking on key roles that will allow it to develop a “holistic, whole system thinking approach” to energy. This will include planning for future challenges across energy technologies and economic sectors, with an emphasis on transparency and decisiveness.

One of NESO's first tasks will be to provide guidance to the government on achieving a clean power system by 2030. The government noted that while achieving this target demands swift action, it is attainable.

Paul Golby, chair of NESO, called the launch a “significant day for the energy industry and for the country,” stressing the importance of NESO's role in delivering net-zero by 2050. “We won't know all the answers by ourselves but by working together with government, the regulator, industry, and wider society, we can deliver on our duties,” Golby said.

NESO chief executive Fintan Slye added, “NESO will act as a catalyst, but it is through collective effort across the energy industry and society that we will deliver a secure, resilient, flexible, and future-proof energy system.”

Energy Minister Michael Shanks hailed the launch as a milestone in making the UK a clean energy superpower. He emphasized NESO's role in decarbonising the UK's networks and reducing reliance on fossil fuel markets, which will protect billpayers and drive investment in the clean energy sector.

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