Sector Digitalisation Plan

Digitalisation is the act of using digital technologies to change the way a system operates, with the goal of increasing efficiency or enabling new or better ways of doing things. In the energy sector, this could be the use of digital systems to monitor and better incentivise distributed energy assets, which can increase the utilisation of variable energy generation. 

Digitalisation is underpinned by access to good quality data. In the energy sector, this could, for example, mean increasing the visibility of distributed energy assets so Distribution Network Operators (DNOs) can more effectively prioritise connections and ensure data can be shared by authorised parties involved in the planning process. 

By 2030, consumers being able to choose when they use their power is expected to reach 10-12GW, a tenfold increase. To achieve this, we’ll need to adjust monitoring systems, to ensure consumer’s devices can support the energy system at the scale required. Additionally, digital systems can enable innovative services to develop, so consumers can benefit from flexing their demand. 

More than twice as much transmission network needs to be built in the coming five years than in the previous ten, along with accompanying enabling works, connections and distribution network strengthening. To achieve this, we need to improve visibility of energy resources and align the data sources across planning levels, so network operators can plan and prioritise connections more effectively. 

In recent years there has been a significant increase in digitalisation activity in the energy sector, with innovation programmes like AAR and VirtualES, and policy developments such as Smart Secure Energy Systems and Consumer Consent. 

This increase is positive but has led to a complex landscape of moving parts, and it’s not always clear what is on track and where additional effort is required. 

The Sector Digitalisation Plan will provide a clearer timeline of what needs to happen by when, and what dependencies there are along the way. It will set out a plan for digitalisation of the sector, helping to identify key decision points, where existing initiatives are progressing and where there are gaps. The plan will be a living document that we’ll continue to expand and update as engagement with industry increases. 

To begin at pace, we are focusing on the power system and looking at how to realise the benefits across the priorities outlined in Clean Power 2030. 

The foundational digital infrastructure set out in the plan will lay the groundwork to achieve this beyond 2030 and can be iterated on as new technologies and decisions are made on our journey to Net Zero.