Operational information
We ensure that Great Britain has the essential energy it needs by making sure supply meets demand every second of every day.
We move electricity through the system
NESO moves high voltage electricity from where it’s generated, such as a wind farm, through the energy system.
Using the infrastructure owned by the 3 transmission companies - National Grid Electricity Transmission, Scottish Hydro Electric Transmission Ltd. and SP Energy Networks, this high voltage electricity is passed onto one of the fourteen Distribution Network Operators across the country.
They own the local networks and convert it into a more manageable voltage that's suited for domestic use. Your local distribution network operator then feeds low voltage electricity through to your home or business property.
An independent publicly owned expert
The government has set a national commitment, enshrined in law, to decarbonise the UK economy via a series of carbon budgets leading to 2050. These budgets include an ambition to decarbonise the electricity system in the 2030s. The establishment of NESO is central to delivering these aims.
The largest energy legislation in our history
The Energy Act 2023 is the largest piece of energy legislation in Great Britain’s history, with all political parties reaching an agreement. This Act of Parliament paved the way for NESO’s creation as an operationally independent and publicly owned organisation, providing an expert and impartial view of the energy system across Scotland, Wales, and England.
Our duties are prescribed by the Energy Act 2023, and must be carried out to promote three objectives:
- delivery of the government’s carbon budgets and 2050 target.
- ensuring security of supply to existing and future customers of electricity and gases.
- promoting efficient, coordinated, and economical whole energy systems.
Operational independence
NESO is a publicly owned organisation with its own board and independent directors, set up to have operational independence from government, the regulator, and all industry interests.
With the Secretary of State holding the shares and retaining ultimate responsibility, the government ultimately owns NESO, but has no operational control. Government has appointed Dr Paul Golby as the Chair of the NESO board and has nominated a Board representative from UK Government Investments, the government’s professional shareholder executive. This maintains a clear separation between government’s role in setting national policy and their influence as the majority shareholder.
NESO will operate a not-for-profit model, licensed and regulated by the Office of Gas and Electricity Markets (Ofgem) and funded through everyone’s energy bills.
