The Smart Grid – What does this mean for capacity in the future?
Ofgem is continuing with the review of Future Networks to determine the most advantageous way of running the electricity networks in the UK. The philosophy of the “Smart Grid” we have all heard of, but this means many things to different people and determining what is possible and practicable and how much it will cost is proving a lot more difficult. The availability of power is still perceived as a major constraint to the growth of the economy and flexible connections a major contributor to carbon reduction. If the operation of the electricity network in a flexible manner can be solved, the commercial transactions need to be also incorporated so that customers can participate much more in real time and be rewarded accordingly. A safe and secure financial platform is needed for this.