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20 Aug 20201 minute read

Ofgem to investigate spiralling grid costs

ECAtoday
Ofgem to investigate spiralling grid costs

Energy regulator Ofgem has ordered an investigation into National Grid’s energy balancing system after the cost of managing the grid during the coronavirus lockdown reached a record high of £718m.

Ofgem said it will review the actions National Grid took to balance the energy system and maintain operations during lockdown as power demand fell sharply while output from renewables increased to record levels.

Ofgem's deputy director of energy systems operation and gas systems, Eleanor Warburton, said in an open letter, “Given the high balancing costs incurred this summer, it is important that we understand in more detail what happened in this period and identify whether there are lessons for the ESO to learn to manage these kinds of issues in future.”

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