We are becoming a separate company

In April 2019, the Electricity System Operator is becoming a separate company within the National Grid Group. Find out more about what this change will mean.

About us

The energy system in Britain is transitioning to a low carbon future with new, smaller, and more diverse parties entering the market. Our unique position operating the National Electricity Transmission System gives us the perspective and reach to play a pivotal role in this transformation. In this section you can learn more about our role, how we are transforming, and how our regulatory framework is changing to facilitate our role in the energy transition.

How we're organised

High-level organisation chart for the Electricity System Operator (ESO) as well as explanations of each of the major units within the business. 

Find out more

Future of the electricity system operator

Our role as electricity system operator (ESO) needs to change to support the transition to a more decentralised electricity system. Find out how we're making changes.

Find out more

Incentives

Designed to deliver financial benefits to the industry and consumers by reducing the cost and minimising the risks of balancing the system.

Find out more

Our new legally separate company

We will set up a new, legally separate company to carry out our electricity system operator (ESO) function within the National Grid Group.

Find out more

Whole electricity system

As the Electricity System Operator, we need to work with our stakeholders on a whole system approach to harness opportunities to deliver value for the consumer.

Find out more

Compliance statements

Documents that we must produce to comply with our electricity licence requirements to separate parts of the business.

Find out more

RIIO regulatory framework

Ofgem’s regulatory framework promoting incentives for investment and innovation in sustainable energy at the lowest cost to consumers.

Find out more

Our consultation responses

Here you will find our most recent consultation responses to help you understand our position on a variety of issues.

Find out more

Our licence is established under the Electricity Act 1989. It requires us to develop, maintain, and operate economic and efficient networks and to facilitate competition in the supply of electricity in Great Britain (GB). It also gives us statutory powers, including the right to bury our pipes or cables under public highways and the ability to use compulsory powers to purchase land so we can conduct our business.

RIIO price controls

Our regulatory framework is called RIIO (revenue = incentives + innovation + outputs) and lasts for eight years. The current period runs through April 2021. The building blocks of the RIIO price control are broadly similar to the historical price controls used in the UK, but with some significant differences in the mechanics of the calculations.