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RIIO-2 final business plan

We submitted our final version of the Electricity System Operator’s (ESO) ambitious Business Plan to Ofgem 9 December 2019. Our business plan is designed to meet the future needs of the energy market.

Its development has been an unprecedented and exciting opportunity for the ESO to engage extensively with stakeholders to define and develop our role during a time of significant change.

Breadcrumb

  • Our strategy

RIIO-2 final business plan: facilitating the transition to net zero carbon emissions by 2050

by Fintan Slye, Director of UK System Operator
 

 

It gives me great pleasure to present the Electricity System Operator’s first ever Business Plan for the RIIO-2 period.

Our plan is ambitious, led by stakeholders, and sets out the crucial role we will play in the transition to a zero carbon energy system in Great Britain.

Delivering value for consumers is central to our plan. Our proposed activities in RIIO-2 will generate net benefits of around £2 billion over the five years, which translates into a £3 reduction on every annual consumer bill.

Our Business Plan is founded on a vision for the next decade and beyond, focusing on how we must evolve to meet the challenges of the changing energy landscape and maximise benefits for consumers. As well as delivering new systems and market platforms, we must also transform our capability through investment in information technology, innovation and people. The introduction of a new RIIO-2 regulatory framework is an opportunity to put in place a funding model and incentive scheme that drives the right behaviours.

We are ready to step up and become the ambitious, consumer-focused ESO that our stakeholders want us to be. Our Business Plan sets out how we will enable the transformation to a zero carbon energy system and continue to ensure reliable, affordable energy for Great Britain. We will do this while delivering significant value to consumers. Climate change is the challenge of a generation, and the time to act is now.

 

Business planExecutive summary
Update: The redacted parts of Annex 8 have now been removed and we have updated our redaction statement.
Update 27/1/2020: Annex 2 has been updated to correct a small number of minor errors

Other documents

We have also written and published a Digitalisation Strategy which sets out our strategic intent to transform our capabilities through the three pillars of our digital strategy. Read it here.

Our response to Ofgem's draft determinations

Read our official response to Ofgem's draft determinations.

Executive summary

Full ESO response

Annex 1 further information on proposed costs

Annex 2 KPMG Report on financability

Annex 3 delivery schedule grading (updated)

Download our final plan

Business plan
Executive summary
Annex 1 - Supporting information
Annex 2 - CBA report
Annex 3 - Stakeholder report
Annex 4 - Technology investment
Annex 5 - Finance report
Annex 6 - Ofgem and Challenge Group
Annex 7 - Metrics and measuring performance

Annex 8 - Shared Services
Annex 10 - Glossary

Redaction statement
Board Assurance statement


Have your say

Find out more about how you can engage with us in our planning for 2021 onwards. 

Find out more

Previous submissions

October 2019 submissionJuly 2019 submissionApril 2019 Ambition

October 2019 submission

Name
RIIO-2 October 2019 business plan
RIIO-2 October Executive Summary
RIIO-2 October Annex 1
RIIO-2 October Annex 2 CBA Report
RIIO-2 October Annex 3 Stakeholder Report
RIIO-2 October Annex 4 Tech Investment Report
ESO RIIO-2 October Annex 7 Glossary
7

July 2019 submission

You can download our RIIO-2 July draft business plan and supporting documents using the links below.

Name
ESO RIIO-2 July submission draft business plan
ESO RIIO-2 July submission annexes
ESO RIIO-2 July submission cost-benefit analysis report
ESO RIIO-2 July submission stakeholder report
ESO RIIO-2 July submission Glossary
5

April 2019 Ambition

Name
Our RIIO2 Ambition - interactive
A summary of our RIIO2 Ambition - interactive
2
A group of people discussing paperwork

ESO RIIO-2 Stakeholder Group

As we develop our business plan we’re working with our independently chaired Stakeholder Group whose role it is to scrutinise and challenge our proposals.

Find out more

A group of people discussing paperwork

ESO RIIO-2 Stakeholder Group members

Here you can find out about the people who sit on the ESO RIIO-2 Stakeholder Group and their experience in the energy industry. 

Find out more

Lady thinking and looking at a computer screen

Have your say on our future plan

As we develop our future business plan, we want to hear the views of a wide range of people and organisations.

Find out more

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