Electricity North West has signed a two-year contract with Electron to use its “cutting-edge” market platform to procure flexibility services.
The electricity distribution network said the ElectronConnect platform can be configured to procure a range of flexibility services from different technologies at different voltage levels and across various timescales, from day-ahead to year-ahead.
Electricity North West (ENW) said the platform will also be used to dispatch and settle contracted services and feed data-driven insights to providers so they can better predict their availability, find opportunities for revenue stacking and maximise profitability.
The distribution network operator (DNO) said there will be a “smooth transition” of current auctions to the new platform, minimising disruption to existing service providers who will enjoy a “more intuitive and streamlined user-experience”. Service providers will be able to access the platform through both a user interface and an application programming interface (API).
ENW said the platform will reduce barriers to entry for service providers, thereby increasing market participation, liquidity and value.
The company’s strategy director Ben Grunfield said: “As the North West’s network operator, we are uniquely positioned to drive the North West’s transition to a sustainable and equitable energy future. By harnessing digitalisation and prioritising customer needs, we can seamlessly integrate renewable energy sources, reduce carbon emissions, and ensure that our customers have access to reliable, affordable, and sustainable energy solutions.”
Cara Blockley, head of distribution system operation at ENW, said: “Electricity North West is committed to remaining at the forefront of innovation in distribution system operation. This partnership with Electron underscores our dedication to using flexibility to deliver tangible benefits to our customers.”
Jo-Jo Hubbard, chief executive and founder of Electron, added: “Electricity North West’s ambition is to have the most digitalised network management system driving its distribution system operation, and our collaboration to deliver its flexible services platform for live markets across its network is testament to that. This new partnership reflects a step change in how flex markets can and should be perceived.
“Markets aren’t a static creation but should develop and adapt with the needs of a rapidly evolving system. Our configurable multi-market solution was created with this adaptability in mind, using best-in-class technology combined with carefully selected delivery partners to ensure the best experience for all market participants.”
ENW said it was the first DNO to tender for a full end-to-end platform for the procurement and provision of flexibility services, launching a tender in summer 2023 in which it offered bidders the opportunity to provide all or part of the platform, either individually or as part of a consortium.
The company said it is currently procuring flexibility in biannual tenders for six months ahead but this year will move to shorter-term auctions as well as publishing its first low-voltage requirements and further reducing its threshold criteria for participation.
In January 2024 Utility Week established its Flexibility Forum, in association with our strategic partner CGI, to help break down barriers to energy flexibility growth and provide an independent setting for sense-checking the direction of travel in flexibility market governance and regulation. The Flexibility Forum community includes stakeholders from across the energy value chain. Outputs from the forum to date include a report of the status of demand side flexibility markets in GB and a review of discussion at the Forum’s first meeting.