Goverment, NESO, Ofgem publish Clean Flexibility Roadmap Update

One year after the publication of the Clean Flexibility Roadmap last July (2025), which set out a plan for how to achieve the flexibility required to deliver clean power by 2030 and net zero by 2050, NESO, Ofgem, and DESNZ have now released a progress update. 

This spans four areas: consumer-led flexibility (CLF) and markets, grid-scale electricity storage, interconnection, and low-carbon dispatchable power. Each area is broken down into A) key achievements and progress since the 2025 Roadmap and B) new actions going forward. 

Consumer-led flexibility and markets 

CLF is viewed as the most complex area within the Roadmap, given it involves millions of distributed assets and is dependent on such a broad range of factors. Underpinned by the primary outcome of scaling flexibility potential to benefit both consumers and the electricity system, CLF has been divided into three distinct themes: markets, consumer experience, and policy and regulatory incentives. The metrics used to measure success are A) the volume of CLF (GWh) used across all markets in the last quarter and B) available and procured CLF capacity. 

For markets, progress includes the migration of more than 11.3 million smart meters to half-hourly settlement, the publication of the Reformed National Pricing Delivery Plan which sets the long-term direction for the wholesale market and balancing reforms, and a trial to removing Final Consumption Levies for demand turn up – starting in winter 2026.  

New actions include: 

  • Ofgem to report on the findings of its review into the DSOs’ use of flexibility in ED2 and to share its findings by Autumn 2026 via the relevant ED3 stakeholder working groups. 
  • Government to rapidly assess the feasibility of consumers accessing government support for low-carbon technologies to do so using a flexible tariff, with the option for the consumer to opt out, and set out plans by Q1 2027. 
  • NESO to remove key barriers to enable Wider Access (WA) participants (Virtual Lead Parties and suppliers) to join and operate more easily in the Balancing Mechanism by Q3 2027 

For consumer experience, progress includes delivery of the Smart Secure Electricity Systems (SSES) Programme via Elexon’s governance groups and NESO’s 2030 target for 750MW industrial and commercial (I&C) flexibility to be available through its markets – with the year-one target of 170MW having been met.  

New actions include: 

  • Ofgem to consult on the implementation of the consumer outcome related to informed decision making for the electricity supply licence by the end of 2026, which will include a wider review of CLF engagement, support and protection needs. 

For policy and regulatory incentives, progress includes the publication of the Warm Homes Plan, Energy Performance Certificates reforms, £1.1bn of funding for low-carbon heat networks, and Ofgem’s Sector Specific Methodology Decision (SSMD) for RIIO-ED3 which promotes a balanced ‘build and flex’ approach. 

New actions include: 

  • Ofgem, working with Government and NESO, to update on key elements of the package of measures to accelerate demand connections while maintaining system operability through flexibility measures in Autumn 2026
  • DESNZ to work with NESO to explore how the modelling methodology for the second iteration of the Strategic Spatial Energy Plan (SSEP) could treat CLF as a core component to be optimised alongside new infrastructure options, rather than as an exogenous assumption

Grid-scale electricity storage 

The update notes that both grid-scale batteries (up to eight hours) and long duration electricity storage (LDES) are vital in providing flexibility services to the electricity grid. Obvious metrics to measure success include the capacity (GW/GWh) of both technologies, as well as storage skip rates and the incidence rate of fires.  

Progress includes 7.3GW of grid-scale batteries and 2.8GW of LDES by June 2026, reductions in battery skip rates, and in incidence rate of fires at 0.7 over five years to 24/25 vs 0.8 for non-domestic buildings in general. 

New actions include: 

  • Ofgem to finalise its decisions on the first window of the LDES Cap and Floor by Autumn 2026  
  • The industry-led Battery Health and Safety Governance Group to make its first formal annual report by December 2026
  • UKRI to launch an electricity storage innovation competition under its R&D Clean Energy Superpower Mission Accelerator Programme during FY2026/27

Interconnection 

The key deliverables for interconnection as a source of inter-country flexibility are securing 12-14GW of interconnection capacity by 2030, building a healthy post-2030 pipeline of strategically aligned projects, delivering a multi-purpose interconnector (MPI), and increasing both cross-border collaboration and energy security.  

Progress includes the publication of Next Steps for Electricity Interconnection in Great Britain, the start of negotiations between the UK and the European Commission on UK participation in the EU Internal Electricity Market, and early industry engagement to unblock barriers to MPI delivery. 

New actions include: 

  • Government to publish a further interconnection strategy document in the second half of 2026 and Ofgem will consult on the regulatory framework for future project delivery alongside this, with both publications building on the documents published in March this year
  • Over the next year, Government and Ofgem to consider the viability of an MPI Pilot project to trial the new policy, regulatory and legal framework

Low-carbon dispatchable power 

The two priority technologies for low-carbon dispatchable power are hydrogen to power (H2P) and power carbon capture and storage (power CCUS). The former is seen as vital to displacing unabated gas, while the latter is intended to complement duration-limited technologies such as batteries by generating continuously over weeks.  

Progress on the two technologies includes Government committing to introducing secondary legislation to exempt hydrogen supply to premises from supplier licensing requirements and developing a new hydrogen network code, progressing development expenditure decisions for Acorn and Viking clusters, and launching the East Coast Cluster (Teesside) expansion process.  

New actions include: 

  • Government to continue considering H2P participation in the Capacity Market and provide an update by the end of 2026
  • Government to deliver primary legislation for the H2P business model when parliamentary time allows
  • Government to respond to its non-pipeline transport consultation in 2027, to accelerate the development of delivery mechanism support

techUK view  

Updates such as this are a vital accountability tool that serve to measure success and ensure transparency. It is particularly pleasing to see so much progress has been made on battery storage deployment and emerging technologies, alongside proposals to remove levies for vehicle-to-grid charging, which is a vital new source of flexible consumption. Furthermore, the Energy Digitalisation Framework is accurately depicted as a significant enabler, as, if approached in the right way; it should facilitate the data sharing that is vital to accelerating flexibility.  

The Roadmap identifies a broad range of flexibility sources and techUK would urge Government, NESO, and Ofgem to approach procurement from a system-wide perspective. It is vital to first identify which flexibility services are required before procuring them in competitive, cost-effective way that adequately remunerates providers. Flexibility options for industrial consumers such as data centres must remain voluntary and incentivised, otherwise there could be significant economic and environmental costs. We look forward to continuing to work with key stakeholders on the matter of flexibility within demand connections reform.  


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