Smart leadership required

In a new report on the subject, Paddy Tipping MP said: ’By 2020, the UK electricity network will need to accommodate a far more diverse energy mix, including a much higher proportion of renewables that cannot respond easily to fluctuating demand. The only cost-effective response to these developments is the creation of a smart grid.’

The select committee’s report raises concern that Ofgem has granted funding for new grid projects before carrying out a fundamental review of how better use could be made of the existing network.

Acknowledging the fact that investment in transmission capacity will be required to avoid delays in connecting new power stations, it said that the existing regulatory framework may be driving the case for such investment at the expense of other, more cost-effective, options - such as managing energy demand in a more efficient way.

The committee said that it was extremely disappointed at the industry’s failure to agree a new transmission access regime that will tackle the 60GW of power generated from predominantly renewable sources that are waiting to connect to the grid. The report urged the department to move quickly to implement a regime that will encourage the sharing of grid capacity and prioritise renewables.