DSO in Action: Delivering Value Through Flexibility. Pamela Mathieson. Flexibility Procurement Manager, SP Energy Networks.
In our last DSO in Action blog, we explored how SP Energy Networks is operating the network differently through greater visibility, data-led decision making and active participation. One of the clearest examples of that in practice is Flexibility.
Flexibility is becoming an increasingly important part of how we operate the network every day, helping us turn better visibility, data-led decision making and active participation into real outcomes for customers.
From restoring power more quickly during storms to avoiding unnecessary reinforcement, reducing renewable curtailment and creating new opportunities for participation, flexibility is increasingly helping shape how we operate the network and deliver better outcomes for customers, communities and the wider energy system.
Flexibility in action
Perhaps the clearest sign of this shift is how flexibility is now being used as part of day-to-day operations.
When major outages occur, our control room has worked with hydro power plants, gas peakers and CHP operators to repower parts of the network and help keep customers connected. Across ED2, flexibility has also helped us defer reinforcement at more than 70 substations, reducing costs for consumers while making better use of existing assets.
Flexibility is also playing an increasingly important role in resilience.
During Storm Darragh, StormFlex helped around 20,000 customers come back online hours earlier than would otherwise have been possible. More recently, we secured more than 200MW of flexibility capacity to stand ready if severe weather impacted parts of the network, providing additional support when customers needed it most.
It's helping us respond to less obvious challenges too. This summer, we're exploring how flexibility can help manage increased demand across Edinburgh city centre during peak evening periods, reducing pressure on the network during one of Scotland's busiest festival seasons.
Flexibility at scale
A few years ago, flexibility was still relatively new. Today, it is playing a much bigger role in how we manage the network.
In the last year alone, dispatched flexibility across our markets increased from 385MWh to 3.2GWh, enough electricity to power nearly half a million homes for a day.
Participation has grown significantly too. Three years ago, around 30,000 flexible assets were registered on our platform. Today, there are more than 200,000, with the number of participating providers growing from just a handful to 15 organisations ranging from start-ups to multinational companies.
Importantly, providers are choosing to come back. This repeat participation is one of the clearest signs of a market that is maturing. Many now participate regularly across multiple services, demonstrating growing confidence in flexibility and the value it can deliver to both customers and the network.
Delivering value for customers
While system benefits are important, the real measure of flexibility is the difference it makes for the people and organisations taking part.
One example comes from the Energy Technology Centre, which participated in our Demand Turn Up service through Shuffle Energy. By using a thermal storage vessel and battery to provide flexibility, the site effectively earned more from participating than it spent on electricity over a two-month period.
The results were significant:
- Electricity costs reduced by 119%
- Around £1,000 earned through participation revenues
- A further £900 saved through reduced biomass use
- Approximately 1,850kg of carbon emissions avoided
John Bingham, Director of the Energy Technology Centre, said: “We are delighted that we could use our thermal storage vessel and Li-ion battery to provide a service to SPEN and in the process completely pay for our electricity consumption for two months.”
Local authorities are exploring new revenue opportunities through our initiative CivicFlex, where we help public sector organisations use existing assets to support the network while progressing their own net zero ambitions.
Generators are helping avoid unnecessary renewable curtailment, while suppliers and aggregators are bringing thousands of domestic customers into flexibility markets and creating new opportunities for participation.
We've also continued to adapt and improve services based on feedback. Demand Turn Up was introduced in response to requests for shorter-timescale flexibility opportunities. Since then, it has helped attract new providers, open participation in new areas and create additional opportunities for both domestic and industrial customers to benefit from flexibility markets.
Electric Miles said: “SPEN's team has been extremely supportive in enabling our participation in their flexibility markets. Their willingness to work closely with FSPs like us and respond promptly to questions has helped reduce friction, making market participation much more straightforward while also helping to build and strengthen our internal expertise.”
As markets continue to mature, we're working to simplify participation, remove barriers and ensure more customers can share in the benefits flexibility has to offer.
Why Flexibility matters
Flexibility is helping us make better use of existing network capacity, improve resilience, reduce renewable energy curtailment and create value for customers and communities.
In one recent example, Demand Turn Up was used to help absorb excess renewable generation in areas with high levels of wind power. Across three locations, around 100MWh of additional demand turn-up helped reduce the need for renewable generation to be curtailed, making better use of clean energy while delivering wider benefits across the energy system.
These benefits go beyond individual services or transactions. They show how flexibility is helping build a more efficient, resilient and responsive electricity network while making better use of the infrastructure already in place.
Flexibility isn't something we hope to use in the future. It's already helping us operate the network differently today, delivering value for customers while creating a more resilient and efficient energy system for the future.