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FUSION is a key project for the transition to a Distribution System Operator. FUSION will trial commoditised local demand-side flexibility through a structured and competitive market, based on the Universal Smart Energy Framework (USEF).

With the changing energy landscape evolving at pace, SP Energy Networks are leading changes in the energy networks. The electricity system is changing from a centralised to a decentralised model. The increase in Distributed Energy Resources (DER), coupled with the increasing load demand from low carbon technologies such as electric vehicles (EVs), has fuelled a need to create an active distribution network to manage modern customer needs. Our transition to a Distribution System Operator will enable a smarter flexible network.


January 2018 – December 2022

Project Status


More Info

More About the Project

SP Energy Networks are working closely with the Energy Networks Association (ENA) on the Open Networks Project. This collaborative work will accelerate our transition to a Distribution System Operator.

A key feature of an active distribution network is the ability to draw on network flexibility to alleviate constraints. FUSION will be enabling Distribution Network Operators and all market actors to unlock the value of local network flexibility. FUSION will create a flexibility market to unlock the value of flexibility in a competitive and transparent manner. This will be enabled by applying the functions and structure defined in the Universal Smart Energy Framework (USEF).

The Benefits

The Benefits For Customers

  • FUSION will unlock flexibility in the distribution network: this means it can be procured by a range of market actors. Aggregators will be able to operate to aid the development of the flexibility market. By facilitating this neutral market, network flexibility will be accessible to all paries.
  • For the Distribution Network Operators, constraint management will be trialled, alleviating localised network congestion without requiring costly and time consuming network reinforcement. This will provide excellent value for money for customers. The creation of a flexibility market will go beyond existing bilateral trading of flexibility, providing a whole systems approach to realising the value of flexibility.
  • Customers will also be empowered to commoditise their flexibility use of electricity, providing a new route to market for existing and emerging flexibility providers in the distribution network.
  • Through smarter use of the distribution network assets in this approach, significant carbon and environmental benefits. This is from system benefits, favouring renewable energy sources in a flexible network, and by facilitating the uptake of low carbon technologies.

Project Partners

Project Partners

Project Partners

DNV GL, Origami Energy, PassivSystems, Imperial College London (Academic partner), SAC Consulting, Fife Council, The University of St Andrews, Bright Green Hydrogen.

Working in Coordination

ENA Open Networks Project.

Collaboration with

SSEN & ENWL: TRANSITION, WPD: Electricity Flexibility and Forecasting System (EFFS)

Reports & Documents

Reports & Documents



FUSION is working directly with TRANSITION (SSEN in partnership with ENWL) and EFFS (WPD), two other awarded NIC 2017 projects focussing on the Distribution System Operator transition. The aim of this is to develop a thorough and robust collaboration structure and plan. Collectively the projects are referred to as T.E.F. (TRANSITION, EFFS, FUSION). This is a welcomed project funding condition for all three projects.

SP Energy Networks are proactively engaging in discussions, workshops and reporting to develop the collaboration plan, finding and developing synergies across the projects to enable and promote collaboration wherever possible.