National Grid Distribution System Operator (DSO) has announced it will transition its short-term flexibility procurement from a week-ahead to a day-ahead tender process from 31st March, marking a significant step forward in the evolution of its local flexibility markets.
The move to day-ahead procurement shows a continued commitment to developing a more responsive and efficient flexibility market that better aligns with closer to real time network needs.
For flexibility service providers, the move to day-ahead procurement provides clearer signals closer to delivery, enabling improved operational planning and asset optimisation.
Procuring near to real-time conditions will also support more efficient dispatch and help participants maximise the value of their flexible assets and portfolio.
The new day-ahead will:
- Improve operational alignment by matching procurement to real network conditions
- Increase forecasting accuracy as system visibility improves closer to delivery
- Reduce risk of over procurement and improving forecast utilisation
- Enhance whole-system coordination with wider flexibility markets
- Unlock opportunities for cross-market stacking of value
Helen Sawdon, Head of DSO Operations at National Grid said, “Confirming flexibility requirements closer to real time delivery, we can more accurately signal to the market when we need flexibility by leveraging more accurate closer to real-time forecasts of consumer demand, generation production and weather conditions.
“This improves the coordination of market availability with our real time network operations, ensuring flexibility is embedded as an operational tool within our day-to-day management of the distribution system.”
National Grid DSO day-ahead markets will go live on the 31st March.
National Grid will be hosting a webinar on the 12th of March so service providers have the opportunity to learn more about the changes. Providers can sign up here.
