The National Energy System Operator (NESO) is the publicly owned organisation that runs Great Britain’s electricity system minute by minute and plans how the country’s gas and electricity systems should develop. It does not generate or sell electricity, and it does not own the wires and pipes.
Where it came from
NESO started work on 1 October 2024. It took over the Electricity System Operator, which until then had been part of National Grid, and moved it into public ownership. The legal powers come from the Energy Act 2023, which describes the new body as the Independent System Operator and Planner. NESO is a public corporation linked to the Department for Energy Security and Net Zero, and is licensed and regulated by Ofgem.
What it does
| Role | What it involves |
|---|---|
| Running the electricity system | Balancing supply and demand in real time from its national control room, using tools such as the Balancing Mechanism |
| Grid connections | Managing connection contracts to the transmission network, including the reformed connection queue |
| Markets and codes | Developing balancing markets and administering industry codes such as the Grid Code |
| Whole-system planning | Long-term plans for electricity, gas and hydrogen networks, including a network blueprint and regional energy plans |
| Advice | Independent analysis for government, such as its advice on reaching clean power by 2030 |
Why it matters
As more electricity comes from wind and solar, keeping the grid stable gets harder and grid connections become a bottleneck. NESO decides which projects get connection offers and in what order, and its plans shape where new lines, cables and generation are built. NESO also publishes open data on the electricity mix and carbon intensity, which is the source for our live grid figures.
Read more: Ofgem gives NESO another month to issue Gate 2 grid connection offers.