- Britain’s National Energy System Operator cancelled an electricity margin notice after assessing improved conditions for power supply on January 8, 2025.
- NESO’s routine use of margin and capacity market notices ensures Britain’s power grid can handle high demand during cold weather, with both notices quickly revoked on Wednesday.
Britain’s National Energy System Operator (NESO) revoked an electricity margin notice issued earlier on Wednesday, January 8, 2024. The notice called on power generators to make more electricity available to the grid. The notice, initially scheduled for 1600 to 1900 hrs on Wednesday, January 8, 2025, was cancelled after NESO determined that the situation had improved. The update was posted on the Elexon website.
The NESO had issued the margin notice late on Tuesday, 7th January, 2024, as much of Britain was experiencing a cold snap, which typically drives up electricity demand, especially in the evening. As a result, there were concerns about the ability of the national grid to meet the expected peak demand. Winter evenings in Britain are usually the time of day when electricity consumption reaches its highest levels due to increased heating and lighting use across homes and businesses.
Earlier on Wednesday, January 8th, 2024, NESO had projected that the power system could face a shortfall of 1,120 megawatts in its electricity margin, which is the difference between available capacity and expected demand. This shortfall would have represented the extra capacity the NESO wanted to have on standby to ensure the grid could handle the high demand.
In addition to the margin notice, NESO had also issued a capacity market notice, signalling the need for additional power generation. This scheme is part of a broader initiative where generators are paid to ensure they have capacity available to meet peak demand. However, like the margin notice, the capacity market notice was also quickly cancelled after further assessments of the situation.
The NESO’s response to the situation reflects the organisation’s role in ensuring that Britain’s power supply remains stable. It employs a variety of tools to help maintain the balance between electricity supply and demand, particularly during periods of high consumption or adverse weather conditions. The margin and capacity market notices are routine measures commonly used during the winter months when electricity demand tends to spike.
A spokesperson for the NESO explained that these types of notices are standard procedure, stating that both the margin and capacity market notices are part of the operator’s operational toolkit and are issued regularly throughout the winter season. The spokesperson emphasised that the system had stabilised enough to cancel the notices and prevent any strain on the grid, indicating that the country’s electricity supply remained secure.
The swift cancellation of the notices highlights the flexibility and responsiveness of Britain’s energy system to fluctuations in demand and supply, ensuring that consumers continue to receive a reliable power supply even during periods of heightened demand.