Flexibility Services

To meet evolving customer needs, we are developing smarter, more flexible network solutions to help mitigate the need for traditional reinforcement and reduce costs for our customers. This is cheaper for our customers as it enables us to delay expensive reinforcement work for as long as possible.

Resources connected to our networks could provide both additional capacity and additional generation to assist in key areas that have specific challenges during periods of network constraint.

We are exploring markets for flexibility with new and existing customers who are able and willing to control how much they generate or who can control their demand.

About

About Flexibility

Flexibility Services Overview

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Flexibility services is where a Distribution Network Operator (DNO), like us, pays a third party to operate assets in a way that’s beneficial to our network. Those third parties will be owners of generation assets or low carbon technologies (LCTs) such as wind turbines, battery storage, solar or electric vehicles, and we may ask them to “turn down” or up depending on the needs of our network. In other words, we might ask them to lower the power consumption of their assets for an agreed period to allow us to free up that capacity for use elsewhere, or we might ask them to use more power in areas where we have excess generation.

As the needs of our customers and communities are constantly changing, the requirements of our electricity network are too. The increased uptake of LCTs does often result in constraints on the network during periods of high demand. However, new technologies and connections can often lead to excess generation in other areas too. Flexibility therefore provides an agile, smart means of balancing our network to solve both of those challenges.

Flexibility Providers

We will look to procure flexibility services through competitive tenders where possible and the responses from the flexibility providers will be used to:

Identify the availability of flexibility resources in specific areas where flexibility could benefit the network.
Understand the capabilities and restrictions of these resources.
Evaluate the viability of using flexibility to meet network requirements.

Team

Gerry Boyd – Head of Flexibility:

'‘’’Gerry has worked for SP Energy Networks for 20 years, covering a range of commercial and operational commercial roles. Previous projects include; the deployment of our Active Network Management system(s), the implementation of Ofgem’s Access Significant Code Review and the engineering lead for our RIIO-ED1 business plan submission. After championing the use of Flexibility Services and growing our capabilities from our first tender in 2019, Gerry recently took up the role of Head of Flexibility, leading the procurement and implementation of Flexibility and ensuring that it represents the lowest overall cost for consumers. ’’

Pamela Mathieson – Flexibility Procurement Manager:

'‘’’Pamela has over 16 years’ experience in the Energy Industry. Covering a number of roles within Energy Management, Finance and Risk.’’

Elin Williams – Lead Flexibility Procurement Analyst:

'‘’’Elin has worked within the Electricity industry for over 5 years. She has experience in the Renewables industry seeking routes to market for multiple renewable energy projects and focused primarily on ancillary services. Elin joined the DSO Flexibility Team in September 2023 to work on Flexibility Services Tenders.’’

Basil Varghese - Senior Commercial Specialist:

‘‘“Basil is a Senior Commercial Specialist mostly focused on flexibility performance. Basil has a strong foundation in electrical engineering, coupled with several years of experience in teaching, banking and finance.”

George Fournarakis – Senior Energy Systems Specialist:

‘“George is a Senior Specialist who joined SPEN's flexibility procurement team in August 2024. He has over 3 years experience in the Oil, Gas, and Energy sector working in commercial, business development, and stakeholder engagement roles. George has a Business and Management MA and an International Relations MRes from the University of Glasgow and has joined the SPEN Flexibility procurement team to help grow participation in DSO Flexibility products, engage with stakeholders, support on procurement processes, and work on new Flex projects. “

Leonard Barraclough – Energy Systems Specialist:

‘“Leonard is an Energy System Specialist who joined SP Energy Networks as a Graduate Engineer. He has strong knowledge in Renewable Energy Systems and Distribution Networks studying an MSc at Durham University. Leonard joined the flexibility performance team in September 2024 to help design the systems, processes, and platforms to deliver flexibility services on our electricity network.”

Tender Information

Our partner, Piclo, are facilitating our procurement process on their Dynamic Purchasing Platform. For more information on our procurement processes and to view tender documents please visit SPEN’s profile on the Piclo Website

Our Documents

Useful Flexibility Documents

Procurement Statement

Procurement Report

2024-25 Market Prospectus

2024-25 Market Prospectus Supporting data

Contact Us

We would welcome any feedback, comments or questions on our flexibility tenders. Please contact our flexibility team at: Flexibility@spenergynetworks.co.uk

Month Ahead Market

SP Energy Networks is calling on flexibility service providers to participate in its new month ahead Flexibility market.

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We have new DSO flexibility opportunities available on our DPS system Piclo Flex.

Tender for flexibility requirements for service windows on a month-by-month basis from June 2024 to March 2025
Visibility of flexibility requirements for the next four years until March 2028

If you're a Flexible Service Provider looking to earn extra income, register your solutions via Piclo Flex on https://picloflex.com/‍

You can find all the tender documentation and supporting information in our supporting documentation below:

Next Steps

Create a Picloflex account and complete the Dynamic Purchasing (DPS) application if you have not done so already.
Upload your asset data to the Piclo Flex platform, providing all the requested information.
Review and sign the Standard Fllexibility Services agreement

In order to take part in our competitions you must complete the above on picloflex.com, have prequalification confirmed and signed the Standard Flexibility Services Agreement.

Tender Process

The process, steps and timeline of our month-ahead tendering model is as follows:

New tender process

Bidding opens on the 15^th of each month. However, if the 15^th of the month falls on a weekend or bank holiday this will be adjusted automatically to the next working day.

Further information about the tender process and instructions on how to submit tender bids is available at SP Energy Networks Flexibility Services Market - Piclo Flex

Tender Timelines

We will now tender for flexibility services for the next year on a month-by-month basis. Key dates for each tender round for the next year is highlighted in the table below:

Procurement Month	Requirements Published	Trade Window (09:30 - 16:30)	Bid Accepted	Contract Award	Service Window
Novemeber 2024	01/11/2024	15/11/2024	22/11/2024	29/11/2024	01/12/2024 - 31/12/2024
Decemeber 2024	02/12/2024	16/12/2024	17/12/2024	20/12/2024	01/01/2025 - 31/01/2025
January 2025	06/01/2025	20/01/2025	22/01/2025	30/01/2025	01/02/2025 - 28/02/2025
February 2025	03/02/2025	17/01/2025	21/02/2025	28/02/2025	01/03/2025 - 31/03/2025
March 2025	03/03/2025	17/01/2025	21/03/2025	31/03/2025	01/04/2025 - 30/04/2025

Case Studies

Axle Energy

Axle Energy is a flex provider focused on distributed devices: EV charging, batteries, and heat pumps. Axle connects to these devices on behalf of OEMs or energy suppliers and optimises devices considering needs of the customer and the grid. Axle Energy founded in early 2023 by energy industry & software veterans has quickly become a large provider of distributed flexibility in Great Britain. Utilising EV chargers, batteries, and heat pumps, Axle is able to provide large amounts of domestic flexibility in the GB DSO markets including SP Energy Network’s.

axle_energy_case_study_diagram

GB DSOs have demonstrated that flexibility services are a cost-effective alternative to traditional methods like network reinforcement. By using flexibility, DSOs can manage grid stability and peak demand more efficiently, reducing the need for expensive infrastructure upgrades. Axle Energy focuses on distributed assets such as EV chargers, batteries, and heat pumps, which are perfect for DSO flexibility programs. These assets provide significant benefits to the grid and offer advantages to consumers, including lower energy bills, increased efficiency, and potential earnings. For flexibility service providers, the benefits include improved operational efficiency and new revenue opportunities. Axle is committed to demonstrating how these devices can enhance the distribution grid, ensuring a reliable and cost-effective energy future.

SP Energy Networks has been working with Axle over many years through the long-term tenders, and recently, in our Month Ahead Market. Our month ahead market allows flexibility service providers to bid in to flex opportunities across both our SPD and SPM license areas. Each month, new flex requirements are made live, enabling providers to bid into locations where their assets can provide demand turn down services. The Month Ahead Market provides quicker returns for flexibility providers and immediate value for consumers. By participating in shorter-term tenders, providers can respond rapidly to grid needs, optimize asset use, and generate revenue more frequently, benefiting both the grid and customers with timely and efficient flexibility services.

“A key metric for us is how quickly we can return value to device owners after they opt-in to flexibility. The Month Ahead Market allows us to participate with a much shorter delay, creating more value for consumers while responding to the short-term flexibility needs at SPEN. We consider the addition of Month Ahead to be a very positive addition to the DSO flexibility landscape.”

Pelle Jacobs – Axle Energy

Over the next few years, Axle hopes to prove that DSO flex is an enduring, reliable alternative to network reinforcement, enabling the distribution grids to connect distributed assets more cheaply and easily without the cost and delay of major infrastructure works. For SPEN, Axle has been a key participant across both our SPD and SPM license areas provider demand side flexibility in over 25 locations whilst utilising both EV chargers and domestic batteries – highlighting the ability for all types of controllable domestic technologies to participate in our DSO Flex Markets. Below you can see a snapshot of the Axle’s key stats in our MA market so far:

Flexibility Contracted (MWs):

1.93

Flexibility Contracted (MWs):

120.1

“SPEN’s customer engagement has been fantastic - the team has been supportive, available, and helpful. We look forward to continuing to work with the SPEN flexibility team.”

Axle Energy

Learn more about Axle Energy. If you are interested in talking to us about Flexibility Services, you can contact us at flexibility@spenergynetworks.co.uk and a member of our team will get back to you as soon as possible!

Enabling Flexibility with AMP

AMP are at the forefront of the energy transition with a mission to create a smarter energy future. They focus on two core areas: grid flexibility and heat decarbonisation. Since 2016, AMP has led the development of dispatchable electricity generation and storage systems, supporting the network when and where it’s needed most. AMP’s network of grid flexibility assets comprises over 200MW of battery storage, gas reciprocating engines, and the UK’s first High Voltage Electrode Boiler, all playing a pivotal role in balancing renewables, avoiding costly grid reinforcement, and ensuring security of supply.

SP Energy Networks has collaborated with AMP over multiple years through the long-term tenders, and now, in our Month Ahead Market. Our month ahead market allows flexibility service providers to bid in to flex opportunities across our SPD and SPM license areas. Each month, new flex requirements are made live, enabling providers to offer demand turn down services. For FSPs, this means optimizing asset use, responding quickly to grid needs, and generating revenue more frequently. Consumers benefit from lower energy bills, increased efficiency, and potential earnings. DSO Flex is now an essential service that allows FSP’s to improve the way they use electricity, and AMP will continue to support DSOs in their mission. Since the start of the MA market in the summer of 2024, AMP has become a key player participating in most monthly tender rounds with their gas reciprocators in the Lister Drive and Bromborough Constraint Management Zones.

“We are proud to be working in partnership with SPEN as one of their largest providers of flexibility services. We have found the DSO team to be helpful and engaging through both the contract and service provision phases. We look forward to providing SPEN with further flexibility services in the future.”

Quote from Steven Horton – AMP Clean Energy Operations Manager.

Although our current month ahead tenders on Piclo are a new service and a new type of product in the UK Flex markets, our procurement and performance teams in the DSO Flex department are dedicated to facilitating and growing the market. We offer and end-to-end solution with comprehensive support from the beginning of a FSP’s journey in flex, all the way to receiving payments after a dispatch month. This approach ensures that new providers can easily navigate the process, benefit from expert guidance, and quickly see financial returns. By participating in the Month Ahead Market, new providers can take advantage of streamlined procedures, responsive support, and the opportunity to contribute to a more flexible and resilient energy grid. This has allowed AMP to participate in our markets and most importantly, provide key flexibility solutions to two important assets in our SPM license area. We hope to continue to work with AMP to deliver more flexibility where required and below you can see a snapshot of AMP’s key stats so far from our Month Ahead market.

Flexibility Contracted (MWs):

11.13

Flexibility Dispatched (MWs):

11.13

Flexibility Contracted (MWhs):

75.8

Flexibility Dispatched (MWhs):

61.2

For more info about AMP Clean Energy please visit their website.