Post: Demand Flexibility Service returns for winter 2023-24

Demand Flexibility Service returns for winter 2023-24

National Grid ESO has officially announced the return of the Demand Flexibility Service (DFS) for the upcoming winter.

Despite the initial winter outlook suggesting that system margins will be slightly higher than the previous year, National Grid ESO is actively taking measures to enhance resilience. The DFS program is set to operate from November 2023 to March 2024, encompassing 12 testing events, including the potential for real-time utilisation. The first half of these tests is scheduled to occur before the end of 2023, with the remaining six taking place from January to March 2024.

This year’s DFS service introduces a Guaranteed Acceptance Price (GAP) of £3,000 per MWh or £3 per KWh for at least six of the 12 tests, starting from January 2024, contingent on registered volumes. For live usage of the service, there will be no fixed GAP. Instead, National Grid ESO will consider the lowest available bids to manage network requirements, aligning with its approach for other market services. Unlike the previous winter, all tests will be accessible to all registered DFS participants, eliminating the concept of onboarding tests.

DFS, which was introduced last winter to help the UK cope with tight energy supplies, saved over 3,300MWh during peak demand periods, providing valuable support to the grid during periods of heightened strain, National Grid ESO confirmed. In total, 1.6M households and businesses signed up to participate in 22 events across the winter, covering both live events to balance the electricity network and monthly test events to deliver savings for consumers and demonstrate how effective the system could be. GridBeyond was one of the approved providers of DFS service and by working with our clients over the winter we helped contribute a total delivered MWh across the five months of 190.01 MWh. 

Webinar: Unlock savings and revenue potential with DFS
Available on-demand

In this webinar GridBeyond’s UK Market Strategy and Risk Manager Mitesh Gunputh will explore:  

• The electricity landscape for the coming Winter 
• What the DFS is, how it helps support National Grid Electricity System Operator to balance the system during peak demand periods 
• Lessons learnt from GridBeyond’s participation in Winter 2022-23 and how we are expecting the programme to change for the upcoming Winter 
• How businesses can participate to achieve maximum revenue from the programme 

Download the webinar