Question to the Department for Business, Energy and Industrial Strategy:

To ask His Majesty's Government what factors prevent the establishment of the National Grid Future Systems Operator by 2023.

In the Government’s consultation response published in April 2022, we proposed the creation of a new, independent Future System Operator (FSO). Depending on a number of factors, including timings of legislation, updating licensing arrangements, amending industry codes, and discussing timelines with key parties, the FSO could be established by, or in, 2024.

The Primary Legislation required to establish the FSO is contained within the Energy Bill 2023, which is currently passing through Parliament. Subject to reaching Royal Assent, we aim to establish the FSO as soon as practicable, while maintaining the safety and stability of the energy systems and ensuring a smooth transition.