Reshaping Regulation: Powering from the future

Author: Dr Jeffrey Hardy, Laura Sandys, Professor Richard Green

Introduction

The UK has a global reputation for being at the forefront of energy regulation. This report aims to welcome the dynamism, opportunities and transformation that our energy sector can achieve through a new set of regulatory principles that embraces the changing nature of energy, technology and primarily consumers. It does not examine incremental change or how to manage the “transition”. Instead, the report authors have designed their work around the destination rather than the journey - planning from the future. Instead of starting with the current system or incumbent thinking, they aim to shape the new system from a blank sheet of paper, taking into consideration the needs of the consumer through a set of guiding principles. 

The report recommendations require a culture shift that some of the existing players in the energy market will embrace, but others will resist. Some companies will change their culture, their recruitment and their business models; others will hold on to their existing models for dear life. This piece of work aims to complement the important and persuasive work being undertaken elsewhere, such as the Energy System Catapult’s Future Power System Architecture project, the Energy Networks Association Open Networks project and the various Ofgem projects, including its work on Insights for Future Regulation.

Download: Reshaping Regulation

This report has been produced in collaboration with Challenging Ideas, Imperial College Business School, Grantham Institute - Climate Change and the Environment, Energy Systems Catapult and UK Power Networks.

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