In 2011, the government estimated that around £100 billion of investment would be needed by 2020 in the electricity sector alone, to replace the UK’s ageing power stations and create secure, low-carbon electricity at a cost-effective price.

To attract this investment, the government set up the Electricity Market Reform (EMR) programme consisting of:

Our Guiding Principles are set out in LCCC Framework Document and ESC Framework Document.

Today, our goal is to build confidence in the market reforms and maintain investor confidence in the growing CfD scheme. The success of the CfD has led government to expand our role into Carbon Capture, Usage and Storage (CCUS), Low Carbon Hydrogen Production and the Nuclear Regulated Asset Base model.

For the Electricity Settlements Company, we aim to maintain market participants’ confidence in the Capacity Market Settlement process and minimise costs to consumers.