Britain's National Energy System Operator (Neso) has allegedly failed to submit essential reports on electricity planning and risks to the energy regulator, Ofgem. The operator also reportedly continues to use fax machines for communication, with these devices not slated for removal until January 2027, according to reports.
Following a significant power outage in 2019 that affected one million people, Neso was mandated to provide Ofgem with an annual report detailing potential high-risk grid events and their associated management costs. However, the report for the current year has been canceled because Neso failed to complete the previous year's version in a timely manner. Ofgem stated that there would be insufficient time to prepare the 2027 report if Neso were to complete this year's filing, leading to an exemption.
Further concerns have arisen regarding Neso's attempts to lower operational standards. In 2025, Neso proposed watering down its standards, a move initially rejected by Ofgem. Despite this, a consultation revealed that a third of 15 stakeholders supported the proposal. Neso resubmitted the proposal in March, with three out of seven expert panel members dissenting. Nevertheless, Ofgem granted permission for the grid to operate with reduced 'inertia,' a key indicator of grid stability.
In addition to the risk reports, Neso was also due to submit a 10-year electricity supply statement this year, having already missed two previous deadlines. Ofgem has now stated that this statement is no longer required and will be replaced by new strategic plans, which are themselves delayed and not expected until the end of 2028.
Andrew Larkins, an energy consultant who has previously advised Neso, suggested that these delays indicate the operator is struggling to meet the government's clean power targets. A leaked report commissioned by Neso and produced by Cornwall Insight suggests that the push for net-zero emissions by 2030 could lead to higher electricity bills and increased susceptibility to blackouts. The report, shared with The Times by a whistleblower, claims Neso lacks the ability to accurately map the modern power system due to the proliferation of renewable energy sources, leading to reduced visibility of power supply and demand.
Heatwave Incident Investigation
Neso faced increased pressure during a recent heatwave. Extreme temperatures can cause wind turbines to slow, gas power plants to falter, and French nuclear plants exporting electricity to the UK to power down, while simultaneously increasing demand for cooling. Confidential internal Neso reports, seen by The Times, indicate that five safety limits on Britain's electricity grid were breached during a heatwave last month, compromising system security. Neso had initially asserted that the system operated securely during the June 23 incident, but questions have been raised about why its protocols for rationing electricity to prevent uncontrolled blackouts were not followed.
Claire Coutinho, the shadow energy secretary, stated that whistleblowers informed her that Neso's corporate affairs team interfered in the handling of the June 23 incident. Ofgem announced earlier this month that it would launch an investigation into allegations that Neso had downplayed the severity of the heatwave incident. The Department for Energy Security and Net Zero maintains that the UK's electricity system is among the most reliable globally, with no history of a complete grid shutdown, and expresses confidence in Neso's ability to manage demand during heatwaves.