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Amendments to the Terms and Conditions related to Balancing for NESO's Demand Flexibility Service 2026

OFGEM·decision·low·25 Mar 2026·source document

Summary

Ofgem approves NESO's amendments to balancing terms and conditions to incorporate service documentation for the Demand Flexibility Service. The changes update Article 18 requirements under electricity balancing guidelines to include DFS parameters within formal balancing arrangements. This represents administrative housekeeping rather than substantive reform of the service itself.

Why it matters

Minor procedural alignment that formalises existing DFS operations within regulatory framework. The service mechanics remain unchanged — this simply ensures compliance with balancing code requirements.

Key facts

  • •Decision published 25 March 2026
  • •NESO submitted proposal 30 January 2026
  • •Updates Article 18 Commission Regulation (EU) 2017/2195 requirements

Areas affected

flexibilitywholesale market

Related programmes

Connections Reform
Memo

Amendments to the Terms and Conditions related to Balancing for NESO's Demand Flexibility Service 2026 | Ofgem Please enable JavaScript in your web browser to get the best experience. BETA This site is currently in BETA. Help us improve by giving us your feedback . Close alert: Amendments to the Terms and Conditions related to Balancing for NESO's Demand Flexibility Service 2026 Publication type: Decision Publication date: 25 March 2026 Topic: National Energy System Operator (NESO) Subtopic: Balancing supply and demand Print this page Share the page Share on Facebook Share on Twitter Share on LinkedIn The Authority has decided to approve NESO's proposal to amend the relevant sections of the documentation for the Demand Flexibility Service (Service Terms and Procurement Rules) within the Terms and Conditions. On 30 January 2026, we received a proposal from the National Energy System Operator (NESO) to amend the terms and conditions (T&C) related to balancing required by Article 18 of Commission Regulation (EU) 2017/2195 establishing a guideline on electricity balancing, as amended by the Electricity Network Codes and Guidelines (Markets and Trading) (Amendment) (EU Exit) Regulations 2019 (EBGL). The proposal relates to an update to the T&C to incorporate service documentation for NESO’s Demand Flexibility Service (DFS). Documents Demand Flexibility Service A18 Decision 2026 [PDF, 164.97KB] Print this page Share the page Share on Facebook Share on Twitter Share on LinkedIn Close