Changes in power sector
Flexitricity unveils breakthrough in energy market
Ron Ramage and Alastair Martin in the 24/7 control room (pic: Terry Murden)
Power company Flexitricity has launched a new way for commercial customers to access supplies of gas and electricity that will cut costs by transforming the way it is traded.
The Edinburgh-based firm is opening up the market to bring its customers into the balancing mechanism – the real-time electricity market National Grid uses to balance supply and demand.
Flexitricity has created direct access to electricity and gas markets for its customers by becoming a supplier. It says this will unlock more value for customers, and make its electricity system more flexible and efficient— hence cheaper, greener and more secure.
It is providing the first opportunity for electricity customers and small generator owners to optimise their flexibility on the day, by trading in the balancing mechanism. For energy users, this is a major new revenue source.
Flexitricity founder Alastair Martin, now chief strategy officer, has pioneered the changes now taking place in the industry.
“It has been National Grid’s job to match supply and demand, but the system of turning off generation and warming up again is quite inefficient,” he said at the launch of the service at it head office in West Port.
Ron Ramage, chief executive, said the latest development is a “massive leap for the industry”.
Energy Minister Paul Wheelhouse had been due to attend the launch but was called away to attend to parliamentary business.