National Grid has warned that handing over its role in preventing blackouts to energy regulator Ofgem would only serve to bring further uncertainty to the market.
The department of energy and climate change is looking at options for improving energy security, including greater independence for the system operator – which some believe means giving blackout responsibility to Ofgem.
“The costs and risks of introducing further change to market structures must be proportional to the benefit to consumers,” the National Grid said. “There is little evidence that an independent system operator model would deliver value to justify the significant consumer costs and risks to security of supply.”
The National Grid added: “We take very seriously the need to provide confidence that any potential conflicts of interest are properly managed and have a lot of experience operating in an environment where this is a key part of what we do. We will continue to work closely with government and regulators to proactively manage potential conflicts as our role develops."