Innovation projects have delivered more than £263m in financial benefits since the beginning of RIIO-2, the Energy Networks Association’s (ENA) latest Annual Innovation Summary report has revealed.
The annual report, coming at the same time as the Energy Innovation Summit in Glasgow, tracks the impact of innovation across Great Britain’s electricity networks, including innovation projects that have been deployed into business-as-usual network operations.
The range of benefits include lower bills, fewer interruptions and freeing up more network capacity for heat pumps, solar and electric vehicles connections.
An example of innovation already delivering benefits for customers is Northern Powergrid’s Artificial Forecasting project, which uses AI techniques to identify available network capacity, therefore reducing reinforcement costs.
Another example is SP Energy Networks’ VEST Enhancement Project, which uses enhanced data and mapping tools to identify barriers to low-carbon technology adoption, like no off-street parking for a charge point or limited space for a heat pump.
A customer-facing portal will provide households with tailored options and funding routes. The report shows that energy network innovation is moving beyond trials and into everyday operations, delivering lower costs, greater resilience and faster support for the energy transition.
This year’s Energy Innovation Summit focuses on Ofgem’s Strategic Innovation Fund (SIF) Challenges, which set priority areas for innovation across the energy sector.
In the previous financial year (2025/26), networks generated or received more than 1,000 innovation ideas. Collaborating with more than 50 partners, include SMEs, start-ups and universities, the networks are turning new ideas into practical solutions for households and businesses. For example, UK Power Networks collaborated with CK Delta on the Spotlight project, which uses machine learning and household‑level data to pinpoint those eligible for services such as the Priority Services Register and fuel poverty programmes.
Every year, networks commit millions of pounds through key funding mechanisms like the Network Innovation Allowance (NIA) and the SIF, to help build the energy system of the future and deliver clean power by 2030, it said.
Innovation challenges are published openly, allowing organisations that have never worked with a network before to contribute solutions. New Problem Statements will be published later next month on the Smarter Networks Portal as part of the annual Energy Innovation Basecamp process with the launch event taking place on the 4th February 2027.
David Boyer, Director of Electricity Systems at ENA, said:
“The Annual Innovation Strategy Report shows that investment in networks innovation is paying off focus customers. It also highlights the scale of sector collaboration and the progress being made to turn innovative ideas into real-world solutions.
“In the last financial year alone, over 400 different organisations were involved as project partners in network innovation programmes, and nearly 50 of the new projects registered last year originated from external partners.“As innovation moves from trial to deployment, networks will continue collaborating with partners to help deliver a more resilient, efficient and affordable energy system for consumers.”
Image courtesy of ENA
