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their reporting capacities and internal processes. Voluntary to mandatory is a big change. You’re going to need much more data; it needs to be good quality and auditable, and you’re going to need to tell a more forward-looking narrative about it and your organisation, too.” More data will be a natural consequence of the
upcoming Market-wide Half-Hourly Settlement (MHHS) programme. As the largest change to the electricity retail market in a generation, businesses can expect a mix of opportunity and risk. Robert Webb, bureau operations manager, sheds light on what organisations can expect from MHHS in 2026, and how can they prepare? “It wasn’t long ago the MHHS felt like a far-off change; now, it’s here. The central MHHS system went live in September, and from October 2025 some electricity suppliers started to move their customers from the older settlement arrangement to the new half-hourly system, in 2026 many more electricity providers will move. This 18-month migration window will see roughly 33 million electricity meters moved over, 80% of which are expected to be complete by October 2026. “Organisations need to prepare now. They may need to upgrade their meters and data platforms to handle exponentially higher data volumes, while also preparing for more complex imbalance management for forecasted and actual consumption. More granular data will also expose operational ineffi ciencies and peak-time consumption patterns that were previously hard to detect. Some businesses will face uncomfortable truths about their energy usage and potentially higher costs as a result. All, however, will have the chance to take advantage of new dynamic pricing models – which combined with energy effi cient technologies, self-generation and more, have the potential to signifi cantly reduce organisations’ costs, energy, and emissions.” Also upcoming is the Energy Savings Opportunity
Scheme (ESOS) phase 4 qualifi cation deadline. For energy managers and business leaders, the requirements for ESOS phase 4 are clearly defi ned with some pre-existing routes to compliance eliminated, and progress reporting now needed. Sam Arje explains why organisations should care about the upcoming deadlines for ESOS phase 4? “Though the new qualifi cation date is December
31, 2026, the fi rst compliance and submission deadline is December 5, 2027. With so little time between qualifi cation and submission, those responsible for their organisation’s ESOS compliance need to start preparing now, especially because the government has reduced the valid routes to compliance: Display Energy Certifi cates (DECs) and Green Deal Assessments (GDAs) will no longer be valid. “Reporting itself is undergoing a step-change, too.
Energy managers and business leaders need to now report on their progress toward the commitments made in their ESOS action plans. And if those commitments aren’t met, they’ll have an opportunity to explain why – and in these cases, silence might not be the sensible option. “Still, ESOS goes far beyond merely compliance. It’s a catalyst for meaningful change that helps
INDUSTRY INSIGHT
Top left to right: Greg Armstrong Principal Comsultant TEAM Energy
Robert Webb Operations Manager TEAM Energy
Sam Arje Senior Energy Consultant TEAM Energy
Timothy Holman Head of Operations TEAM Energ
Tom Anderton Head of Customer Success TEAM Energy
organisations to signifi cantly reduce their energy consumption and emissions while improving effi ciency. In many organisations, it helps to justify funding rounds or build the business case around new initiatives, such as replacing combined heat and power (CHP) units or installing solar PV.” New generation assets will soon be prioritised
for diff erent locations across the UK as the fi rst Strategic Spatial Energy Plan (SSEP) is set to be published next year. The release of NESO’s Whole Energy Market Strategy (WEMS) report this year has also raised questions about the fi nancial burden that net zero could place on UK organisations, as well as the upcoming Nuclear Regulated Asset Base (RAB) charges.
As the SSEP is a national change, head of business change, Greg Armstrong, explains what this means for individual organisations, and should they also be concerned with RAB charges or the Whole Energy Market Strategy? “The SSEP could have cascading eff ects on
organisations deploying near- or on-site generation and storage. Projects in areas identifi ed as strategic for decarbonisation may benefi t from streamlined planning processes and better alignment with regional energy plans. Longer-term grid development certainty will strengthen business cases for private wire investments by providing clarity there, too. “For consumers on pass-through contracts RAB will introduce a new charge on their bills, and though
it may be considered comparatively small, the long-term impact for large energy users could be signifi cant. For consumers on fi xed price contracts it is likely that the Suppliers will absorb these costs until renewal at which point they will be included in renewal quotes. It is also important to note the Energy Intensive Industries (EII) will not be required to pay the additional charge. “The new charges will impact budgets regardless
of consumption patterns and the detailed WEMS report has revealed a signifi cant imbalance between demand and supply-side funding, so organisations should be conscious about the scale of upcoming changes if funding imbalances continue. Those asking, ‘Who will pay for net zero?’ may not like the answer.” So where does that leave us? Well, one thing’s
for certain: the energy effi ciency landscape of 2026 demands a new level of preparedness from UK organisations. With regulatory frameworks becoming more ambitious and reporting requirements more rigorous, energy managers and business leaders can no longer aff ord reactive approaches. They must stretch their planning horizons into the future while putting systems and processes in place today. The reforms to EPB, the transition from SECR
to SRS, and the evolution of ESOS all point toward a common truth: comprehensive data, trusted partnerships, and early action are no longer optional. They’re essential.
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