The GB power sector can initially appear daunting due to its many technical terms and processes. This beginner’s guide provides the resources you need to get started. This article looks at Great Britain’s power system, electricity markets, and the wider energy industry.
Step 1: Getting to grips with the basics of the energy system
The Energy Academy will help lay strong foundations on the core aspects of the GB power sector. Concise and easily digestible videos enable you to learn about and quickly understand key features of the electricity markets and the broader energy system.
- Series 1 focuses on the structure of the electricity system (Generation, Demand, Transmission etc.). Series 2 and Series 3 examine Great Britain’s electricity markets in more detail, covering wholesale markets and how participants trade.
- You can also access all the videos on YouTube.
BONUS:
- Explore the Archive content for further insights into the energy space.
- Also, check out the ERCOT (Texas) series to see how power grids vary in different locations.
Step 2: Back to the Future (of the power sector)
Understanding the wider ‘energy transition’ is key for those starting out.
National Grid ESO’s Future Energy Scenarios explain this. The Pathways to Net Zero, in particular, outline potential pathways to reach net zero by 2050.
- The ESO also produces a helpful ‘Pathways at a Glance’ document, which provides an overview for those learning about the energy space.
BONUS:
- Check out Modo’s view on the term ‘energy transition’.
- Also worth reading is a pair of articles by Michael Liebreich on why the energy transition may be harder and easier than we think.
- Additionally, our research article and podcast examining what this means for BESS.
Step 3: Filling in the gaps in the electricity markets
Once you’ve got to grips with the basics and understand the bigger picture, you can look at more key power sector features you may not yet have had the chance to explore. Articles in our GB BESS Outlook and Research Library can help here. Areas you might be interested in include:
You can also use the search function (hit ctrl K from anywhere on the platform or click the looking glass in the toolbar to look for key terms) to look for other topics.
BONUS:
- Check out our Benchmarking Methodology for more explanation of how Modo tracks asset performance.
- Additionally, the ESO has an ‘Electricity Explained’ section, a helpful beginner’s guide to matching supply and demand in the power system.
- You can also check out Michael Liebreich’s Hydrogen Ladder, which provides a great overview of hydrogen’s role in a decarbonized society.
Step 4: Getting in the weeds of the wider energy industry
Once you’re comfortable with broader energy space, you can introduce some more specialized areas and add more depth to your current breadth of knowledge. Podcasts such as Transmission, Cleaning Up, and Redefining Energy have great interviews and discussions on various topics - search for these wherever you get your podcasts. See the bonus section for some recommendations.
BONUS:
- Talking the Clean Energy Transition with Michael Liebreich
- Shining a light on solar investment with Ross Grier
- Renewable power trading with Julie Arnold
- EV charging with Ian Johnston
- Demand side response with Alastair Martin
- Carbon capture, utilization and storage with Olivia Powis
- Exploring the Balancing Mechanism with Claire Dykta
Step 5: Keeping your finger on the pulse of the power sector
Now that you’re up to speed, you’ll want to stay on top of the latest trends and changes. You may still come across new technical terms or abbreviations you don’t understand - use the Elexon Glossary to help decode these - but by now, you should be comfortable with most of the energy content you encounter.
Sign up for the Modo Energy newsletter to stay informed on the market. We publish articles on major market changes, such as Hinkley Point C’s delay and the recent battery tolling agreements.
BONUS:
- Follow our LinkedIn page to stay on top of the latest changes in the market.
- For those who love data, download the GridCarbon app to track the Grid Carbon Intensity in Great Britain. Also, check out the National Grid App for a geographical overview.
- The YEP Forum (Young Energy Professionals) is open to anyone in their first ten years in the energy sector, regardless of age. They host regular free events ranging from lunch-and-learn ‘power hours’ to site visits across the country, enabling you to meet other newcomers to the energy space.
Let us know how you get on or if you have any questions about the content discussed. If you have any feedback about this beginner’s guide, we’d love to hear it.