Introduction: The TDI 2.0 project aims to develop technical and commercial solutions to maximise the use of distributed energy resources (DER) to resolve transmission voltage constraints. In addition, it will develop a Distribution System Operator (DSO) route to market for such solutions in a coordinated manner with the existing System Operation functions.

The transmission and distribution network in the South East of England is at the limit of capacity for both importing and exporting power from the rest of the transmission system.

Further generation connection in the transmission network can be achieved by either significant investment in the infrastructure or with innovative solutions. The latter aims to achieve the same results as the infrastructure approach, but with significant savings.

Objectives: By creating a regional power market including DER in the South East, the SO will be able to tap into a previously unexploited resource. It will validate mechanisms by which multiple services and multiple constraints can be managed without conflicting with one another. Furthermore, it will create a whole system approach to addressing challenges on the transmission system by using resources on the distribution network to provide dynamic reactive support and create benefits for end consumers.

The value of services provided by DER to National Grid Electricity Transmission via UKPN coordination will amount to £29m by 2050 savings for customers and will enable the distribution network operator to connect further 3720MW by 2050 of generation in the area. The GB wider rollout of this method could deliver £412m savings by 2050.