British government acquires a company operating electricity sector for $828 million

The new British Labor Party government announced on Friday that it will acquire a major company operating the electricity sector, to tighten energy security in the country and support the transition to a carbon-free economy.

A joint statement said that the state will acquire the Electricity System Operator, the body that oversees the balance between supply and demand in the UK’s electricity network, from the National Grid for 630 million pounds ($828 million), according to Sky News.

The body will be renamed the National Energy System Operator, and will be launched on October 1, according to the Department for Energy Security and Net Zero Carbon.

Energy Secretary Ed Miliband said, “Today marks a milestone for Britain’s energy system as we bring the system operator into public ownership to provide neutral expertise for the entire system in building a network fit for the future.”

“The new National Energy System Operator will play a major role in delivering our mission to make the UK a clean energy superpower,” he said.

The previous Conservative-led government had already planned to take ownership of the operator, which would bring together the planning of the electricity and gas network into one body.

“We need to move Britain away from expensive and insecure fossil fuel markets, to clean, cheap, home-grown energy that we control,” Miliband added.

“That way we will cut our bills in the long term, boost our energy independence and support skilled jobs across the country.”

The Department of Energy said the new operator would “support the government’s rapid action to accelerate the drive to net zero” by providing advice “on how the UK can achieve its target of clean energy by 2030”.a