New Standard to Speed Up Local Authority Energy Planning

Energy networks and councils agree common format for local energy plans

UK electricity network operators have agreed a shared template that allows councils to submit their local energy plans once, rather than multiple times to different utilities. The new “Local Authority Common Ask” framework has been developed jointly by UK Power Networks Distribution System Operator, National Grid Electricity Distribution and Scottish and Southern Electricity Networks.

The change may sound technical. However, it addresses a practical frustration that many councils have faced for years. When a local authority prepared a Local Area Energy Plan, it often had to rework the same data to meet different formats required by each Distribution Network Operator, or DNO.

For areas that sit across more than one network boundary, this duplication created cost, delay and avoidable risk. Officers had to interpret slightly different definitions, projections and data fields. Utilities, in turn, received information in inconsistent formats, making it harder to compare and apply.

The new template provides a single, harmonised structure for sharing Local Area Energy Planning outputs with all participating electricity networks. Data is submitted once. It can then be reused by each operator for its own planning and investment processes.

Although this development sits primarily in the public sector, it has clear commercial relevance for UK businesses. Local energy planning shapes decisions on substation upgrades, grid reinforcement, electric vehicle charging capacity and heat electrification. These decisions influence connection times, project viability and the long term cost of energy infrastructure.

For SMEs considering site expansion, fleet electrification or heat pump installation, the quality and consistency of data flowing between councils and network operators matters. More accurate local forecasting should support better targeted grid investment. In theory, that means capacity arrives where it is needed, sooner rather than later.

Announced in February 2026, the agreement reflects a broader push towards joined up planning as the UK moves further into electrification of transport and heat. It also links to ongoing regulatory reforms from Ofgem that require networks to play a more active role in coordinating local decarbonisation.

How the Local Authority Common Ask was developed and what it covers

The initiative builds on earlier cross sector collaboration under the Energy Networks Association Open Networks programme. Open Networks, launched in 2020, set out to create more consistent approaches across electricity network operators. According to the Energy Networks Association, the programme aims to standardise how networks plan and operate as the system decentralises.

In recent years, local energy planning has accelerated. Councils across England and Wales have produced Local Area Energy Plans, often supported by funding from the Greater South East Net Zero Hub and similar regional bodies. These plans model future demand for electricity, heat and transport, and map potential infrastructure requirements.

However, each Distribution Network Operator runs its own statutory planning processes. Two of the most relevant are Distribution Future Energy Scenarios and the Distribution Network Options Assessment.

Distribution Future Energy Scenarios, known as DFES, set out different projections of how energy demand might evolve on a local network. Distribution Network Options Assessment, or DNOA, identifies projects needed to reinforce or adapt the grid under those scenarios.

Until now, councils often had to translate their Local Area Energy Planning outputs into formats aligned with each operator’s DFES and DNOA requirements. This created extra work and sometimes introduced inconsistencies between submissions.

The newly agreed template provides a uniform specification for submitting granular spatial forecasts. In practical terms, it links planned housing growth, commercial development, transport electrification and heat decarbonisation to expected electricity demand at a local level.

Delivery partners ERM and Regen supported the development process. Oxfordshire County Council, which spans more than one electricity distribution area, contributed practical input. The template is designed to reflect real life local authority workflows, not a theoretical reporting exercise.

The standard was formally announced on 10 February 2026. It applies initially to the participating Distribution System Operators, with other networks expressing interest. If adopted more widely, it could create a common national approach.

The framework also connects to emerging roles known as Regional Energy Strategic Planners. Ofgem has set out proposals for these planners to coordinate strategic energy planning at a regional level. Greater data consistency at local authority level will support that wider coordination.

Importantly, the template does not replace Local Area Energy Planning. Councils still decide whether and how to produce a plan. Instead, it standardises how completed plans are shared with the electricity networks that must invest in response.

What coordinated local energy planning means for SMEs and developers

At first glance, a data template agreed between councils and network operators may feel remote from day to day business decisions. In practice, it connects directly to capacity constraints, connection timelines and infrastructure charges.

Many UK businesses are now dealing with grid connection delays. Warehouse operators installing electric vehicle chargers, manufacturers upgrading plant to electric heat, and developers building new commercial units often face long lead times. In some areas, connection offers include reinforcements that add significant cost.

Better aligned data between councils and Distribution System Operators should lead to more accurate forecasts of local demand. When forecasts are more consistent, network operators can plan reinforcements with greater confidence.

For example, if a council’s Local Area Energy Plan identifies a cluster of industrial estates likely to electrify over the next decade, that information can feed directly into Distribution Future Energy Scenarios. As a result, reinforcement projects can be prioritised earlier.

In theory, this reduces the risk that a single business triggers major network upgrades at short notice. Instead, investment can be phased and coordinated. That approach should help stabilise costs over time.

There are also implications for property developers. Planning authorities increasingly consider energy infrastructure as part of development approval. If local energy plans are aligned with network planning processes, developers may find clearer guidance on available capacity and expected upgrade timelines.

Furthermore, financiers and large customers are scrutinising infrastructure risk more closely. Carbon reduction plans often assume electrification of fleets or heating systems. If grid constraints undermine those plans, businesses can miss contractual or tender commitments.

From a compliance perspective, the move supports a more transparent planning environment. Companies subject to reporting frameworks may need to explain how they will meet emissions targets. Aligning projects with credible local infrastructure plans improves that narrative.

We see this regularly in our work on carbon reporting and ESG compliance support. Ambitious targets are common. Grid capacity is the gatekeeper.

The framework may also influence procurement decisions. Businesses selecting new sites will want clarity on future network capacity. Consistent data between councils and Distribution System Operators provides a stronger evidence base for those decisions.

However, it is important to remain realistic. A common template does not guarantee immediate capacity increases. Network reinforcement projects still depend on regulatory approval, funding settlements and engineering constraints.

In addition, not all electricity networks have formally adopted the template at this stage. The practical benefits will grow as more Distribution System Operators align behind it.

Nevertheless, the direction of travel is clear. The UK energy system is moving from reactive connections to proactive planning. Joined up data is a prerequisite for that shift.

Essential points about the new common template

• • The Local Authority Common Ask allows councils to submit Local Area Energy Planning outputs once in a harmonised format.

• • UK Power Networks DSO, National Grid Electricity Distribution and SSEN have agreed the initial standard.

• • The framework supports core planning processes including Distribution Future Energy Scenarios and Distribution Network Options Assessment.

• • It particularly benefits around 54 local authorities that span more than one electricity network boundary.

• • The initiative was announced on 10 February 2026 following collaboration with ERM, Regen and councils such as Oxfordshire County Council.

• • Other Distribution System Operators have shown interest, creating potential for wider national alignment.

• • The change aims to improve data quality, reduce administrative burden and support better targeted network investment.

Why businesses should track local energy planning more closely

For many SMEs, local energy planning still feels distant from commercial strategy. That approach is becoming harder to justify.

Electrification sits at the centre of the UK’s net zero pathway. Transport, heating and some industrial processes are moving towards electricity. As demand rises, local grid constraints become a business risk rather than a technical footnote.

When we support clients through our structured net zero planning services, grid capacity frequently emerges as the limiting factor. A heat pump installation or rapid charger rollout often hinges on substation capacity.

The new template does not remove that constraint. However, it should improve visibility. If councils and Distribution System Operators share consistent assumptions about future demand, businesses can engage earlier and more effectively.

There are practical steps worth considering.

First, review whether your local authority has completed a Local Area Energy Plan. Many councils publish summaries online. These documents often contain maps of priority investment zones and expected technology uptake.

Second, align your capital investment timelines with published network planning cycles. Distribution Network Options Assessments identify reinforcement projects over multiple years. Timing your connection request around planned upgrades can reduce cost exposure.

Third, factor grid capacity risk into property decisions. When acquiring or leasing new premises, ask for clarity on available capacity and any pending network reinforcement plans. Do not assume that neighbouring developments will not affect you.

Fourth, engage early with your Distribution System Operator if you are planning material electrification. The earlier the dialogue starts, the more likely your demand can be incorporated into forecast scenarios.

This all forms part of effective governance. Investors and larger customers increasingly expect credible infrastructure planning behind emissions targets. Clear alignment between your decarbonisation plans and local network forecasts strengthens that position.

Finally, avoid seeing this development as purely administrative. Joined up data underpins capital allocation decisions across the energy system. Over time, better coordination should reduce the risk of stranded assets and unplanned cost shocks.

Further reading

Readers who want to explore the policy context further can review Ofgem’s work on regional energy planning and Distribution System Operator reform on the Ofgem website. Ofgem sets the regulatory framework within which network operators plan and invest.

The Energy Networks Association provides background on the Open Networks programme at energynetworks.org. This explains the broader move towards consistent processes across electricity networks.

Information on Local Area Energy Planning, including support from regional hubs, is available via the UK Government’s Local Net Zero Hubs pages.

Finally, councils often publish their own Local Area Energy Plans on their websites. Reviewing your local document can provide useful insight into expected infrastructure changes, priority technologies and projected demand growth in your area.

While the new common template sits behind the scenes, its influence will be felt in investment decisions that shape connection availability and cost. For SMEs planning growth or electrification, that makes it worth paying attention.