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Community Energy

Asked by Mark PritchardConservativeDepartment for Energy Security and Net ZeroTabled Answered 13 January 2026UIN 102730

The question

To ask the Secretary of State for Energy Security and Net Zero, whether he plans to allow community energy schemes to sell their power directly to households and businesses in nearby communities.

Answered by Michael Shanks

The Government recognises the role of community energy in delivering net zero and is working with Ofgem to address regulatory barriers, including routes to market. Through developing the Local Power Plan we are working with Great British Energy to explore measures to make it easier for community energy groups to participate in local energy markets.

The department, Ofgem and wider energy industry has also been working to make changes to industry rules to support the local trade of energy, including standardising the classification of local energy sites to provide a regulatory footing that will clarify the rules of setting them up, P441. Further updates and outcomes from this work will be provided in due course.

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