Who runs Britain's energy system, and how do the roles fit together?
The GB energy system has five tiers of organisations, from government departments that set policy to consumers who ultimately fund the system. This page maps the main actors, shows how they connect, and explains what each relationship means for electricity, bills, and accountability.
Click any organisation to see what it does, where it sits, and what it means for consumer bills. Use the filters to isolate governance, commercial, or advisory relationships.
Governance (regulates)
Commercial (trades, supplies)
Advisory (advises)
Who does what, tier by tier?
Each tier has a distinct role. Government sets direction, regulators enforce rules, operators run the network, market participants trade energy, oversight bodies inspect and advise, and consumers pay for it all.
Tier 1: Government and Regulators
They set the rules and enforce them
DESNZSets energy policy, owns the net zero strategy, and decides how public money flows into energy infrastructure.
OfgemRegulates networks, sets the price cap, licences market participants, and runs the RIIO framework for network investment.
NESORuns system operation, balances supply and demand in real time, and now leads strategic network planning under the Energy Act 2023.
HM TreasuryControls public spending on energy, sets fiscal incentives, and funds GB Energy through departmental budgets.
£100m/yr
Ofgem operating budget
£50bn+
Energy spend shaped by DESNZ policy
3
Core governance bodies
Tier 2: Network Operators
They own and run the physical infrastructure
NGET / SPT / SSEN-TOwn and maintain the high-voltage transmission network that carries electricity from generators to regional distribution points.
Six DNOsDistribute electricity from grid supply points to homes and businesses across 14 licence areas in England, Wales, and Scotland.
Gas operatorsCadent, SGN, NGN, and Wales and West Utilities run the gas distribution networks that still serve around 85% of UK homes.
Elexon / XoserveRun the settlement and data systems that underpin electricity and gas markets, making sure money follows energy.
£2.4bn
NGET annual revenue
£8.4bn
6 DNO groups combined revenue
£3.2bn
Gas network revenue
Tier 3: Market Participants
They generate, sell, and trade energy
GB EnergyPublicly owned, created by the Energy Act 2023, invests in clean energy generation and local energy projects.
GeneratorsBuild and operate power stations, wind farms, and solar parks. Sell output through bilateral contracts, day-ahead markets, or the balancing mechanism.
SuppliersBuy wholesale electricity and gas, then sell it to consumers. Subject to the Ofgem price cap for domestic customers.
TradersBuy and sell energy contracts, provide liquidity, manage risk, and increasingly aggregate flexible demand from batteries, EVs, and heat pumps.
~£50bn/yr
Wholesale market turnover
£7.2bn
BM costs (2024)
£1.2bn/yr
Capacity market payments
Tier 4: Oversight
They inspect, audit, and advise without executive power
Environment AgencyRegulates emissions, waste, and water use from energy generation. Issues environmental permits for power stations and industrial sites.
HSEInspects safety at energy sites, enforces safety legislation, and investigates major incidents involving gas, electricity, or nuclear.
NSTARegulates oil and gas extraction on the UK continental shelf, manages licencing rounds, and oversees decommissioning obligations.
CCCThe Climate Change Committee advises Parliament and government on carbon budgets, net zero progress, and climate adaptation.
~85%
Market share held by Big 6 suppliers
20+
Active suppliers remaining
70+
Pre-crisis supplier count (peak)
Tier 5: Consumers
They pay for everything and have almost no formal power
Citizens AdviceStatutory advocate for energy consumers. Handles complaints escalated beyond the supplier, publishes supplier performance data.
Ofgem Consumer PanelAdvisory body that gives Ofgem a consumer perspective on regulatory decisions. No executive authority.
Consumer groupsOrganisations such as National Energy Action and Fuel Poverty Action that campaign on affordability, vulnerability, and access.
YouThe domestic or business consumer. You fund the entire system through bills, have a right to switch supplier, and can complain through regulated channels.
28m
Households connected
~£1,700/yr
Average bill (2024)
~6.5m
Homes in fuel poverty
What are the three types of relationship?
Every link on the map above belongs to one of three categories. Understanding which type of relationship you are looking at changes how you read the power dynamics.
Governance and regulation
Hierarchical and top-down. Government defines the policy direction. Ofgem translates that into licence conditions, price controls, and enforcement. Operators execute within those rules. If something goes wrong, accountability flows upward through this chain to ministers and Parliament.
Commercial flows
Generators produce electricity. Suppliers buy it wholesale and sell it to consumers at the regulated price cap. Traders move contracts between parties and provide liquidity. Money flows backward through the chain, from consumer to supplier to generator. Electricity flows forward, from generation to your meter.
Advisory and oversight
No executive power. These organisations advise, inspect, audit, and advocate. The CCC tells Parliament whether the country is on track for net zero. Citizens Advice tells Ofgem when consumers are being treated poorly. The HSE inspects sites and can shut them down for safety, but does not set energy policy.
Who funds whom?
The consumer pays the supplier. Suppliers pay DNOs through use-of-system charges, generators through wholesale contracts, and traders through market transactions. DNOs are funded by Ofgem-approved network charges that make up roughly 20 to 25 per cent of a typical household bill. DESNZ funds GB Energy through HM Treasury departmental budgets, meaning taxpayers also fund it indirectly.
Who licences whom?
Ofgem licences generators, suppliers, and traders under the Electricity Act 1989 and the Gas Act 1986. DNOs hold regional monopoly licences that give them exclusive rights to distribute electricity in their area. Ofgem can revoke licences for serious breach, though this has happened only rarely. NSTA licences oil and gas exploration and production on the UK continental shelf.
Who reports to whom?
NESO reports to DESNZ as its sponsoring department. Ofgem reports to the Secretary of State for Energy Security and Net Zero, and is accountable to Parliament through select committees. Market participants report their trades to the FCA for financial instruments and to Elexon for physical settlement. The CCC reports directly to Parliament under the Climate Change Act 2008.
Who advises whom?
The CCC advises Parliament and DESNZ on carbon budgets, adaptation, and the pace of decarbonisation. The Ofgem Consumer Panel advises Ofgem on how regulatory decisions affect consumers. The HSE and Environment Agency provide specialist input to DESNZ and Ofgem on safety and environmental standards. Citizens Advice feeds complaint data and consumer research back to Ofgem and government.
Why this page exists
The real gap is transparency. The UK energy system has many decision-makers, which sounds like a check on power. In practice, most people do not know who owns the poles, who sets the price cap, or why their bill changed. That is what this page aims to fix. When you can name the bodies and trace the relationships, you can start asking better questions about who is accountable for what.
Current position
Consumer representation sits mainly through formal protections, complaints routes, Citizens Advice, the Energy Ombudsman, and the Ofgem Consumer Panel rather than through direct participation in most operational forums. That makes clear communication and evidence-led regulation important, especially when market or network changes eventually flow through to bills.
Methodology and sources
Last reviewed: 17 March 2026
This page maps the stakeholder structure of the GB energy system using public sources. Tier assignment reflects statutory roles, not subjective importance.
SourceEnergy Act 2023 - NESO creation, GB Energy establishment, and updated governance framework.