The energy landscape is undergoing the most significant transformation since market deregulation. After years of segmentation, it is entering an era defined by collaboration, flexibility, and the emergence of a fully interconnected ecosystem linking suppliers, technology partners, and consumers. Central to this change is the implementation of Market-wide Half-Hourly Settlement (MHHS) and the associated acceleration of flexible tariffs, which are set to redefine how energy is purchased, consumed, and valued.
This shift isn’t simply about new tariffs or new technologies, though. It will help forge a greener, more efficient energy future by enabling each participant in the value chain − supplier, partner, and consumer − to play an active role in balancing the system.
The changing energy landscape
For decades, the industry operated on a one-way model. Energy companies generated power, networks distributed it, and consumers used it; often unaware of how, when, or at what cost. But as both supply and demand become increasingly dynamic, that traditional model is no longer sustainable.
The energy system of the future must be interactive, intelligent, and balanced in real time. That requires a new ecosystem where:
Suppliers use consumption data to procure energy more efficiently
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Technology partners enable homes and businesses to monitor and automate their energy usage
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Consumers respond to price signals, generate their own power, and store energy during cheaper periods
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This collaborative model is the only way to achieve a grid that is greener, more resilient, and capable of supporting the accelerating electrification of heating, transport, and industry.
Being flexible
At the heart of this transformation are flex deals that offer consumers different prices depending on when they use energy. Cheaper power during low-demand periods and higher prices during peak times encourage households and businesses to shift consumption to moments when the grid is under less strain.
Ofgem’s position is crystal clear. They want as many consumers as possible to transition to these flexible arrangements. Not only do they help balance the grid, they also allow suppliers to purchase energy in blocks matched to actual patterns of demand.
Whilst take up of flex deals has been modest in the past, the introduction of MHHS is being viewed as the catalyst. MHHS will allow every household and business in the UK to be settled and billed based on actual half-hourly usage, not estimated profiles.
This means that suppliers gain visibility into true consumption patterns so can hedge and price more accurately. It also means that consumers can gain insight into when they use the most energy and change their habits accordingly.
For consumers, MHHS is the moment when energy usage stops being an invisible cost and becomes a transparent, manageable part of household budgeting. For suppliers, it marks a shift towards smarter procurement and leaner operations. For the grid, it promises stability in the face of rising demand from electric vehicles and the gigantic data centres required for artificial intelligence calculations.
Consumers role in the new energy ecosystem
One of the most powerful outcomes of MHHS will be the behavioural shift it triggers among consumers. With greater visibility of their energy patterns, households are expected to adopt a more proactive approach to energy management.
As consumers begin to understand their usage peaks, many will turn to technologies that allow them to offset consumption during expensive periods. Home renewable solutions such as solar panels, small-scale wind, and particularly home batteries will all likely see a surge in adoption. This will cause consumers to shift from passive users to active contributors in a balanced, decentralised energy ecosystem.
For the grid, this creates a virtuous cycle of lower peak demand, less strain on infrastructure, reduced reliance on carbon-intensive generation, and increased integration of renewables.
How suppliers can enable a greener future
Suppliers have a crucial role to play in bringing this ecosystem to life. Their future success will hinge on enabling customers to make the most of flex deals and renewable technologies.
To start, it is important that they provide clear, transparent tariff structures that reward off-peak behaviour. Next, lean upon the latest breed of technology to provide tools and apps to consumers that visualise usage in real time. Finally, provide financial incentives to consumers who share capacity back to the grid.
To enable all of this, technology partners will become increasingly essential. Their innovations make it easier for consumers to automate energy-saving behaviour. Whether that be charging EVs overnight, storing not needed energy in batteries, or shifting appliance usage to off-peak windows.
A win–win
One of the most compelling benefits of widespread flex deal adoption is its dual impact on grid stability and affordability. It will help reduce pressure on the grid during peak periods. This will lead to fewer instances of emergency generation, lower long-term infrastructure investment needs, and better integration of other energy sources. At the same time, flex deals will lower bills due to greater off-peak usage, plus provide greater control and transparency over consumption. They will also provide opportunities to consumers to self-generate and store energy. In the future, they will also likely increase export potential as grids become smarter
There is no doubt that this ecosystem approach will be a win-win. It will create a more resilient grid without requiring massive upfront infrastructure investment. We all need to get involved. After all, the more that participate in the energy ecosystem, the cheaper and greener the whole system becomes.
A more collaborative energy era
As MHHS goes live and flex deals accelerate, 2026 is set to become the year the energy market finally transitions from passive consumption to intelligent, dynamic energy engagement. The market is set to became truly dynamic. Suppliers, partners, and consumers will no longer operate in isolation. They will form a shared ecosystem in which each contributes to grid resilience and carbon reduction.
This is not just a technological shift; it is a cultural one. Consumers will expect transparency. Suppliers will compete on intelligence, not just price. Technology providers will innovate at the intersection of data, automation, and home energy. The result will be a greener, more efficient, and more collaborative energy future for all.
