Local Constraint Market extended to January 2027

Two people looking over gate into field with sheep in

In collaboration with Piclo, the UK’s leading flexibility services marketplace, we're pleased to announce the extension of the Local Constraint Market (LCM) in Scotland until January 2027.  

The LCM, is crucial for managing transmission constraints on the network between Scotland and England, enabling flexible energy resources to support the electricity network in real-time. Launched in 2023, it has experienced significant growth and innovation, supporting the management of constraints on this part of the electricity network. 

Over the past year, the LCM has achieved remarkable milestones, including: 

  • A 7x growth in provider participation and an increase bids from Q1 to Q2 2025
  • The introduction of features such as Applicable Balancing Services Volume Data (ABSVD) opt-out, allowing providers to 'opt-out' of ABSVD and receive the wholesale Day-Ahead price in addition to their bid price
  • Supporting asset-level metering, which facilitates participation from meters at the asset level, improving data access
  • Attracting a growing ecosystem of Flexibility Service Providers, including Axle, CUB, OVO, Octopus, EDF, and others

This extension highlights NESO's successful role in fostering a flexible, resilient, and decarbonised electricity system. Together, NESO and Piclo will also collaborate with regional Distribution System Operators (DSOs) to further integrate LCM learnings into wider market frameworks, enhancing value across the system.

Get Involved

The Local Constraint Market (LCM) remains open to participants with flexibility assets in Scotland. Whether you manage EV charging, residential demand, or distributed generation, the LCM offers a commercial opportunity to support grid resilience and decarbonisation. 

You can also learn more about the Local Constraint Market and how you can get involved below.

Find out more