Part 5: Independent System Operator and Planner Section 165: Duty to have regard to strategy and policy statement
The Government has the power, in the Energy Act 2013, to designate a Strategy and Policy Statement (SPS). Section 165 imposes a duty on the ISOP to have regard to this SPS as defined in subsection (4). An SPS is a statement prepared and designated by the Secretary of State that sets out strategic priorities and policy outcomes of the Government’s energy policy as well as the roles and responsibilities of those who are involved in implementing that policy. The SPS provides a steer to the ISOP at a strategic level, whilst maintaining day-to-day operational independence.
	The ISOP must notify the Secretary of State if, at any point, it thinks that a policy outcome in the SPS will not be met. The notice must include the reasons behind the conclusion and any steps the ISOP is or might take to deliver the policy outcome.
	Subsection (5) to subsection (11) amend Part 5 (SPS) of the Energy Act 2013 to reflect the existence of the ISOP and allow the Secretary of State to review the SPS in connection with the designation of the ISOP.