Labour’s aim to decarbonise the UK’s electricity grid by 2030 is a “huge challenge” but achievable with the right policy incentives, the newly-formed National Energy System Operator (NESO) has said.

The state-owned body, which operates both the electricity and gas distribution systems, said the goal was at the “limit of what is feasible” but could be done if a variety of measures were quickly implemented. In October, NESO was acquired by the government from National Grid in a £630m deal that gave it greater powers to align future strategy for the energy grid.

In its manifesto, Labour set itself a lofty goal of entirely decarbonising the UK’s energy grid by 2030 – bringing forward the already-ambitious 2035 target. But for this to be achieved, green energy infrastructure needs to be installed at pace.

Historically, the grid has been reliant on a comparatively small handful of large power stations that are responsible for meeting domestic power demand. A decarbonised grid requires an entirely...