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NETWORK / 12 / SEPTEMBER 2016 INTERVIEW R egulation and innova- tion are not easy bedfel- lows. One is synonymous with control, caution and inter- vention. The other conjures thoughts of risk-takers and rule-breakers, dreamers and entrepreneurs. The challenge being laid before the UK's regulated energy networks, with their regional monopolies and risk-averse investors, to innovate more and more ambitiously is therefore far from straightforward. In recent years, as the requirement for significant investment and change to the established energy system has become clearer, UK DNOs have moved to embrace new funding streams for innovation. Projects looking at ways to support the connection of more forms of intermittent renewable genera- tion, predict and prevent faults, find novel ways to get more out of existing assets, and so on, are proliferating. But despite all this activity, there's no denying networks – especially at a distribution level – come in for considerable flak from impatient advocates of transformation. They are criticised as slow moving and cautious. Some have even sug- gested that they, and the regula- tor, actively obstruct innovations which might lead to significant departures from the market sta- tus quo – ideas which might require a serious rethink of DNO business models. Peter Emery, the recently installed chief executive at Electricity North West (ENW), observes the tussle of market and regulatory forces with inter- est and – as a newcomer to the world of regulated monopolies – with an objective eye. He joined ENW from Drax in May this year and before that he worked at oil and gas giant Exxon Mobil. Moving to ENW from these firms, in highly com- petitive markets, Emery admits he's "never worked in anything quite like" the networks indus- try. "It's very much a hybrid of government and industry in col- laboration, but also, industry in competition." Despite being the "new kid on the block", however, Emery has already formed views about how innovation is, and could New kid on the block Peter Emery, chief executive of Electricity North West, talks to Network about industry innovation structures, customer satisfaction and network resilience.