UK energy operator sticks with Palantir in £21M direct award
Proprietary platform keeps incumbent in place while NESO prepares a future competition
The UK's National Energy System Operator (NESO) has awarded Palantir a £21.2 million contract without competition, extending a three-year relationship that began under private ownership. The £17.7 million (£21.2 million including VAT) contract will continue licensing and supporting two critical business processes on Palantir's Foundry platform.
NESO stated it needed to maintain the partnership to avoid disrupting customer services and regulatory obligations while preparing a competitive procurement for a replacement platform. Palantir possesses the necessary expertise to maintain and support the solution effectively. The new contract runs from September 8, 2026, to July 31, 2027, with potential six-month extensions until July 31, 2028.
NESO, established under the Energy Act 2023, is responsible for coordinating and planning Great Britain's electricity and gas systems and has begun discussions with suppliers about a new Strategic Enterprise Modelling Capability, which could run until July 2032.
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