Unlike developing countries, advanced economies combine top-down and bottom-up approach for strategic planning and consider energy policy in the wider scope of spatial planning. In order to better align planning policies in different sectors, the authorities have transferred decision making from the central government to the local communities. This paper provides a brief overview of the London’s strategic spatial and energy policies, examining how they fit within more general visions and objectives. Past and future approaches to the spatial and energy planning were also analysed, with respect to the legal documents that supported actions of different government levels. This paper presents decentralised energy planning and supply in London, highlighting the significance of experience and lessons learned in the development of decentralised energy options for developing countries, willing to engage their resources to contribute to a low carbon economy in accordance with their financial and other possibilities.