Ofgem has initiated a one-month consultation on its proposed “Beyond 2030” projects, aimed at unlocking the next phase of grid infrastructure investment. The consultation includes proposals for a regulatory approval and funding framework for onshore electricity transmission projects recommended by the Electricity System Operator (ESO) and a formalized project scope change governance process for these projects.
The consultation confirms Ofgem's agreement with the need for the ESO's “Beyond 2030” plan, which includes major transmission network investments across the north of Scotland to help reach net zero. It also outlines the regulatory delivery pathways required to progress these projects.
The “Beyond 2030” plan details the necessary projects to connect all ScotWind offshore wind projects and other low-carbon technologies, supporting the country's transition to net zero and enhancing energy security through homegrown, low-carbon electricity generation. In the north of Scotland, Ofgem supports the ESO's plan, emphasizing the need for several projects to be delivered by the mid-2030s.
These projects represent a potential estimated investment of over £5 billion for SSEN Transmission and include the Shetland Hub, a second High Voltage Direct Current (HVDC) subsea link from Shetland to Coachford (Blackhillock 2) substation, and DSUP, a new 400kV double circuit between Dounreay, Thurso, and Banniskirk (Spittal 2), with new 400kV substations at Dounreay and Thurso.
SSEN Transmission has been identified as the delivery body for the Shetland Hub, DSUP, and PKUP projects. The confirmation of the remaining BKUP project delivery is expected in the coming weeks. These network investments will undergo extensive public consultation to inform the development of the new and upgraded infrastructure requirements.
Further assessment is required for other projects in the north of Scotland included in the ESO's “Beyond 2030” report to determine the appropriate level of investment and the best solution for north-south power transfer to fully realize the potential of ScotWind, stated SSEN Transmission.
“Today's consultation launch reaffirms the need for these projects and underlines the importance of investment in the electricity transmission network to reach national energy targets, while also offering further clarity on our post-2030 growth plans,” said Rob McDonald, Managing Director of SSEN Transmission. “We now look forward to a timely decision from Ofgem and will continue to work constructively with the regulator and wider stakeholders to unlock the investment required for these vital projects to help us reach net zero.”
