£2bn scheme approved to bring renewable energy to North East and Scotland

A £2bn scheme will see huge amounts of renewable energy sent to the North East as part of the UK’s efforts to hit environmental targets, it has been announced.

Energy regulator Ofgem has announced the scheme that will see around 120 miles of cable laid between East Lothian, in Scotland, to the Hawthorn Pit in County Durham to carry two gigawatts of wind energy to the North East. Most of the cable will be under the North Sea, with 12 miles of underground cables linking to substations and converter stations at either end of the link.

The project aims to reduce the UK’s reliance on volatile international gas markets and increase the amount of power the country can get from offshore wind farms. Currently energy generators often have to turn off wind farm production during times of high wind due to lack of grid capacity.

The project is being developed by SP Energy Networks - which provides power in parts of southern Scotland, north Wales and the North West - and National Grid Electricity Transmission. Ofgem said it had built in “safeguards” to the project to ensure benefits were passed on to customers in terms of lower bills.

Beatrice Filkin, Ofgem director of major projects, said: “Today’s announcement takes us another step closer to achieving Great Britain’s 2030 Clean Power ambitions. It means customers can reap the benefits of abundant homegrown wind faster, while also being increasingly shielded from volatile imported gas prices.

“Our fast-track process provides developers with access to some initial upfront funding from the projected budget, so they can secure the supply chain commitments needed to secure the sought-after materials to deliver this project as soon as possible.”

It is hoped that work on the Eastern Green Link 1 scheme will start next year and become operational by 2029. The link would transport energy from North Sea windfarms and provide power to around two million homes.

National Grid believes up to 400,000 jobs can be created in the net zero energy sector by 2050, including around 150,000 jobs anticipated in the North and Scotland. Some of those will be linked to the delivery of Eastern Green Link 1 and a second scheme linking North Sea wind farms to the UK.

Zac Richardson, offshore delivery director for National Grid said: “Ofgem’s announcement is another critical milestone to support net zero and energy security ambitions. We now look forward to delivering supply chain contracts, jobs, and skills, and helping to fulfil the government’s ambition for the UK to be a clean energy superpower.”

Pearse Murray, SP transmission director at SP Energy Networks, said: “Getting today’s go ahead for this critical green electricity superhighway is an important milestone. We look forward to developing this transformative infrastructure project, but given its technically complex and innovative nature other critical decisions remain to be taken and we continue to engage with Ofgem on these.

“This offshore link will transport enough electricity for two million homes alone and with three more links expected, the east coast could see electricity for over eight million homes transported under the sea making a significant difference to the UK’s economic and climate ambitions. There is a huge pipeline of offshore wind projects waiting to be built, providing the UK with green, renewable electricity, these links will ensure the renewable energy generated doesn’t go to waste.”