It is both “necessary and possible” to deliver transmission infrastructure in seven years, according to Electricity Networks Commissioner, Nick Winser.
Delivering his report into how to drive a transformation of Britain’s electricity system and ensure the UK can make the most of its renewable energy success, Winser outlined how accelerating the delivery of transmission infrastructure is “vital” but also “challenging”. The UK has made “extraordinary progress” to date when it comes to developing renewable energy capacity and has big ambitions for offshore wind (50GW) and nuclear power (24GW).
However, it will all be rendered meaningless if this power cannot be transported to homes and businesses up and down the country. Winser was appointed back in July 2022 and tasked with cutting the time it takes to deliver strategic transmission infrastructure – which spans 12-14 years from identification to commissioning – by three years. Winser, however, concluded the UK needs to be more ambitious and cut it down to seven years.
Therefore, to accomplish this, Winser is recommending that the Future System Operator is established quickly and is made responsible for producing a Strategic Spatial Energy Plan (SSEP), forecasting supply and demand characteristics, their likely whereabouts, and also offering a chance to explore the characteristics and potential impact of the digitalisation of the energy system – set to be a crucial part of the transformation.
Further suggestions include the FSO, supported by Ofgem, urgently assessing the scope for new short-term and long-term regional flexibility markets; for the SSEP to reflect detailed and intensive joint working between the FSO, Crown Estate and Crown Estate Scotland; for Ofgem to provide strategic oversight and approval of the method of production of the SSEP and network plans, as this will shave off significant time from the process; and for the Department for Energy Security and Net Zero (DESNZ) to regularly provide inputs into the SSEP.
The National Policy Statements (NPS) need to be updated not only urgently, but regularly too. The SSEP should be endorsed by DESNZ and Ofgem on a regular basis and also referred to in an updated Energy NPS. This will give solid guidance to stakeholders and the Planning Inspectorate, especially around the alignment of need case, system configuration and design with national priorities, environmental management and economic efficiency.
Winser is also calling for a new Electricity Transmission Design Principles document to be created; for Ofgem to urgently conclude the Future Systems and Network Regulation consultation and then establish a new regulatory arrangement with the Transmission Operators (TOs); for the FSO and TOs to collaborate with government to design and implement a focused information campaign on the need for a grid refresh; for a clear and public set of guidelines for community benefit to be established; and for the new regulatory deal Ofgem establishes with TOs to place a strong responsibility on them to address acute supply chain constraints. Given how the global supply chain for key components is extremely stretched, long-term relationships need to be established with key providers to ensure transmission infrastructure to deliver net zero can be built.
Reforms should be implemented to the Development Consent Order process in England and Wales, with sharing environmental, geological, economic and social data, as well as providing more guidance on environmental trade-offs, likely to be significant. Much better supporting evidence being produced at a system level will likely lead to strategic transmission projects becoming a good candidate for the proposed fast track process.
North of the border, reforms should also be implemented to the Electricity 1989 consenting process in Scotland. This should be with a view to broadly align processes under it and the Planning Act of 2008 through introducing a pre-application process, defined timescales for the different stages, and clearer responsibilities for each party that is involved in the operation of the Electricity Act in Scotland. Aligning the processes in Scotland, England and Wales will also help when it comes to reinforcing the system across the Scottish border – a “significant task”.
