Accelerating grid connections is a key step in the transition towards net zero

Great Britain’s rapid and positive progress on decarbonisation, particularly over recent months and years, has led to an unprecedented number of applications to connect to the electricity system. The system that has worked well in the past – facilitating record levels of renewable power to plug into our networks – is not working for Britain today. Last week, I joined Alice Delahunty FREng and Cordi O'Hara OBE FEI to share with investors the steps we are taking to help reform the process and accelerate the connection of clean energy projects to the grid.

Plugging more clean energy projects into our UK networks is a key priority for National Grid’s Electricity Transmission and Electricity Distribution businesses, and a critical issue for our sector, as we seek to deliver a clean, fair and affordable energy future. Today, the connections pipeline for both transmission and distribution in Great Britain stands at around 600 GW – multiple times the capacity needed to be connected by 2035 to enable the decarbonisation of the power system.

It’s heartening to see the progress also being made. We have connected nearly 10GW of clean power sources to our electricity transmission network over the last five years, with more than 3 GW of projects connected last year, including:

• The world’s largest offshore wind farm; Dogger Bank
• The world’s longest subsea interconnector; Viking Link
• The UK’s first transmission level solar farm; Larks Green

Meanwhile, on our distribution network, we have continued to see progress over the first half of the 2023/24 financial year with the connection of 51 new renewable energy customers, 750 energy storage technologies, 7,700 EV chargers, 3,500 heat pumps, and 15,400 solar installs. ?

However, the pipeline of applications to connect has grown significantly. In the last six months alone, more than 80 GW of connection was applied for across our Electricity Transmission networks – compared to the 65 GW of total generation that’s connected today – so it’s critical that we collaborate with industry, Ofgem and the UK government to find innovative solutions that will make plugging in to our networks faster and more flexible.

At the root of the problem, an unconstrained market (with low barriers to entry) and a first-come, first-served system is incentivising developers to apply for connections whether their project is ready or not. That, in turn, is leading to stalled projects blocking the way for viable schemes.

The good news is that the collaborative work mentioned above is coming to fruition – most recently in the form of the government and Ofgem’s Connections Action Plan. It builds on steps we have already taken in partnership with the Electricity System Operator (ESO) and wider industry on reform, while acknowledging the urgent need for further measures to speed up clean energy connections.

Alongside reform of industry processes we are building out the network infrastructure required. To make sure we can connect this new renewable energy, we’re investing in the largest overhaul of the grid in generations. In the five years to 2026, we’re investing around ￡42 billion across the Group, with around ￡18 billion of this investment in the UK.?

The Great Grid Upgrade will enable our transmission network to connect and carry more clean electricity to communities in every part of England and Wales, supporting faster progress towards a clean and affordable energy system.

Addressing constraints on the network and speeding up connections is key to the UK achieving net zero and reducing our reliance on fossil fuels. We look forward to working together with the entire energy industry to make it happen.