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Ofgem gives provisional green light to projects to power millions of homes

By: Chloe Emanuel 01/03/2024 Ofgem

Cables General

Plans for two high voltage cable links to Europe which could help power millions of homes and harness the power of the North Sea have been recommended for approval by energy regulator Ofgem.

The projects being considered would provide more capacity for both exporting and importing energy, something which is needed as Great Britain moves toward a net zero energy system, which is more reliant on intermittent sources of generation such as wind and solar power.

Interconnection with European grids can help cut down on costs and waste by providing routes to sell excess clean power to the continent, for example during times when wind farms are generating more electricity than can be used, and to access power to meet electricity demand during times when energy supply here is more limited, such as during times of low wind.

The regulator has launched two separate consultations on its minded to position to fund the following projects: 

LionLink, a first of its kind electricity link which would not only link the British and Dutch power grids, but also connect Britain’s grid directly to Dutch wind farms in the North Sea. This so-called Offshore Hybrid Asset (OHA) could provide 1.8GW of electricity capacity.
Tarchon Energy interconnector which would provide a direct power link between Germany and Great Britain. The 1.4GW 610km cable could provide 1.4GW of electricity capacity.
 A gigawatt (GW) is equivalent to one billion watts, and one gigawatt hour (GWh) of electricity is enough to power one million homes for one hour.
An interconnector is an undersea high voltage cables connecting GB’s electricity transmission network to European markets via point-to-point connection, allowing power to be both exported and imported.
Great Britain currently has 11.7GW of interconnection capacity already operational or under construction today, and LionLink and Tarchon could add a further 3.2GW of capacity.  

Rebecca Barnett, Ofgem Director of Major Projects, said:  
“Interconnectors can make energy supply cleaner, cheaper and more secure. It’s a win-win and helps further harness the vast potential of the North Sea. We can sell our excess clean power to Europe, when we generate more than we need, or access power to meet electricity demand in Britain, during times when energy supply here is more limited.
 “We’ve assessed all the proposed projects on their individual merits against our published criteria and recommended regulatory support for the ones which we believe will deliver for consumers in terms of energy security and the economy.”  

Ofgem is also consulting on its current view not to approve another proposed OHA asset, and a further six proposed interconnectors, which have not thus far sufficiently convinced Ofgem that they meet the requirements for approval. 
Ms Barnett added: “We have a robust, detailed and transparent process for approving interconnectors and OHAs. However, we’ve not made any final decisions. Those projects not currently recommended for regulatory support can make their case in this consultation, their submissions will be considered along with any other feedback given.” 

To access more information on subsea cables for offshore wind and interconnector projects, as well as transmission intelligence, click here.

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Ofgem gives provisional green light to projects to power millions of homes

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