Radical reform to fast-track cheaper, cleaner power plugging into
the electricity grid is one step closer to becoming a reality,
Ofgem has announced today (14th February).
The new connections system, which could be in place in spring
2025, would end the first-come, first-served system where clean
energy generation or storage projects that we need cannot get
plugged into the grid quickly enough, with some waiting a decade
or more.
Under proposals published today, projects would be fast-tracked
if they can be operational quickly and are needed to hit the
government's clean power targets for 2030. This new system, which
prioritises projects that are “ready” and “needed” would see
accelerated new offers made by the end of the year, with the
first connected and operational from 2026.
Akshay Kaul, Ofgem's Director General for Infrastructure,
said:
“This is a step change in tackling delays and shortening
queues on what is currently an outdated and unwieldy system. It
is key to achieving the Clean Power mission by
2030.
“Britain will not get a clean power grid by 2030 unless an
unprecedented volume of new renewable power and storage is
connected to electricity networks – that's why we're cutting back
the red tape and replacing the out-of-date connections
system.
“It will also help speed up connections for public services,
including housing, hospitals and EV charging stations, as well as
new industries like data centres which are key to boosting
economic growth”.
Energy Secretary said:
“We have enough energy projects in the grid connection queue to
deliver clean power by 2030, but many are stuck behind
speculative schemes, leading to delays of up to 10 years.
“These reforms are critical to deliver clean power by 2030 ,
which will bring forward an estimated £200 billion of private
investment.
“Our Clean Power Action Plan will fix the broken ‘first come
first served' system and these changes will mean a targeted
approach which prioritises quicker connections for the right
projects in the right place, so Britain can accelerate towards a
new era of clean electricity.”
The Government's Clean Power Action Plan requires current
capacity on the grid doubling within five years, requiring
investment to be unlocked, new infrastructure accelerated, and
renewable technology brought in at scale - so it is vital those
projects that are most viable and needed are connected as quickly
as possible.
Ofgem's ‘minded-to' decisions today aim to break down barriers to
ending Britain's fossil fuel dependency, while keeping the costs
of the energy transition under control for consumers.
These proposed reforms are the result of over two years of
activity across the energy industry covering consultations, code
modification working groups and wider engagement to create these
proposals submitted to Ofgem by the National Energy System
Operator (NESO). This collaboration reflects the commitment
across the energy sector to deliver a new more efficient,
connections process to deliver Clean Power by 2030 and net zero
by 2050.
Ofgem is now asking anyone with an interest to respond to the
consultation by Friday 14th March 2025.
Contact Information
Elena Costigan
elena.costigan@ofgem.gov.uk
Notes to editors
he consultation is a follow-up from the policy consultation
Ofgem published on 27 November 2024. The consultation will be
open for 28 days, closing on 14th March.
The minded-to decisions are our preliminary decisions on the
package of code changes and methodologies that NESO sent to Ofgem
on 20th December.
, Director of Connections
Reform, National Energy System Operator, said:
“Today's minded to decision is an important reflection of the
work that NESO and others across the energy industry, Ofgem and
Government have been undertaking to reform our existing
connections process. This shared commitment to deliver a new,
more efficient connections process is critical to the delivery of
Clean Power and Net Zero, we look forward to Ofgem's final
decision later this year.”
Josh Buckland, EDF's strategy and policy director,
said:
"Access to a timely and secure grid connection is vital to
accelerating the deployment of clean power right across the
country and giving households and businesses access to homegrown
power. The plans set out today to streamline connection queues
and provide more certainty on when projects will be connected to
the grid are a welcome step in the right direction. Given the
vital importance of this issue, we will continue to work with
Ofgem on the detail to ensure it works for project developers and
investors alike.”
Vicky Read, CEO of ChargeUK, said:
“ChargeUK's members are deploying charge points at a record rate,
with close to 75,000 public charge points now in place and a new
charger installed every 25 minutes.
“For the network to continue to grow at this exponential rate, so
that drivers have the confidence to switch to electric, it needs
to be as quick and easy as possible for our members to secure
grid connections and energise their installations.
“The changes by Ofgem to speed up these connections will be vital
in getting more charge points in the ground, especially where
they are needed the most. This will provide more choice to
today's EV drivers and serve the millions of additional EVs that
will come onto our roads in the coming years.”