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UK Energy Regulator Confirms Potential GBP1 Billion Network Investment

Jan 19, 2010 - Selina Williams - Dow Jones Newswires

U.K. energy regulator Ofgem Tuesday confirmed a potential GBP1 billion additional investment in Britain's high-voltage electricity networks to aid the connection of new renewable generation as part of the country's targets to cut emissions.

As part of the GBP1 billion investment plan, which has been brought forward to the current period of regulatory price control ending in March 2012, Ofgem has now authorized GBP319 million of investment in network upgrades from April 2010.

The regulator said it will continue to assess the transmission companies' requests for funding for the remaining GBP764 million of the GBP1 billion package.

"The funding proposals will enable vital new generation, much of it renewable, to be connected to the grid," said Ofgem's acting senior partner for transmission and governance Stuart Cook.

"Ofgem has been working with industry to overcome delays to critical investments and today's funding proposals mark a significant step towards facilitating the government's 2020 carbon emission reductions target," Cook said.

The GBP1 billion package is in addition to the GBP3.8 billion investment Ofgem approved for the three electricity transmission companies to spend on network upgrades in their current price control.

The three electricity transmission companies are National Grid Electricity Transmission Ltd., SP Transmission Ltd. and Scottish Hydro-Electric Transmission Ltd. They are subject to controls on their revenue which are reviewed every five years.

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-By Selina Williams, Dow Jones Newswires +44 207 842 9262; selina.williams@



Updated: 2016/06/30

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