News

Strategic Energy Plans Progress and Updates

October 14, 2024

Under theConnections Action Plan, several measures have already shown positive results:

  • 10 GW of stalled projects have been removed from the queue.
  • 25 GW of new capacity has been released for storage projects on the existing network.
  • 10 GW of existing projects have had their connection dates moved forward by an average of six years.

As the government continues to prioritise clean power initiatives, both the Clean Power 2030 plan (CP2030) and the Strategic Spatial Energy Plan (SSEP) will be key in identifying projects ready for connection. The National Energy System Operator (NESO) will soon provide advice on a pathway to clean power by 2030.

In September, Ofgem released an open letter stressing the need to align the connections process with broader strategic plans such as CP2030. Proposed changes to licence conditions will ensure that network companies prioritise projects that meet readiness criteria and align with system plans. Key developments include:

  • Revised Licence Conditions: New requirements for projects to enter the connections queue.
  • TMO4+ Code Modifications: Reforms to expedite changes, with consultations expected by year-end.

This month, discussions focused on how technology criteria in the TMO4+ could align with CP2030. Two main options were explored:

  1. Filtering Based on Capacity Limits: Projects that align with CP2030 would join the connections queue, while others would only receive indicative offers.
  2. Prioritising Projects: All ready projects would enter the queue, but CP2030-prioritised projects would take precedence.

The Board has called for further analysis of both options. Discussions will continue next month.

The Board called for further analysis of both options, with discussions to continue next month.

NESO is exploring financial criteria to ensure projects demonstrate financial commitment to keep their place in the queue. Possible measures may include additional fees or charges. A consultation is planned for early 2025 to finalise these decisions.

In October, the Board will review detailed proposals on filtering versus prioritising connections. Ofgem is also preparing a consultation on its end-to-end review of the connections process. This review will aim to identify areas for improvement.

This work remains a critical priority, aligning with the UK’s clean energy goals and broader strategic vision for 2030.