Ofgem Greenlights Early Investment in Three UK Electricity 'Superhighways' to Boost Clean Power and Save Billions

Major Infrastructure Projects Receive Early Approval

Ofgem, the UK's energy regulator, has given its approval for early investment in three significant electricity transmission projects, often referred to as 'superhighways.' This strategic move, announced on December 9, 2025, is designed to bolster the nation's energy security, accelerate the integration of clean power, and is anticipated to deliver substantial savings for consumers.

The three projects receiving early investment are:

  • Eastern Green Link 3 (EGL3): A proposed subsea cable with a capacity of 2GW, designed to transport electricity generated from British offshore wind between Scotland and England. Its target delivery date is August 2034.
  • Eastern Green Link 4 (EGL4): Another subsea cable, also with a 2GW capacity, serving the same purpose of connecting Scottish offshore wind to England. This project also aims for completion by August 2034. Both EGL3 and EGL4 are joint ventures involving National Grid Electricity Transmission (NGET), Scottish Hydro Electric Transmission (SHET), and Scottish Power Transmission (SPT).
  • Grimsby to Walpole National Grid Connection (GWNC): An onshore 400Kv electricity link connecting Grimsby and Walpole in Lincolnshire, crucial for transporting energy to consumers. This project is slated for delivery by December 2033.

Boosting Clean Energy and Consumer Savings

These high-capacity transmission links are vital for enabling consumers to access more homegrown clean power, particularly from offshore wind farms. A Cost Benefit Analysis by grid operator NESO indicates that the redesigned projects are expected to yield a £3-6 billion benefit to consumers compared to the original network design. This is primarily due to earlier achievable delivery dates and avoided network constraint costs.

Currently, grid bottlenecks often necessitate payments to wind farms to switch off when there is insufficient capacity to transport their generated energy. The new infrastructure will significantly reduce these 'constraint payments,' which can amount to almost £2 billion annually. Ofgem's Director of Major Projects, Beatrice Filkin, emphasized that this early investment equips British Transmission Operators to 'compete globally, avoid delays caused by supply chain constraints and secure the sought-after materials and components to boost our energy security and power our homes and economy.'

Part of a Wider Investment Strategy

This approval falls under Ofgem's Accelerated Strategic Transmission Investment (ASTI) framework, launched in late 2022, which aims to fast-track 26 critical energy projects essential for achieving government decarbonization targets and reducing the UK's exposure to volatile international gas prices. The early investment for these superhighways is part of a broader £28 billion funding package approved by Ofgem to upgrade the UK's energy infrastructure, a commitment expected to rise to an estimated £90 billion by 2031 across both gas and electricity networks.

While fast-tracking projects may bring forward some costs, Ofgem projects that the net increase to household bills by 2031 will be approximately £30, or less than £3 per month. This is because the electricity grid expansion alone is expected to reduce bills by £50 by 2031, thanks to lower reliance on imported gas and reduced constraint costs. Filkin clarified that Ofgem is 'neither handing blank cheques nor greenlighting the projects themselves, that is rightly for the relevant planning authorities to decide.'

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6 Comments

Avatar of Coccinella

Coccinella

Modernizing our grid is long overdue. This investment will definitely pay off in the long run.

Avatar of Stan Marsh

Stan Marsh

A £30 net increase is still an increase for struggling families. It adds up.

Avatar of Kyle Broflovski

Kyle Broflovski

Another massive infrastructure project, bound to be delayed and over budget. We've seen this before.

Avatar of Eric Cartman

Eric Cartman

Boosting clean power and saving billions? This is exactly what the UK needs.

Avatar of Michelangelo

Michelangelo

Still too slow! We need clean energy solutions NOW, not by 2034.

Avatar of Leonardo

Leonardo

While accelerating clean energy is crucial, the initial £30 bill increase, however small, still adds up for households already stretched thin. I hope the long-term savings materialize quickly and visibly.

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