The UK government plans to prioritise electricity grid connections for businesses that will deliver clean energy, as it seeks to tackle so-called ‘zombie projects’ that are holding up connections for viable businesses.
The move, which the government states will unlock £40 billion of mostly private investment on a yearly basis, forms part of the UK’s broader ‘Plan for Change’ strategy, under which it is seeking to grow the economy and improve energy security.
‘Facing gridlock’
“Too many companies are facing gridlock because they cannot get the clean energy they need to drive growth and create jobs,” commented Ed Miliband, energy secretary. “These changes will axe ‘zombie’ projects and cut the time it takes to get high growth firms online while also fast-tracking connections for companies delivering homegrown power and energy security through our Plan for Change.
“In an uncertain world, our message to the global clean energy industry is clear; come and build it in Britain because we are a safe haven.”
Ofgem approved the new plan, which was developed by the National Energy System Operator (NESO), on 15 April.
It prioritises grid access for high-impact clean energy projects including renewable generation, energy storage, and strategic sectors like data centres and AI infrastructure.
Clean energy investment
Since July 2024, some £43.7 billion in private investment has been announced in the UK clean energy sector, with the current reforms designed to ensure such projects aren’t stalled by infrastructure bottlenecks.
“The proposed connection reforms will supercharge Great Britain’s clean power ambitions with a more targeted approach anticipated to unlock £40 billion a year of investment and energise economic growth,” added Jonathan Brearley, chief executive, Ofgem.
“The reforms would cut through red tape, consign ‘zombie projects’ to the past and accelerate homegrown renewable power and energy storage connections as we head to 2030.” Read more here.
