Ofgem, the energy regulator, has approved the largest single grid investment in British history, paving the way for an “electricity superhighway” that will transport renewable energy from Scotland to Yorkshire, Sky News reports.
The £3.4 billion project, which will cost £4.3 billion when inflation is factored in, will comprise 436 kilometers of undersea cable and is expected to power two million homes and businesses for an hour.
“Streamlining the process does not mean blank cheques for developers as we are able to step in and make financial adjustments to maximise efficiency and consumer benefit,” Ofgem CEO Jonathan Brearley said in a statement.
The “Eastern Green Two” superhighway is crucial for developing a national electricity grid that can efficiently move electricity from renewable sources, often generated offshore in Scotland, to densely populated areas where it is consumed.
“Today’s announcement is a further step in putting the regulatory systems and processes in place to speed up network regulation to achieve its aim,” Brearley added.
This investment is the first of 26 “critical” energy projects included in Ofgem’s fast-track funding process for offshore wind, aimed at accelerating the transition to a cleaner energy system.
