Ofgem Approves Lower Funding for Scottish Subsea Link

Ofgem has today set out proposals to allow £1.1 billion funding for a new subsea link in the north of Scotland.

The regulator’s proposal is £173.9 million less than the funding request from Scottish Hydro Electricity Transmission (SHE Transmission) to ensure consumers pay no more than necessary.

The new link will connect 1.2GW of new renewable electricity generation following completion in 2018. This additional capacity will increase the resilience of Britain’s energy infrastructure. It will connect the electricity grid on either side of the Moray Firth.

The proposals are now under consultation for four weeks. Final decision on funding will be made in December.

SHE Transmission’s estimated project costs were £1,236.2 million. Based on its assessment, Ofgem’s proposed efficient cost of the project is £1,062.3 million.

Ofgem’s lower cost assessment is based on a range of analysis including unit cost benchmarking, a detailed review of some costs, comparisons to similar projects, and a review of SHE Transmission’s procurement strategy and processes.

Press Release

 

Share this article

Follow Subsea World News

Events>

<< Oct 2017 >>
MTWTFSS
25 26 27 28 29 30 1
2 3 4 5 6 7 8
9 10 11 12 13 14 15
16 17 18 19 20 21 22
23 24 25 26 27 28 29
30 31 1 2 3 4 5

BLACK SEA OIL AND GAS

Black Sea region continues to impose as a key area for the future of energy in Europe in reaching the diversification of supply and the energy…

read more >

SUBSEA POWER CABLES

2-day seminar covering best practice and emerging technologies for cost-efficient subsea cable projects from conception to installation…

read more >

24th Annual Africa Oil Week 2017

The Conference portraying five days of senior-level executive insights, with rich-content on corporate strategies and portfolio, exposure…

read more >

OTC Brasil 2017

OTC Brasil is organized by the Offshore Technology Conference (OTC) and Brazilian Petroleum, Gas and Biofuels Institute (IBP)…

read more >