ScottishPower subsidiary SP Energy Networks has unveiled a £10.6 billion investment in the UK transmission network after submitting its plans to the Ofgem regulator.
SP Energy Networks plans to double its transmission workforce, creating 1,400 new directly employed jobs and supporting another 11,000 in the supply chain.
The firm said the investment will “help rewire Britain” and deliver critical electricity infrastructure, including 12 new major substations in Scotland.
The company plans will also deliver 450km of upgraded existing circuits, 87km of upgraded overhead lines and 35km of underground cables.
Research from the University of Strathclyde estimates the SP Energy Networks plan could provide up to £2bn in economic benefits each year.
SP Energy Networks chief executive Nicola Connelly said the company has a chance to “shape a cleaner, greener future for us all”.
“Making this crucial investment now will drive a positive impact that will help to stabilise and lower consumer energy bills in the longer term,” Connelly said.
© Supplied by ScottishPower“If UK wants to deliver on its ambition to be a clean energy superpower and capitalise on its natural resources, then it needs the electricity grid to match demand.
In preparation for the works, the company last month announced £5.4bn of supply chain contracts in its “biggest issued contract opportunity ever”.
ScottishPower, a subsidiary of Spanish firm Iberdrola, has also outlined plans to offer a “lifeline” to workers who face redundancy at the Grangemouth oil refinery.
The investment in the transmission network comes as Iberdrola plans to double its spending the UK over the next four years.
RIIO-T3 business plan
The business plan covers the upcoming regulated price control period between 2026 and 2031.
The plan outlines a range of investments needed to connect up to 19 GW of renewable energy to the grid.
SP Energy Networks said the programme will contribute to reduced constraint costs, such as wind curtailment, saving households around £167 per year by 2030.
The £10.6bn investment in the third price control period (RIIO-T3) is more than three times the £3.4bn invested in the previous period between 2021 and 2026.
Connelly said the business plan combines “unprecedented levels of investment” while “ensuring fair returns for consumers and investors”.
“Government and industry have never been clearer on what needs to be achieved and now we need Ofgem to match that ambition with a price control that unlocks the capital required to finance the projects that will deliver clean power in the next decade,” she said.
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