Ofgem has approved major reforms to overhaul the UK’s electricity grid connection process, aiming to fast-track clean energy projects and clear out so-called “zombie” developments stuck in the queue.
The changes, first proposed by the National Energy System Operator (NESO), will prioritise renewable energy projects that are ready to deliver, with the first of these potentially operational by 2026.
Currently, more than 750 GW of projects are awaiting connection – four times what the UK is forecast to need by 2030. Some companies have faced waits of up to 15 years, leaving them ‘grid-locked’.
The new reforms will prioritise projects aligned with national energy goals, including wind, solar, data centres, AI, and battery storage, while deprioritising projects not aligned or ready to proceed.
Energy Secretary Ed Miliband said: “Too many companies are facing gridlock because they cannot get the clean energy they need to drive growth and create jobs.”
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.”
“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’s chief executive, Jonathan Brearley, added: “The proposed connection reforms will supercharge Great Britain’s clean power ambitions with a more targeted approach anticipated to unlock £40bn a year of investment and energise economic growth.”
At the same time, Ofgem is preparing to consult on changes to how the UK pays for its energy networks. The proposals could see higher-income households pay more via their standing charges, while low-income bill payers receive discounts.
Brearley said the wide-ranging review would explore “whether there is a more progressive way to pay,” including the possibility of linking charges to household income.
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