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National Grid: Costs

Asked by James CartlidgeConservativeDepartment for Energy Security and Net ZeroTabled Answered 10 September 2024UIN 4389

The question

To ask the Secretary of State for Energy Security and Net Zero, if he will make an estimate of the potential impact on consumer energy bills of the total lifetime cost of delivering (a) the Western Link and (b) all current and future stages of the Eastern Green Link offshore cabling.

Answered by Michael Shanks

Electricity network reinforcements are only approved where they are in the interests of consumers and help reduce overall system costs. For both the Western Link and the Eastern Green Link projects, decisions to proceed were based on robust cost-benefit analyses, approved by Ofgem. Ofgem review proposed project costs and ensure that network companies spend efficiently, protecting consumers from unduly high costs.

These reinforcements are designed to help balance the GB grid, bringing renewable generation in Scotland to demand centres further south. While they have significant build costs, they will help reduce balancing costs, bringing overall savings to consumers.

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