The UK government has launched Great British Grid (GBG), a new publicly owned body within Great British Energy, as part of efforts to speed up electricity grid connections and accelerate the expansion of network infrastructure.
Announced on 29 September, GBG will invest alongside private sector organisations in electricity network projects as demand for connections grows and more renewable generation comes online. The government said additional public investment will be needed alongside private capital to deliver the network upgrades required over the coming decades.
The initiative forms part of wider reforms aimed at reducing delays in the electricity connections system. The government is working with the National Energy System Operator (NESO) and Ofgem to overhaul the connections queue, including the removal of more than 300 GW of speculative capacity.
Further reforms will allow developers and businesses to pursue self-build connections where appropriate, rather than waiting for network companies to undertake the work. The government said similar reforms in Ireland have reduced connection times by up to 11 months.
GBG is intended to support these changes by helping bring additional investment into network infrastructure and increasing the capacity available for new connections. The body is expected to work with existing network operators and participate in competitive tendering for new transmission projects. The government said opening projects to a wider range of organisations could increase competition and encourage innovation in how network infrastructure is developed and delivered.
Great British Energy already invests public capital alongside private investment in clean energy generation, storage and supply chains. GBG will extend this investment role to electricity network infrastructure, with the government positioning it as a way to accelerate network delivery and help connect new generation and demand more quickly.
GBG will complement, rather than replace, existing electricity sector institutions. Ofgem will remain the independent economic regulator for energy markets and network companies, while NESO will continue to operate, plan and coordinate the electricity system. Existing network operators will retain their current roles.
Initial GBG start-up costs will be covered by Great British Energy’s existing budgets. Its longer-term funding will be considered as part of a future government spending review.
