Ofgem Grants Early Construction Funding to 26 ASTI Projects to Upgrade Scotland's Electricity Grid
2026-05-18 15:21
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en.Wedoany.com Reported - Ofgem has granted early construction funding for 26 key grid projects under the Accelerated Strategic Transmission Investment (ASTI) scheme to accelerate the upgrade of Scotland's electricity network and facilitate the delivery of clean energy. These projects include a new transmission line from Denny to Wishaw, capable of meeting the renewable electricity needs of approximately one million households, and upgrade works between Tealing and Kincardine aimed at increasing transmission capacity and supporting critical connections such as the electricity "superhighway." A further eight projects, having received early funding, can commence construction ahead of schedule, reducing delays and delivering reliable, low-carbon energy to consumers more quickly.

The ASTI scheme, launched in 2022, is designed to accelerate the delivery of electricity transmission projects, helping the UK government achieve its clean power targets and reduce dependence on volatile overseas energy markets. The new transmission capacity will lower constraint costs incurred due to insufficient grid capacity, thereby saving consumers money on their electricity bills. Ofgem has now allocated early funding to all 26 projects within the scheme.

Early construction funding is used by transmission operators to procure high-demand materials such as substation components and high-voltage direct current cables, as well as for strategic land acquisition and related enabling works (including design, surveys, and early construction). With multiple countries worldwide simultaneously advancing grid decarbonisation, this move helps the UK secure critical components early, mitigating cost risks associated with procurement delays. Subject to normal progress in planning consent and construction timelines, these projects are expected to advance rapidly, beginning to deliver benefits to consumers before 2030.

Beatrice Filkin, Ofgem's Director of Major Projects, stated that early funding accelerates project delivery, enhances UK energy security, reduces constraint costs by increasing grid capacity, and lowers dependence on volatile international gas prices. She emphasised that this does not constitute planning permission, which remains the responsibility of planning authorities; as the financial regulator, Ofgem will ensure that early expenditure has clear objectives, that unused funds are returned, and that cost recovery is contingent upon delivering benefits to consumers.

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