The NeuConnect consortium developing the first direct interconnector between the UK and Germany has awarded contracts to Prysmian Group and Siemens Energy for the project’s cabling works and converter stations, respectively.
Prysmian Group has been contracted to design, manufacture, install, test and commission the 725km link.
Siemens Energy has a contract to design and build two converter stations in the UK and Germany.
The total value of the contracts is about €1.9bn.
Privately-financed NeuConnect is led by global investors Meridiam, Allianz Capital Partners and Kansai Electric Power.
NeuConnect said that with key contractors now in place, it is on track to reach financial close in the coming weeks allowing works to start later this year.
NeuConnect board chair and Meridiam co-founder Julia Prescot said: “The need for more resilient, sustainable energy infrastructure has never been greater, so we are pleased to reach another key milestone on the NeuConnect project, bringing this vital new energy link an important step closer.
“The selection of two world-class contractors gives us huge momentum and keeps us on track to reach financial close in the coming weeks and begin major construction work later this year.”
Siemens Energy vice president of HV grids GB Mark Pilling said: “The announcement of NeuConnect’s contract awards comes just days after the UK government’s British Energy Strategy set out ambitious targets to scale-up affordable, clean and secure energy.
“This exciting project shows Siemens Energy is ready and able to help deliver a net-zero energy system.
This is Britain’s Energy Strategy in action. The electricity connection between Great Britain and Germany will ensure greater security of supply and flexibility for both countries. It’s a perfect example that we can only achieve the energy transition by working together.
“NeuConnect will not only help accelerate the decarbonisation of our energy system, but it will also support levelling up and create hundreds of green jobs in Great Britain and Germany.
“We are delighted to be part of this world-first project which will bring sustainable energy to 1.5 million homes.”
Prysmian Group EVP projects Hakan Ozmen said: “We are proud to put our best cable technologies at the disposal of NeuConnect, in this landmark interconnector project that achieves a step forward in Europe’s energy transition.”