BEIS and Ofgem have published an open letter to the offshore wind industry and power transmission licensees setting out actions being taken to increase levels of coordination in offshore transmission infrastructure.
The document also calls for stakeholder views to support the Offshore Transmission Network Review.
The UK has around 10GW of offshore wind generation connected to the electricity system and the UK Government has set out a target to expand this amount to 40GW by 2030.
In February 2020 Ofgem published its Decarbonisation Action Plan (DAP), setting out the actions Ofgem will take in the next 18 months to contribute to the urgent journey towards net zero.
On 15 July 2020 the Minister of State for Business, Energy and Clean Growth launched the Offshore Transmission Network Review, with the aim of ensuring that the transmission infrastructure for offshore wind generation is delivered in the most appropriate way.
The review brings together the work already being done in this area by a range of key stakeholders including Ofgem and National Grid Electricity System Operator, to find an appropriate balance between environmental, social and economic costs.
To date, all offshore wind farms in UK waters have been connected to the onshore system by individual point-to-point, or radial, links.
BEIS and Ofgem said they recognise this type of link may not be the best outcome for consumers in the future as generating capacity increases, and may also increase pressure on coastal connection points.
The letter stated: “A key step in the review is for us to understand what has stopped the development of coordinated transmission assets to date, and we welcome suggestions on how barriers could be overcome.
“We would like to hear about all potential barriers, including those of a legal, commercial or regulatory nature. As the economic regulator, Ofgem would also like to understand where a change in current regulatory arrangements now could facilitate greater coordination or if wider change is needed.”
Ofgem and BEIS said they want to engage with a “broad range of stakeholders”, including developers of offshore wind and interconnector projects, and electricity transmission licensees.
“We would particularly welcome discussions with stakeholders who are either already pursuing some level of coordination or have identified an opportunity to do so whether on a local, national or international level (such as considering anticipatory investment in one project to enable a future project, or combining offshore wind and interconnector assets),” the open letter stated.
Stakeholders have been asked to contact and BEIS and Ofgem by 30 September 2020 to express their interest.