SSEN Transmission is planning to invest at least £22 billion in grid infrastructure over a five-year period from April 2026 to March 2031.
The 75%-owned subsidiary of SSE plc says the plans will support the creation of thousands of new jobs in the UK and Scotland.
SSEN Transmission submitted its business plan to Ofgem under the energy regulator’s Revenue = Incentives + Innovation + Outputs (RIIO) model.
The investment is aimed at meeting climate change and energy security targets for the UK, delivering a pathway to net zero emissions and helping underpin the UK government’s Clean Power by 2030 ambition.
SSEN Transmission has also set out the potential for an additional £9.4bn of future Uncertainty Mechanism expenditure, which could bring the total expenditure over the period to around £31.7bn.
Economic analysis, independently peer reviewed by consultancy, BiGGAR Economics, forecast that, if delivered in full, the potential £31.7bn total investment could support up to 37,000 jobs across the UK, including 17,500 in Scotland.
It would also add £15bn in value to the UK economy, including £7bn in Scotland, according to the analysis.
Chief executive of SSE plc Alistair Phillips Davies said: “We’re setting out today the extent of our ambition and commitment; it is now crucial that Ofgem backs that ambition with an investable and financeable framework, setting an appropriate cost of equity that recognises the unprecedented levels of investment required to decarbonise the economy and deliver a clean power system.”
Managing director of SSEN Transmission Rob McDonald said: “Our RIIO-T3 Business Plan sets out an ambitious, deliverable blueprint, to unlock the unprecedented levels of investment required to deliver UK and Scottish net zero and energy security targets, including the Clean Power by 2030 mission.
“In what is one of the largest investment programmes of all time in Scotland, this plan will also support tens thousands of jobs across the country, turbo-charging the economy and delivering a transformational and lasting legacy for communities, the economy and nature.
“We now look forward to working constructively with Ofgem, government and wider stakeholders to ensure the future regulatory framework secures the investment required to support the nation’s ambitious goals and delivers the vast economic opportunities the clean transition presents.”