SSEN Transmission planning £31bn investment in north of Scotland – creating 17,500 jobs

SSEN Transmission wants to plough £31billion into upgrading the electricity network in the north of Scotland – creating 17,500 Scottish jobs – in “one of the largest investment programmes of all time”.

Plans have now been submitted to regulators seeking the green light for the enormous investment, which would create 37,000 jobs UK-wide between 2026 and 2031.

The cash would pay for new pylons, overhead lines, cabling, substations and the constructions costs associated with that.

The work would also add £7billion to the Scottish economy and £15billion across the UK.

SSEN Transmission says the proposed investment is key to delivering on the countries net zero and energy security targets.

The proposals encompass an expected known total expenditure of £22.3billion, with a further £9.4billion earmarked for “future Uncertainty Mechanism expenditure”, potentially bringing the total up to £31.7billion.

The plans would also lead to community benefit funding well in excess of £100million and support the development of at least 1,000 new homes in the north of Scotland.

Used for construction staff during works, the housing would leave a lasting legacy for communities once works are complete.

Rob McDonald, managing director of SSEN Transmission, 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.”

Alistair Phillips Davies, chief executive of SSE plc, which owns 75% of SSEN Transmission, said: “The RIIO-3 price control comes at a critical juncture in the effort to deliver a cleaner, more secure and affordable electricity system for current and future generations.

“With a new national mission to deliver clean power by 2030 in order to boost energy security and protect future consumers, unlocking the right level of investment during the next price control will be key.

“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.”

The next steps in the process will see regulator Ofgem examine the proposals with a final determination expected in December 2025.

Meanwhile, work to overhead lines which required further investigations this year are set to move forward with the holding of pre-application engagement events in early 2025.

Overhead lines

• Beauly – Blackhillock – New Deer – Peterhead
• Spittal – Loch Buidhe – Beauly

The relevant planning applications would then be submitted in spring, with lines between Tealing and Kintore at a similar stage.