SSEN Transmission has put forward plans to invest over £31 billion to enhance the electricity transmission network in northern Scotland, which are now under review by regulators.

The company’s initiative is projected to generate around 37,000 job opportunities across the UK between 2026 and 2031.

This substantial investment will support the construction of new pylons, overhead lines, cabling, and substations, alongside necessary infrastructure improvements.

SSEN Transmission is primarily owned by SSE, a major player in energy infrastructure listed on the FTSE 100, with the Ontario Teachers’ Pension Plan Board holding a 25% stake.

Approximately 17,500 of the anticipated jobs will be created in Scotland, contributing an estimated £7 billion to the Scottish economy.

Moreover, over £100 million in community benefits has been proposed to accompany the development project throughout its duration.

Investment in grid infrastructure is essential to accommodate the upcoming surge in renewable energy projects, including 27.6 gigawatts of offshore wind farms poised to be developed under the ScotWind leasing initiative.

The increase in green electricity production is expected to surpass Scotland’s energy needs, with the enhanced network enabling smoother power transportation to England.

SSEN Transmission indicated that this initiative is crucial for realizing the UK government’s goal of achieving 95% low-carbon energy generation by 2030.

Rob McDonald, the managing director, emphasized that the company has created an ambitious yet achievable plan to facilitate the significant investments necessary to fulfill clean energy objectives.

He remarked, “This investment program, one of the most significant in Scotland’s history, will not only support tens of thousands of jobs but will also invigorate the economy, leaving a transformative and lasting impact on communities, the economy, and the environment.”

A ruling from Ofgem, the energy regulator, on the business plan submitted by SSEN Transmission is anticipated by late 2025.

The proposal suggests a base expenditure of £22.3 billion, which could grow to £31.7 billion contingent on planning approvals, supply chain dynamics, and regulatory modifications.

The financial parameters established by Ofgem could potentially lead to an increase in consumer energy bills, as these costs influence supplier pricing.

Alistair Phillips-Davies, SSE’s chief executive, stated the regulator must ensure that the network enhancements are supported by establishing a suitable cost of equity that reflects the unprecedented investment levels necessary for decarbonizing the economy and achieving a sustainable energy system.