The contract has been awarded through the GIS2 RIIO T2 framework, to which the company was appointed in 2022.

The contract will see Balfour Beatty unite its Power Transmission & Distribution expertise with its regional capabilities in Scotland, to design and build the three new 275kV substations in Craig Murrail, An Suidhe, and Crarae.

The new substations form part of SSEN Transmission’s Argyll and Kintyre reinforcement strategy and on completion, will enhance and strengthen the electrical transmission infrastructure in Argyll to support the expected rise in renewable energy production in the region.

Balfour Beatty’s selection builds on its proven expertise in the successful delivery of energy projects in Scotland demonstrated by the recent completion of the Peterhead Substation and the company’s appointment to deliver nine schemes through SSEN Transmission’s Accelerated Strategic Transmission Investment framework.

In addition, as part of its commitment to leaving a lasting, positive legacy in the communities in which it operates, Balfour Beatty will employ a minimum of 50% of its workforce from the local, surrounding area.

Tony Wilson, managing director of Balfour Beatty UK Power Transmission & Distribution, said: “This announcement marks an important milestone in SSEN Transmission’s Argyll and Kintyre reinforcement works - a project that is crucial for enhancing substation infrastructure in the region.

“Our expertise in substation delivery, coupled with our local experience, make us the perfect fit to tackle the challenges ahead, deliver the project to the highest of standards and secure the supply of renewable energy to homes and businesses in the region.”

Hector MacAulay MBE, managing director of Balfour Beatty’s regional business in Scotland, said: “We are pleased to be working alongside SSEN Transmission to contribute to Scotland’s renewable energy journey.

“Our commitment to collaboration, the environment and positive social impact will ensure that we not only make a meaningful impact on the region’s energy landscape, but also leave behind a lasting legacy for the communities in Argyll.”

Main construction is due to start late Summer 2024. At construction peak, Balfour Beatty will employ approximately 200 people including a number of apprentice, graduate and trainee positions.