The move paves the way to progress to the Final Needs Case stage of the regulatory approvals process. 

Following fast on the heels of the UK Government’s Energy Security Strategy, the Skye reinforcement project will secure future electricity supplies in the area and enable the growth in renewables, supporting the transition to net zero emissions and helping secure the country’s future energy independence.

At an estimated cost of around £400 million, the project is one of the most significant energy investments in the West Highlands since power was first brought to the area in the 1950s. SSEN Transmission said the investment will unlock hundreds of skilled jobs throughout the construction phase and many more throughout the supply chain and wider economy, providing a major boost to local and national economies.

Rob McDonald, managing director of SSEN Transmission, said: “We welcome Ofgem’s confirmation that the Skye reinforcement project is needed to help meet the future energy needs in the area. We also welcome Ofgem’s commitment to allow flexibility in the timing of its final assessment of our proposals, allowing regulatory and planning processes to be undertaken in parallel to avoid unnecessary delays in delivery.

“The replacement of the Fort Augustus-Skye overhead line will be one of the most significant energy investments in the West Highlands since the original line was installed from the 1950s onwards, unlocking hundreds of skilled jobs and providing a significant economic boost to local and national economies. We are really excited to build on our heritage of powering the highlands and islands as we continue to deliver a network for net zero emissions and secure future electricity supplies across the north of Scotland.”

“We now look forward to working constructively with Ofgem and wider stakeholders as we progress with the Final Needs Case to take forward our proposed solution.”

The Final Needs Case remains on track to be submitted to Ofgem for regulatory approval in August which will then be followed by the Project Assessment, which will determine the level of investment requirement for the project.

SSEN Transmission’s investment in the Skye reinforcement project is part of the SSE Group’s Net Zero Acceleration Programme, which will see £12.5 billion invested in the five years to 2026, or £7m every day. SSEN Transmission alone expects to invest around £4bn over this period as it delivers a network for net zero in the north of Scotland.

The existing Fort Augustus-Skye overhead line is fast approaching the end of its operational life and is in urgent need of intervention. Its planned replacement is therefore essential to maintain network reliability and security of supply to homes and businesses along its route, as well as to the Western Isles, which is primarily supplied by two electricity distribution subsea cables from Ardmore point.

To enable the connection of new renewable electricity looking to connect to the transmission network along its route, SSEN Transmission is proposing to increase the capacity of the replacement line, supporting the UK and Scottish Government’s transition to net zero emissions. The existing line has already exceeded its capacity limit, preventing the connection of new renewable electricity in the area.

Given the scale of the project, stakeholders have made it clear the replacement line should anticipate future electricity generation looking to connect in the years ahead, avoiding an iterative approach to network development and associated local impacts and disruption this would cause. This ‘do it once do it right’ approach, which SSEN Transmission said its proposed solution achieves, will greatly reduce the need for additional major works in the future, responding positively to stakeholders asks.

SSEN Transmission continues to progress the detailed design for the replacement line and expects to submit its Section 37 Planning Application to Scottish Ministers this summer. As part of this and in response to stakeholder feedback, SSEN Transmission is actively exploring potential mitigations. This includes assessing the potential for undergrounding as the line passes the Cuillin Hills and where it connects to Fort Augustus substation; and alternative routes as it passes Kylerhea.

Separately, work to progress a 600MW HVDC connection to the Western Isles continues with SSEN Transmission committed to continuing to work constructively with Ofgem, Government, Western Isles generators and wider stakeholders to overcome barriers to unlock the Western Isles vast renewables potential.