Released March 31, 2015 | GALWAY, IRELAND
en
Written by Martin Lynch, European News Editor for Industrial Info (Galway, Ireland) - Construction of the world's longest interconnector is set to get underway following the signing of a final agreement between U.K. and Norwegian grid operators.
North Sea Network (NSN) is a joint venture between Statnett (Oslo, Norway) and National Grid plc (NYSE:NGG) (London) that will see the laying of two 730-kilometer (km), high voltage direct current (HVDC) marine cables linking southwest Norway to the Northumberland coast, in northeast England. They will have a capacity of up to 1,400-megawatts (MW).
The companies have signed the ownership agreement which signals the start of the construction phase of the project. The interconnector will run from Blyth in Northumberland to Kvilldal in Rogaland on the Norwegian side. There will be a converter station on each side where the interconnector will hook up to the onshore electricity grid. The project will cost around 1.5-2 billion ($1.62-$2.16 billion) which will be shared evenly and the link will be operational by 2021.
"Access to low-carbon energy from Norway hydro power stations will help us meet the challenge of greener, affordable energy," explained Alan Foster, director of European Business Development for National Grid. "It also adds to the diversity of energy sources for U.K. and potentially can reduce peak prices with benefits for consumers and businesses."
Auke Lont, Statnett CEO, added: "Not only is this a technically impressive project where we will set a new world record, it is also an important contribution to the increase of renewable energy production on both sides, and thereby an essential part of the future electricity system. In addition it will contribute to security of supply and value creation for both Norway and the U.K.".
The deal was welcomed by the U.K.'s Energy Secretary Ed Davey.
"This is a project I have worked on with Statnett and National Grid for two years, and I am delighted they've now made this massive investment decision," he noted. "Britain will benefit from Norwegian green hydropower, at the flick of a switch, providing green backup power when the wind's not blowing, and this will actually save people money. Coming after the recent confirmation of the Nemo interconnector project with Belgium, I am proud we are now seeing a huge increase in Britain's energy options, and the prospect of a real single energy market and energy supergrid in Europe."
In December the U.K. energy regulator, Ofgem, made a final decision on the financing and regulatory regime for Project Nemo, a transmission cable that will run between Zeebrugge in Belgium and Richborough in Kent. It will have a capacity of around 1,000 MW and be operational in 2019. The link will be capable of carrying enough power for approximately three million homes. For additional information, see December 8, 2014, article - Two Interconnector Projects Advance in U.K..
Industrial Info Resources (IIR), with global headquarters in Sugar Land, Texas, five offices in North America and nine international offices, is the leading provider of global market intelligence specializing in the industrial process, heavy manufacturing and energy markets. Industrial Info's quality-assurance philosophy, the Living Forward Reporting Principle, provides up-to-the-minute intelligence on what's happening now, while constantly keeping track of future opportunities. To contact an office in your area, visit the Industrial Info "Contact Us" page.
North Sea Network (NSN) is a joint venture between Statnett (Oslo, Norway) and National Grid plc (NYSE:NGG) (London) that will see the laying of two 730-kilometer (km), high voltage direct current (HVDC) marine cables linking southwest Norway to the Northumberland coast, in northeast England. They will have a capacity of up to 1,400-megawatts (MW).
The companies have signed the ownership agreement which signals the start of the construction phase of the project. The interconnector will run from Blyth in Northumberland to Kvilldal in Rogaland on the Norwegian side. There will be a converter station on each side where the interconnector will hook up to the onshore electricity grid. The project will cost around 1.5-2 billion ($1.62-$2.16 billion) which will be shared evenly and the link will be operational by 2021.
"Access to low-carbon energy from Norway hydro power stations will help us meet the challenge of greener, affordable energy," explained Alan Foster, director of European Business Development for National Grid. "It also adds to the diversity of energy sources for U.K. and potentially can reduce peak prices with benefits for consumers and businesses."
Auke Lont, Statnett CEO, added: "Not only is this a technically impressive project where we will set a new world record, it is also an important contribution to the increase of renewable energy production on both sides, and thereby an essential part of the future electricity system. In addition it will contribute to security of supply and value creation for both Norway and the U.K.".
The deal was welcomed by the U.K.'s Energy Secretary Ed Davey.
"This is a project I have worked on with Statnett and National Grid for two years, and I am delighted they've now made this massive investment decision," he noted. "Britain will benefit from Norwegian green hydropower, at the flick of a switch, providing green backup power when the wind's not blowing, and this will actually save people money. Coming after the recent confirmation of the Nemo interconnector project with Belgium, I am proud we are now seeing a huge increase in Britain's energy options, and the prospect of a real single energy market and energy supergrid in Europe."
In December the U.K. energy regulator, Ofgem, made a final decision on the financing and regulatory regime for Project Nemo, a transmission cable that will run between Zeebrugge in Belgium and Richborough in Kent. It will have a capacity of around 1,000 MW and be operational in 2019. The link will be capable of carrying enough power for approximately three million homes. For additional information, see December 8, 2014, article - Two Interconnector Projects Advance in U.K..
Industrial Info Resources (IIR), with global headquarters in Sugar Land, Texas, five offices in North America and nine international offices, is the leading provider of global market intelligence specializing in the industrial process, heavy manufacturing and energy markets. Industrial Info's quality-assurance philosophy, the Living Forward Reporting Principle, provides up-to-the-minute intelligence on what's happening now, while constantly keeping track of future opportunities. To contact an office in your area, visit the Industrial Info "Contact Us" page.
