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26/09/2022

SSEN Transmission Progress Argyll and Kintyre Upgrade Works

SSEN Transmission are to progress electricity network upgrade works in Argyll and Kintyre, following recognition by the energy regulator, Ofgem, that there is a clear need for the investment required to enable the forecast growth in renewable electricity generation across the region.

At an estimated cost of around £400m, this investment is being taken forward as part of the SSE Group's Net Zero Acceleration Programme, which will see £12.5bn 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 emissions.

The 'Argyll and Kintyre Reinforcement Strategy' is required to connect several new renewable electricity generation schemes across the region and to transport that power to areas of demand across Scotland and beyond. It will support the connection of at least 560MW of new renewable electricity generation, enough to power more than 500,000 homes.

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As well as supporting the transition to net zero emissions, the investment will also help secure the country's future energy independence by removing the country's dependence and price exposure to volatile, global wholesale gas markets, with the deployment of low carbon, affordable, renewable electricity generation.

In its initial assessment of SSEN Transmission's proposals, Ofgem has accepted the clear need for the investment and that it is likely to provide the optimal solution to meet the forecast growth in renewable electricity across the region.

Rob McDonald, Managing Director of SSEN Transmission, said:

"We welcome Ofgem's clear recognition of the need to upgrade the Argyll and Kintyre electricity transmission network to enable the growth in renewable electricity across the region and is another major step forward in our journey towards delivering a network for net zero in the north of Scotland.

"By enabling the growth in low carbon and affordable renewable electricity generation, this investment will also help support the country's future energy independence, reducing our dependence and price exposure to volatile global wholesale gas markets.

"This investment will also create hundreds of skilled jobs throughout the supply chain as well as boosting local and national economies and we now look forward to working constructively with Ofgem and our stakeholders to unlock the investment required in a timely manner."

There will now be a four week consultation where interested parties can provide feedback to Ofgem on its initial assessment of need, with SSEN Transmission on track to submit a Final Needs Case to Ofgem no later than the first quarter of 2023.

Subject to all necessary regulatory and planning approvals, SSEN Transmission expects construction to be underway in 2024 with energisation from April 2026 onwards.

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