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26/09/2025

SGN Secures Funding For Two Major Innovation Projects

SGN (Scottish Gas Network) has been awarded funding from the Strategic Innovation Fund (SIF) for two significant new projects, both of which are entering the Discovery Phase.

These initiatives are designed to find new, improved methods for managing green gas across the network and to provide immediate energy solutions for high-demand sites currently facing significant delays in connecting to the national electricity grid.

The Strategic Innovation Fund is delivered by Ofgem in partnership with Innovate UK and supports transformative ideas that help gas and electricity networks evolve for a low-carbon future. The fund is expected to invest up to £450 million by 2028.

Project 1: Green Gas Access

The Green Gas Access project will focus on developing new and improved methods to manage and integrate green gas supplies across all gas networks in the UK. Given that fossil fuels will remain part of the energy mix for the foreseeable future, the project stresses the importance of maintaining reliable supplies while simultaneously adding cleaner, decentralised sources such as biomethane.

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This project will introduce new technology to run the network more smoothly and to respond rapidly to changes in supply and demand by using real-time dynamic supply modelling and scenario planning.

Steven Steel, Innovation Analyst, explained: "Green Gas Access is about making the network work in real time, improving how we control green gas injections, use our assets more efficiently, and bring new suppliers on board smoothly. By developing smarter tools and planning systems, we can better manage supply and demand as it happens, support the shift to low-carbon energy, and ensure our networks stay resilient and responsive."

Project 2: Grid Connection Plan B – for Large Energy Users

Due to surging electricity demand, many new high-energy demand sites across the UK are experiencing electricity grid connection delays of up to a decade. The Grid Connection Plan B project aims to explore how gas networks can bridge this energy gap.

The focus is on delivering gas-to-power solutions that enable faster access to energy, with the incorporation of green gases or carbon capture technology to minimise the environmental impact. By pinpointing when and where new demand will arise, SGN aims to target investment, support electricity networks with practical alternatives, and help energy users maintain their pace of growth.

Jo Tunney, Innovation Project Manager, highlighted the scale of the issue: "The challenge of being able to meet the energy demands of the UK’s growing data centre sector is well publicised. What is less well understood is the extent of grid connection delays faced by other sites with large energy demands."

She added: "This is a chance for us explore how we as a gas network can unlock new opportunities for collaboration and deliver tangible benefits to both energy users and the economy."

SGN stated that these two projects demonstrate their commitment to tackling real-world energy challenges with practical innovation, helping to shape a smarter and more resilient energy system for everyone.

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