SSEN Transmission has signed a multi-year framework agreement with Sumitomo Electric Industries, Ltd. and Van Oord Offshore Wind UK Ltd to engineer, supply, transport and install High Voltage Direct Current (HVDC) subsea cable systems, underpinning the expansion and reinforcement of the electricity transmission network in the north of Scotland.
The arrangement is intended to enable a pipeline of strategic subsea reinforcements, notably the proposed Shetland 2 HVDC link, which is the anchor project supporting Sumitomo Electric's new cable manufacturing facility at the Port of Nigg in the Highlands.
Bringing together Sumitomo Electric's HVDC cable system expertise with Van Oord's offshore transport and installation capability, the partnership is positioned to help deliver critical energy infrastructure as Scotland and the UK accelerate the transition to a cleaner and more secure power system.
As the transmission owner for the north of Scotland, SSEN Transmission is leading a significant investment programme to connect homegrown low carbon generation, strengthen energy security and deliver clean, affordable power across Great Britain. Subsea HVDC links will play a growing role, providing efficient and reliable long-distance capacity to move large volumes of renewable electricity.
The framework reflects SSEN Transmission's strategic approach to supply chain engagement, offering long-term visibility that supports investment in skills, manufacturing capacity and innovation.
It also consolidates Scotland's position as a centre of excellence for subsea transmission. Sumitomo Electric's investment at Nigg—enabled by anticipated demand from future transmission projects—is helping to establish domestic HVDC cable manufacturing in the UK for the first time and create significant economic opportunities for the Highlands.
Sandy Mactaggart, Director of Offshore Delivery at SSEN Transmission, said: "Last month, SSEN Transmission published a landmark report – Re-energising the North: Transforming Scotland – which demonstrated the major economic opportunities of investing in the grid to build national energy security and achieve the country's clean power ambitions. In the north of Scotland alone, our planned five-year investment programme stands to support up to 10,000 high-quality jobs, and 24,000 across Scotland.
"The framework agreement with Sumitomo Electric and Van Oord is a significant part of turning this great potential into reality. It provides a strong foundation for long-term collaboration and supports our ambitions to deliver the critical subsea infrastructure needed across the north of Scotland in the years ahead.
"By providing greater certainty and visibility over future opportunities, we are helping create the conditions for inward investment in skills, manufacturing capability and innovation, while ensuring we have access to the specialist expertise required to deliver major projects safely, efficiently and responsibly."
Masaki Shirayama, Managing Director of Sumitomo Electric, said: "This Framework Agreement marks an important milestone in the strategic partnership between SSEN Transmission and Sumitomo Electric. Building on more than 100 years of expertise in subsea cable technology, we are proud to contribute to the successful delivery of the Shetland 2 link.
"Our Scotland factory at the Port of Nigg, together with our Business and EPC projects Centre of Excellence in Glasgow, demonstrates our long-term commitment to investing in local engineering capability, creating high-value skilled jobs, and strengthening resilient supply chains across Scotland and the UK.
"Through this Framework Agreement, we look forward to further strengthening our collaboration with SSE Group in the HVDC sector and supporting Scotland's and the UK's transition to a secure, resilient and low-carbon energy system."
Maurits den Broeder, Managing Director Offshore Energy at Van Oord, said: "The signing of the Framework Agreement is an important milestone for Van Oord in the offshore HVDC market and marks the start of a long-term collaboration with Sumitomo Electric in offshore transmission. It also reflects our deep commitment to the UK, where we have been active for more than a century, including through our long-standing work with several Government Agencies.
"By combining our complementary expertise, we are well positioned to support the delivery of this critical infrastructure and the efficient transmission of renewable electricity into the wider UK energy system. Through our UK organisation and local supply chain, we are committed to delivering projects in a way that creates lasting value for the regions where we operate."
Under the framework, Sumitomo Electric will deliver engineering, procurement and supply services for HVDC cable systems, while Van Oord will manage offshore transport and installation. The agreement is designed to support a range of future subsea transmission opportunities within SSEN Transmission's investment programme, with the proposed Shetland 2 project among the first potential schemes to progress under the deal.
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