OFGEM Backs £600 Subsea Cable–To Connect One Wind Farm In Shetlands!

By Paul Homewood

 

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Energy regulator Ofgem has approved plans for a subsea power cable which would take energy from Shetland to the Scottish mainland.

Scottish and Southern Electricity Networks (SSEN) wants to build a 600MW electricity transmission link.

Ofgen said this would allow new wind farms on Shetland to export renewable electricity to the rest of Britain.

The regulator said the scheme would also help ensure the supply of electricity on the islands.

However, the approval of SSEN’s revised proposals is subject to evidence that a Viking Energy wind farm project will go ahead.

It is estimated that the subsea cable project would cost more than £600m.

It would connect Kergord in Shetland to Noss Head on the Scottish mainland, near Wick in Caithness.

https://www.bbc.co.uk/news/uk-scotland-north-east-orkney-shetland-52397784

 

There is one thing the BBC forgot to mention, the fact that energy consumers throughout the UK will end up paying this cost, as OFGEM explain:

 Ofgem regulates network companies including SSEN, which is a subsidiary of SSE. All energy consumers pay for the cost of investment in new network capacity through their energy bills and the regulator ensures that it obtains the best deal possible for them.

 

The only reason for the cable is to connect up the proposed wind farm. Although it may be used to import power from the mainland, OFGEM again make this clear:

Ofgem’s approval is subject to receiving sufficient evidence by the end of 2020 that the 457MW Viking Energy Wind Farm project planned for Shetland is likely to go ahead.

Currently most of Shetland’s electricity comes from Lerwick Power Station, a 66 MW diesel plant, which is nearing the end of its life. OFGEM consider that direct replacement of this would be a much cheaper option.

It is interesting that Shetland would still need to import power when Lerwick is shut, rather than relying on the Viking Wind Farm!

Incidentally, Viking were hoping to wind a CfD contract last autumn, but could not compete on price, suggesting that wind power is not as cheap as we are told.

Construction of the proposed Viking project along with the £600m cable cannot possibly be justified economically. It is no more than green virtue signalling.

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May 6, 2020 at 04:27AM

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