Delivering UK Energy Investment: Networks 2015 provides an in-depth focus into the investment undertaken in networks, the challenges and opportunities on offer and a vision for what future integrated networks might look like.
The report highlights the success we have achieved through creating the right conditions to make the UK an attractive place for investment in network infrastructure so we are on track to meet our energy goals and targets.
- Over £16 billion has been invested in onshore and offshore electricity networks since 2010 and interconnection projects worth £1 billion have been delivered.
- Between 2010 - 2014, over £3.8 billion has been invested in gas transmission and distribution networks supporting 11,500 jobs.
- Between 2014 and 2020, an estimated £34 billion of further investment may be needed in electricity and £7.6 billion in gas networks.
- Ofgem estimates that over 8,000 additional jobs will be supported to 2021 in the electricity transmission sector alone and 4,500 jobs will be supported in gas transmission.
- The potential scale of heat network growth is enormous. Some models show that heat networks have the technical potential to supply as much as 43% of heat demand for buildings by 2050.
- An estimated £400 million to £800 million of capital investment over the next 10 years in heat networks resulting from £7 million of government grant funding to Local Authorities.
This builds on the full report which we published in July 2014 which provides a comprehensive assessment of the investment across UK energy and a detailed look at the investment challenge and opportunities in the future in order to meet our climate change targets and deliver reliable, secure and cost effective energy supplies.
Page 25 of the original version of this report should have read “A funding of £2.2 million has been awarded for the project”. This has now been amended.