UK grid connection reform targets speculation and strategic demand

2026/11/03 Category:Policy & Future View:1 Comments:0

The government has published the outcome of its consultation on accelerating electricity network connections for strategic demand, setting out plans to amend the connections process to tackle speculation and prioritise capacity. It says electricity demand could more than double by 2050, and that connections reform also covers generation, storage and interconnection. Two solar-plus-storage projects were granted consent in October 2026.

A connections process overwhelmed by demand

The Department for Energy Security and Net Zero says electricity networks are the backbone of economic growth, decarbonisation and the digital future, with demand set to more than double by 2050 as sectors from hydrogen production and manufacturing to transport, housing and data centres electrify. It states that too many projects vital to national priorities are held back by long lead times for new network infrastructure and a connections process overwhelmed by unprecedented growth in demand for new connections.

The consultation outcome, updated on 28 October 2026, says government cannot allow vital demand projects representing billions in investment to be stuck behind non-viable or less-developed projects in the connections queue. Working in partnership with Ofgem and NESO, it says it is intervening to restore fairness, protect the integrity of the system and ensure the right demand projects can connect in a timely manner.

Strategic demand and the race for AI capacity

The reforms are aimed at amending the connections process to address speculation and prioritise future capacity for strategic demand, including data centres. The government links pressure on the queue partly to the global race to secure AI capacity, while describing the growing UK data centre market as an opportunity to attract investment, drive innovation and create new jobs. A definition of strategic demand is set out in an annex to the consultation.

Alongside this, government says it is taking action to accelerate network build through reforms to planning and consenting, support for the supply chain and skills pipeline, reform of land access rights and reform of the system access process. These interventions are intended to support delivery of the 80 critical transmission projects required for Clean Power 2030. The government adds that the connections system for generation, storage and interconnection is also being reformed with NESO and Ofgem.

Consent decisions for solar and battery schemes

In October 2026 the Planning Inspectorate announced two development consent orders for solar projects that include battery storage. The Steeple Renewables Project in Nottinghamshire, comprising approximately 450MW of solar energy generation and approximately 150MW of battery energy storage, was granted development consent on 9 October 2026. It was the 115th energy application out of 183 examined to date and was completed within the statutory timescale laid down in the Planning Act 2008.

A day earlier, development consent was granted for the Green Hill Solar Farm. That scheme is an electricity generating station with a capacity of up to 500MW, comprising ground mounted solar arrays and associated development including energy storage and grid connection infrastructure. It was the 114th energy application out of 182 examined to date, also completed within the statutory timescale. Both examinations ran for six months with public and interested party involvement.

Self-build connections and a publicly owned grid body

A separate commentary from solicitors Thomas and Woolven, dated 5 October 2026, notes the government's announcement of Great British Grid, a new publicly owned organisation intended to help accelerate investment in Britain's electricity network. It also highlights an intention to expand the use of self-build electricity connections, which could allow developers and businesses, where appropriate, to arrange construction of their own connection rather than waiting for the network company to complete the work.

The commentary cautions that this does not mean every business will suddenly be able to obtain an immediate connection, since the network requires substantial expansion and many projects are competing for capacity. It advises that available grid capacity should form part of initial feasibility work, alongside finance, planning permission, staffing and expected demand, so that projects can be adjusted or alternative locations considered before significant commitments are made.

Key Takeaways

  • The consultation outcome on accelerating electricity network connections for strategic demand was updated on 28 October 2026.

  • The reforms aim to address speculation in the connections queue and prioritise future capacity for strategic demand, including data centres.

  • The Steeple Renewables and Green Hill Solar Farm orders, both including energy storage, were granted consent in October 2026 within statutory timescales.

  • A solicitors' commentary notes plans for Great British Grid and expanded self-build connections, and advises checking grid capacity early in project planning.


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