Electricity transmission charges: England subsidised, Scotland to pay £465m

Scotland's green revolution threatened by huge charges levied by UK's Ofgem  – Business for Scotland

from SNP Media today:

The SNP has slammed the Tory government after new National Grid figures reveal Scottish generators will be unfairly penalised and forced to pay £465million a year in transmission charges by 2026/27 – while England and Wales will be handed a subsidy of £30million a year.
 
It follows industry concerns that Scottish renewables firms pay huge fees to connect to the National Grid – while equivalent English projects are paid to connect to the very same grid.
 
Branded the ‘Great Scottish Renewables Robbery’ by Stephen Flynn MP, the Westminster government currently forces Scottish generators to pay the highest rates in Europe – with these new figures from the National Grid confirming just how reliant on Scottish fees the UK Government is.
 
The UK Government has so far refused to use its powers under Section 185 of the Energy Act 2004 to cap transmission charges in areas where they are hindering investment in renewable energy generation, despite various reports that have cited the bloated rates as a barrier to renewable expansion.
 
In the House of Commons Chamber today, the SNP Shadow Business, Energy and Industrial Strategy (BEIS) spokesperson said Tory Minister Greg Hands was refusing to take action to deliver fairness in the system because revenues from Scottish generators are too valuable to Westminster as they subsidise England and the entire National Grid.
 
Commenting afterwards, Stephen Flynn MP said:
 
“These damning figures from the National Grid prove that Scotland is being unfairly penalised by the Westminster government. It’s clear the Tories have absolutely no interest in making the system fair for Scotland, because they want to continue forcing Scottish generators to subsidise the rest of the UK – plain and simple.

“The Tories are guilty of the Great Scottish Renewables Robbery. We know Scotland pays the highest transmission charges in Europe and these grossly unfair rates are holding back Scotland’s renewable energy potential by acting as a huge barrier to expansion.

“Scotland has the potential to lead Europe in renewable energies, but we are being hampered by a Tory Government with no interest in our net zero future – and who seem happy for Scotland to be at a competitive disadvantage not just with the rest of Europe but within the UK too. It makes a mockery of Tory claims that this is a union of equals. 

“We already know that Scotland has huge potential to lead Europe on renewable energy, now we just need the full powers of independence to ensure that potential isn’t squandered by Westminster.”
 
Link to Stephen Flynn’s BEIS questions – (Min 12:12:13 – 12:14:20) 
 
SSEN report
 
Section 185

10 thoughts on “Electricity transmission charges: England subsidised, Scotland to pay £465m

  1. Hi John, I would point out one glaring error to SNP’s PR department, there is NO Norway Scotland interconnector, all of it goes via England, that would have been a slam dunk.

    Liked by 1 person

      1. True Michael, but had only the operational interconnects been shown, or “proposed” been dotted lines, the graphic would have more instantly conveyed the extent to which England is the sole beneficiary of the current arrangements financially and physically.
        Further, the “NorthConnect” from Peterhead to Norway was originally slated for 2022 operation, but was thrown in doubt when the interconnect direct to the north of England was proposed. Both are shown, but the grid connection charge which is pivotal to a decision puts the Peterhead link in grave doubt.
        Peterhead-Drax ? Currently under construction?

        The political chicanery in favouring the power hungry South of England needs to be relentlessly exposed.

        Like

      1. It’s load balancing – It happens all the time on the National Grid and across Europe unseen to the public eye and completely normal.
        Even when the next phase of generators come on stream this will still happen, the %age will simply become lower.

        Like

  2. Despite in surplus and nearer the source. Scotland pays more for fuel and energy. It is a penalty on the whole Scottish economy. For parity Scotland should pay less per unit If Scotland was Independent it could benefit from £Billions in fuel and energy revenues and benefit.

    Liked by 1 person

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