The UK’s Electricity System Operator (ESO) has proposed applying the ‘First Ready, First Connected’ approach to the existing grid connection queue.
The long-term connection reforms were first announced in December 2023 and would have then only applied to new connection applications and significant Modification Applications received from January 2025 onwards.
With the grid connection queue growing fast, ESO believes that this further application is needed if it can drive improved connection dates in the timescales required to deliver on the Connections Action Plan (CAP) objectives.
Cutting the grid connection queue in half
The operator’s internal analysis of available data indicates that these proposals could halve the queue’s size, enabling earlier connection dates for viable projects.
Under the reformed ‘First Ready, First Connected’ approach, projects will enter the connections process at ‘Gate 1’ but must reach certain criteria to arrive at ‘Gate 2’, at which point projects can obtain a queue position and a connection date.
Projects would only receive an indicative connection date and connection point before reaching Gate 2. Projects in the existing queue will be given time before these reforms are implemented to demonstrate they have met Gate 2.
Where projects meet the criteria, they can retain their existing connection date or request an accelerated connection date based on the reformed queue Where projects in the existing queue do not meet the criteria, they will move to an indicative connection date and an indicative connection point. They will also no longer be subject to liabilities and securities or to Queue Management Milestones.
Subject to the regulator’s approval of timelines for the code modification process, this reformed process could be in place by January 2025.
Aiding the grid
The ramp-up of renewable energy projects requiring grid connections over the past couple of years has created significant obstacles in the UK’s net zero transition.
According to ESO, since October 2022, the transmission connections queue has grown by more than 275GW and has been growing at an average of over 20GW a month for the last 12 months.
The total queue (across transmission and distribution) is likely to exceed 800GW by the end of 2024 – over four times the installed capacity that ESO anticipated needing by 2050.
To address this issue, Ofgem established its Accelerated Strategic Transmission Investment (ASTI) framework, which seeks to fast-track crucial infrastructure projects, enabling the UK to meet its target of 50GW of offshore wind capacity by 2030. Compared to the previous process, ASTI can accelerate necessary project funding decisions by up to two years.
One project that is already supported by this framework is Eastern Green Link 1 (EGL1), a proposed major subsea energy link between Scotland and England that received a provisional budget of £2 billion to accelerate its connection.
Flexibility on the grid
Whilst establishing a better system for organising the grid connection queue will provide substantial support, the developments around flexibility on the grid will also be of great help.
For example, earlier this month, the National Grid Distribution System Operator (DSO) unveiled a two-year action plan and expanded revenue stacking for flexibility services. In 2024, the DSO plans to introduce short-term local forecasting using weather data. This will help in making flexible dispatch decisions and curtailment modelling more accurate.
Additionally, the DSO aims to expand the scope of its Planning Regional Infrastructure in a Digital Environment (PRIDE) project, which aims to provide digital support to more local authorities as they prepare their Local Area Energy Plans (LAEPs).
The DSO will also begin publishing weekly dispatch data, digitalise its trading function, introduce day-ahead flexibility competitions and expand revenue stacking. The strategic plan was unveiled at a flagship event at London’s Battersea Power Station.