Scottish and Southern Electricity Networks (SSEN) Distribution has released £320 million of contract opportunities for the north of Scotland’s electricity network.
SSEN is seeking long-term, strategic partners to deliver the programme, focusing on investment and infrastructure development in northern Scotland.
The distribution company will award Framework Agreements based on geographical areas for underground cable works, substations, and overhead line projects.
This new framework agreement aims to contribute to implementing SSEN’s RIIO-ED2 commitments and driving the delivery of SSE Group’s Net Zero Acceleration Programme Plus (NZAP+) targets.
SSEN believes this approach will give a commitment to contract partners, which will help facilitate the growth and development of locally-based workers.
“We are delighted to bring these new opportunities to the market. This represents a huge investment in the north of Scotland’s electricity network, as well as in the supply chain and the skilled workforce that will deliver it,” said James Flanagan, SSEN Distribution’s director of procurement.
“Our hope is that this new approach will attract the broadest range of companies to bid for the work. But the fact we’ve divided the licence area into smaller geographical zones means companies of all sizes have potential opportunities.”
Recent similarities
SSEN Distribution and other key players in the energy distribution sector are awarding contracts, especially for flexibility services.
For example, SSEN contracted over 700MW of flexibility throughout 2023/2024 by completing two further rounds of bidding, which resulted in an additional 433.3MW of volume.
These new deals cover flexibility services in SSEN’s central, southern England, and northern Scotland licence areas.
The firm opened the bidding window in January for the first nine constraint-managed zones. These zones are for obtaining ‘Secure’ services, which help reduce the load on the network before it’s expected to occur.
All zones are available for restoration and dynamic services, which support the network after an outage. In February, an additional ‘super zone’ was opened, covering parts of Reading and Hampshire.
Moreover, energy supplier UK Power Networks’ DSO has successfully awarded contracts amounting to 327MW across 127 sites to 17 different flexibility providers. This tender includes seven new participants taking part for the first time.
The company has also streamlined the process for market participants by simplifying registration and awarding a standard framework contract to providers. The changes will make it easier for potential new providers to enter the marketplace.