Our current portfolio of projects includes eleven Offshore Transmission Owner (OFTO) projects under management or at preferred bidder stage, three interconnector projects in development and four Grid Stability projects in development or under construction.
Offshore Transmission Owner (OFTO) Projects
The offshore transmission networks have to date been constructed by the offshore wind farm generators, and then transferred to the successful bidders shortly after commissioning.The offshore transmission networks usually comprise an onshore substation, one or more onshore and offshore high voltage export cables, and one or more offshore substations.
There have been more than 25 offshore transmission networks tendered to date.
Since 2014 interconnector projects have been able to apply for Ofgem’s ‘Cap and Floor’ regulatory framework. This framework was developed by Ofgem to support interconnector developers and investors by providing a guaranteed minimum level of return. Ofgem continues to use Cap and Floor windows to support bringing forward further interconnector projects to help meet the UK Government’s Net Zero climate change targets.
Due to the distances involved in connecting between countries, electricity interconnectors predominantly utilise HVDC technology. This reduces the cost of operating the link and provides increased flexibility to support System Operators in ensuring supply and demand can always be balanced. HVDC interconnector assets usually comprise of two onshore converter stations connected by two sub-sea HVDC cables.