SP Energy Networks taps 19 partners in £5.4bn supply chain contract programme
Image courtesy SP Energy Networks
Scottish utility SP Energy Networks has selected 19 companies as preferred supply chain partners for what they call ‘the biggest rewiring of the GB electricity grid since its inception’, in the utility’s bid to meet increasing power demand.
Of the £5.4 billion (€6.5 billion; $6.8 billion), the agreement includes up to £3 billion (€3.6 billion; $3.8 billion) on new overhead lines and £2.4 billion (€2.9 billion; $3 billion) on new and upgraded substations, including design, engineering, construction and electrical works.
Seventeen of 19 contractors chosen to work on the programme are headquartered in the UK and Ireland, including businesses like Keltbray Energy Limited, headquartered in Surrey, who will deliver work across both overhead lines and substations.
I&H Brown, the Scottish-headquartered family run civil engineering firm and RJ McLeod, the Glasgow based contractors, will help deliver new and upgraded substations.
The strategic partnership will run for an initial five years, with the option to extend up to 10 years.
Additional preferred partners include: Siemens Energy, GE Vernova, adman, AMCO Giffen, Balfour Beatty, cobra, George Leslie, kirby, linxon, Luddon Construction, Morgan Sindall, Morrison Energy Services, Farrans, PLPC LTD, Painhas, and wood.
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Commenting in a release was Nicola Connelly, CEO of SP Energy Networks: “We’re delivering the biggest overhaul of the electricity grid ever seen to unlock growth and free up network capacity for new homes, businesses and clean energy projects.
“These strategic partnerships will give suppliers the confidence to invest in themselves, growing their workforce, opening new offices across the country and creating even greater opportunities for the UK.
“This is great news for the UK and Scottish supply chains, with every pound spent directly benefiting central southern Scotland and its infrastructure for decades to come.”
SP Energy Networks, part of Iberdrola-owned ScottishPower, owns and operates the transmission network for central and southern Scotland with more than 4,500km of overhead electricity lines, 600km of underground cables and over 150 substations to transport high voltage power across the region.
It also operates undersea high voltage cables and last week was given the go-ahead to progress with a new underwater superhighway off the east coast of Britain.
In September ScottishPower confirmed it was doubling its investment in the UK to 2028, from £12 billion (€14.4 billion; $15 billion) to £24 billion (€28.8 billion; $30.2 billion), with two thirds focused on electricity networks.
In the coming weeks SP Energy Networks will submit its five-year business plan for the period 2026 to 2031 to the energy regulator, Ofgem. These plans, says the company, will play an important role in helping deliver the UK Government’s Clean Power 2030 ambition.
