Ofgem’s new rules to eliminate ‘zombie projects’

The energy regulator has announced stringent measures to address the backlog of stalled or non-viable energy projects in the electricity grid connection queue

Ofgem has unveiled policy changes aimed at addressing stalled or non-viable energy projects in the electricity grid connection queue.

The initiative shifts away from the current ‘first-come, first-served’ system, targeting a backlog of projects that could potentially generate nearly 400GW of electricity.

The reform is designed to expedite connections for viable projects, removing obstacles posed by stalled or speculative developments.

The move comes in response to challenges, including a high attrition rate of 60 to 70% for slow-progressing projects, an increasing gap between requested and offered dates, and over 40% of 400GW capacity facing connection dates of 2030 or beyond.

The new queue management milestones, effective from 27th November, grant National Grid ESO the authority to enforce strict project stage milestones and terminate projects failing to meet them.

Eleanor Warburton, Ofgem’s Deputy Director for Institutions for Net Zero Energy Systems Management and Security, said: “This is a big step towards phasing out the first-come first-served queuing system.

“We want new power on the grid as quickly as possible, so if you’re ready, you can connect sooner. If you’re not ready and are blocking the progress of others, you’ll be removed – you can’t sit on the queue with no consequences.”

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