This is the second tender round in the offshore transmission regime, which is a joint policy initiative between Department of Energy and Climate Change (DECC) and Ofgem, to encourage cost-effective investment in the network links between the offshore windfarms and the mainland grid.
Ofgem said that companies will be competing for the right to own and operate the links to 2.8GW of offshore wind farms for the next 20 years.
Tenders for the first three projects – Gwynt-y-Mor, Lincs and London Array – have started and tenders for the other three – Humber Gateway, Race Bank and West of Duddon Sands – are expected to start in 2012 once they have met the necessary qualifying requirements, Ofgem said.
Ofgem chief executive Alistair Buchanan said that Britain needs to attract £200bn of investment in its energy industry over the next 10 years and £20bn will be for offshore transmission links.
