When was the last time you stopped to appreciate access to power, at the simple flick of a switch?
In reality, moving power from its source to our homes is anything but simple. And as we scale up our renewable energy capacity, harnessing power from the wind and sun is a big challenge. It requires new green infrastructure – wind turbines, solar panels and thousands of miles of transmission cables, along with the substations that make up the national grid.
Without it, we can’t meet the UK targets to slash our shared carbon footprint. But with the right planning, it’s hoped that the energy transition will bring benefits even broader than a cooler planet, cleaner air and sustainable ways to power our kettles and smartphones.
For example, there’s the security that comes from home-grown power and greater insulation against global energy price shocks.
Electrifying our energy supply brings huge opportunities for growth – but making the most of it means grasping the specific challenges ahead of us and acting on them quickly
Collaborating with SSEN Transmission, we mapped and shaped a supply-chain strategy for six crucial transmission network developments, securing skills and supplies in time to contribute to the UK’s climate targets.
“One of the UK’s clean-energy goals is to create enough offshore wind-power capacity to power every home in the UK,” says Deloitte’s Susan McDonald. “It’s exciting to see change happening - and to think of the opportunities it can bring for sustainable growth in the UK.”
“Businesses and public-sector bodies can work together to understand the specific needs of the new green infrastructure being planned and created in the UK, along with the gaps in skills and supplies, and how to fill them.
“But in a competitive global environment, to make the most of the opportunity, it has to happen quickly.”
“SSEN Transmission is on track to deliver six major transmission network developments within the set timeframes. Without this work we wouldn’t be able to say that today.”
John Scott
Programme Director, SSEN Transmission
Creating a robust HVDC supply chain
Together, the combined SSEN Transmission and Deloitte project team threw out old assumptions, prioritising collaboration and progress above all else. The approach is an example of how supply-chain planning can work to the UK’s benefit.
“We want it to be a catalyst for other infrastructure builders to look at their five and ten-year plans, explore how to stimulate supply chains in the UK and be ready to take advantage of what’s forecast to be a tsunami of demand,” says Susan.
A clear view of the challenge
When we began the project, UK regulations weren’t geared towards the specific challenges of securing supplies and skills quickly in a highly-competitive market. Together, we engaged stakeholders in a dialogue about the realities of the supply market today, based on rigorous, independent research. It was an important step towards demonstrating to Ofgem and the UK Government that regulation-change was needed to help the UK compete.
A new model to protect investment
Changes to regulations, made by Ofgem and the UK Government, allowed SSEN Transmission to speed up the procurement process, lowering the definition of the of detail needed up front at such an early stage.
Certainty to get ahead of the game
“As soon as we had certainty about the regulatory change, we were out there in the market, procuring the suppliers we needed,” says John. “Being able to move quickly has helped to re-shape our view of what’s possible. Because the HVDC supply pool is small, others looking to build the same infrastructure now won’t be able to complete work until the mid-2030’s.”
Creating opportunities in Scotland
Sharing details earlier gave visibility and insight to potential suppliers about to skill up and prepare in the right way to establish new capabilities in the UK. Now, recognising it as a place with manufacturing capability, suppliers are making plans to establish plants in Scotland, creating jobs and investment opportunities.
Explainer: High Voltage Direct Current Cables
High Voltage Direct Current Cables (HVDC) are the most effective way of transmitting energy across long distances, like from miles offshore to the nearest sub-station.
So, for offshore wind in particular, these cables are essential for the first part of the power's journey.
Once it's entered the grid, the power travels through a network of smaller sub-stations, until it's eventually supplied to our homes via an underground cable or overhead power line.