Danish power cable manufacturer and installation firm NKT has been awarded the final contracts for two Scottish HVDC transmission links that are part of a major upgrade to the electricity transmission network across the north of Scotland.
NKT and SSEN Transmission confirmed their partnership to develop the Western Isles and Spittal to Peterhead projects in July 2024 . The transmission system operator (TSO) has now awarded NKT the final contracts for the 525 kV HVDC power cable systems for the transmission links.
The combined order value is approximately €2 billion and will see NKT deliver the design, production and installation of onshore and offshore cable systems.
According to NKT, the contract value represents an increase from the initial estimate communicated in 2023, driven by higher raw material costs and the inclusion of the full project scope, including cable installation confirmed during the initial phase.
“We are excited to have signed the final contracts for the two Scottish transmission links with SSEN Transmission. This milestone reinforces our strong position in the UK market and reflects our commitment to strengthen the cable infrastructure supporting the region’s transition to renewable energy. We will continue our excellent collaboration with SSEN Transmission, while also strengthening our corporate footprint by creating local jobs and building partnerships with UK suppliers,” said Claes Westerlind , President and CEO of NKT.
The 1.8 GW Western Isles project will have a cable route of approximately 170 kilometers of 525 kV HVDC combined on- and offshore cable, while the 2 GW Spittal to Peterhead project will have a route of approximately 210 kilometers of 525 kV HVDC combined on- and offshore cable. Both are expected to be commissioned in 2030.
The offshore HVDC transmission links are seen as crucial projects that form part of the Pathway to 2030 investment program being delivered by SSEN Transmission.
The Scottish Government Marine Directorate recently granted the variation to the existing marine license for the Western Isles link, allowing the needed increase in capacity.
“Awarding these contracts is a major step in delivering the subsea links needed to unlock Scotland’s clean energy potential. It is the largest contract award in our history, highlighting both the scale of the challenge and our commitment to building the infrastructure the energy system requires. Our long partnership with NKT gives us confidence in delivering these complex projects to high standards while creating local jobs, investment and opportunities across the north of Scotland,” said Sandy Mactaggart , Director of Offshore Delivery in SSEN Transmission.