Offshore transmission

The government set an ambitious target for the deployment of renewable energy over this decade.

By 2020, the government expects 15 per cent of the UK’s total energy needs to be met from renewable sources. This means that around 30 per cent of our electricity may come from renewables.

To achieve this substantial deployment of green energy, the government has established a policy framework to support investment in renewable generation. Within this framework, offshore wind is recognised as being an important source of renewable energy.

Government support schemes will encourage further investment in renewable electricity generation. For this power to reach homes and businesses in Britain, fit for purpose electricity networks must be developed, particularly offshore.

It is estimated that billions of pounds of investment will be needed to connect these projects.

Offshore Transmission Regime

A step change in network investment of this kind calls for a more dynamic approach to the development of transmission networks: an open, competitive approach that is built on encouraging innovation and new sources of technical expertise and finance.

To this end, along with the government, we have established the competitive offshore transmission regulatory regime. It underpins the government’s renewable energy targets by placing the requirements of renewable generators and Britain’s electricity consumers at the forefront.

Our role in Offshore Transmission

Competitive Tender Process

We are responsible for managing the competitive tender process through which offshore transmission licences are granted.

Granting licences to operate new offshore transmission assets via a competitive tender process mean that generators are partnered with the most efficient and competitive players in the market. This should result in lower costs and higher standards of service for generators and, ultimately, consumers.

Offshore Transmission Tenders

Offshore Transmission electronic tendering portal

Please visit the Offshore Transmission Electronic Tendering Portal where you can register to participate in the tender process. If you have any issues registering on the Portal, please contact Daniel Baker (tendercoordinator@ofgem.gov.uk).

Past key dates in appointment of Offshore Transmission Owners (OFTOs)

On 22 July 2009 we began the first set of transitional tenders to appoint new offshore grid companies (OFTOs).

Transitional tenders are for projects where the transmission assets have been, or will be constructed by the offshore developer, then transferred to the OFTO.

The second transitional tender round was started on 17 November 2010. Tender Round 3 (TR3), the first tender round to be run under the enduring regime, was launched in February 2014.

Publications and updates

  • Published: 7th Dec 2018
  • Decisions
  • 2 Associated documents
Final decision in relation to the application for certification under the ownership unbundling requirements of the Third Package by TC Robin Rigg OFTO Limited, TC Gunfleet Sands OFTO Limited, TC Barrow OFTO Limited, TC Ormonde OFTO Limited and TC Lincs...

  • Published: 30th Nov 2018
  • Guidance
  • 1 Associated documents
This document sets out the generic Offshore Transmission Owner (OFTO) Licence and guidance for TR6.

  • Published: 30th Nov 2018
  • Guidance
  • 1 Associated documents
This document sets out the Tender Process Guidance, which bidders must follow in order to participate in TR6.

  • Published: 30th Nov 2018
  • Guidance
  • 1 Associated documents
This document sets out the next steps for bidders who wish to participate in the TR6 EPQ Stage.

  • Published: 30th Nov 2018
  • Guidance
  • 3 Associated documents
This Enhanced Pre-Qualification Document sets out the requirements bidders need to demonstrate in order to be invited to participate in the Invitation to Tender Stage for TR6.

  • Published: 30th Nov 2018
  • Guidance
  • 1 Associated documents
This generic Preliminary Information Memorandum outlines an opportunity for investors to acquire electricity transmission assets under the regulatory regime.

  • Published: 29th Nov 2018
  • Decisions
  • 1 Associated documents
Notice of the Authority’s notice intention to commence tender exercises for Tender Round Six

  • Published: 28th Nov 2018
  • Decisions
  • 1 Associated documents
OFTO Tender Process Changes for Future Tender Rounds implemented for Tender Round 6 onwards

  • Published: 28th Nov 2018
  • Decisions
  • 1 Associated documents
Ofgem’s approach on Income Adjusting Events, following stakeholder responses to our open letter of 6 February 2018.

  • Published: 26th Sep 2018
  • Decisions
  • 1 Associated documents
The Authority’s determination to grant a licence to TC Dudgeon OFTO plc in respect of the Dudgeon project.

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