Update to the provisional cap and floor level for the Greenlink Interconnector
Reports, plans and updates
- Publication date
- Industry sector
- Transmission Network
In May 2020, we published a decision to enable project finance solutions for two cap and floor projects, Greenlink and NeuConnect. The project developers requested changes to our cap and floor regime to broaden the sources of financing available for them to progress their projects through construction. Greenlink completed their Final Project Assessment in October 2021 and achieved financial close on 15 March 2022, securing debt finance. As part of our Final Project Assessment, we committed to publish Greenlink’s provisional cap and floor levels following financial close.
The financial parameters for the Greenlink project have been confirmed following the conclusion of the debt raise process. This letter sets out our oversight of the debt raise process; the provisional notional cap and floor level; and the provisional actual floor level. We will then confirm the final cap and floor levels for the project prior to operation at our Post Construction Review stage.
We have also published the updated Greenlink cap and floor financial model 1 (GCFFM1), the model handbook, and Section G direction for Greenlink. This direction brings into effect Section G (Cap and Floor Conditions). The Section G conditions of the standard licence conditions are switched off by default for all electricity interconnector licensees until the Authority issues a Section G (Cap and Floor Conditions) Direction to switch them on.