National Grid has overhauled the way it works with suppliers by creating a new Electricity Transmission Partnership (ETP) that will channel roughly £8 billion into building and upgrading around 130 substations across England and Wales by 2031.
The new scheme is key to National Grid’s proposed £35 billion RIIO-T3 investment plan and is designed to accelerate the grid reinforcements needed for Britain’s clean-energy ambitions. That’s because instead of tendering each project individually, National Grid will award regional ‘first-refusal’ rights to five contractors.
The contractors that are to be awarded the privilege of first refusal rights are: Balfour Beatty (North East), Morgan Sindall Infrastructure (North West), Murphy (South West 1 and London & South East), M Group Energy (South West 2) and the Omexom/Taylor Woodrow joint venture (Central West). Two further firms, Linxon and Burns & McDonnell, have been appointed as national partners to pick up work that falls outside the regional bundles.
National Grid says the shift to decade-long frameworks will give contractors the confidence to invest in local skills, depots and equipment, bolstering a supply chain that must scale rapidly as renewable generation connects to the network.
Alice Delahunty, President of National Grid Electricity Transmission, commented, “Our Electricity Transmission Partnership marks a bold shift in how we deliver vital electricity infrastructure. By adopting a regional, long term approach, we’re giving our supply chain the certainty to invest in people, skills and innovation. It’s a key step in turning our RIIO-T3 investment ambitions into action and building a resilient grid to support Britain’s clean energy future.”
Alongside the framework awards, National Grid has earmarked an initial £1.3 billion of substation projects that will be let to the delivery partners once design and planning milestones are met. The first contracts are due to be signed later this year.
Energy Minister Michael Shanks welcomed the move, noting, “The clean energy transition is the economic opportunity of the 21st century, with the potential to revitalise our industrial heartlands with skilled jobs and economic growth. This £8 billion partnership from National Grid is proof of that – providing a boost for Britain’s supply chains, investing in the future of our highly skilled workforce and helping to deliver clean, homegrown power that we control.”
How the ETP forms part of National Grid’s wider supply-chain overhaul
The ETP sits alongside National Grid’s Great Grid Partnership, covering overhead lines and cables, and a new high-voltage direct-current framework. Taken together, the programmes are designed to streamline procurement, expand factory capacity and reduce the risk of bottlenecks as the company connects offshore wind, solar and battery projects to the national system.
Contractors say the certainty offered by the ETP will help them ramp up quickly. Tony Wilson, Managing Director of Balfour Beatty’s Power Transmission & Distribution business, said, “This appointment recognises our proven track record in delivering critical infrastructure and our ability to mobilise skilled teams and innovative solutions at scale. The new model is a bold and timely step that will strengthen National Grid’s supply chain and accelerate the UK’s journey to net zero.”
Meanwhile, Yousef Chamaneh, Country Manager (UK) at Linxon, concluded, “This partnership presents a transformative opportunity – one that calls for bold vision and deep collaboration. At Linxon, we are energised by the scale of what lies ahead and committed to working hand-in-hand with National Grid and our fellow partners to deliver lasting impact. We are truly grateful for the trust placed in us and excited to help shape a more sustainable and resilient energy future.”
