The callout comes from Alan Dunne, managing director for the UK & Ireland at Aggreko, following reports that factories are abandoning electrification plans due to a lack of clarity on the costs and time it will take to connect to the grid.
The report from ADE: Demand, a non-profit trade body for energy users, found that operators are opting to replace ageing equipment with like-for-like gas-powered assets because connection costs and timescales were impossible to pin down before investment decisions had to be made.
While reforms are implemented to address these issues, Alan believes factories can still aim to make tangible steps towards decarbonisation through immediate bridging measures that avoid curtailment and downtime.
“Electrification and renewable energy expansion are critical to the energy transition. However, we cannot ignore the lengthy queues, delays and uncertainty surrounding grid connections, which are causing factory operators to think twice about investing in on-site renewable energy projects when there is no clear timeline for connecting them to the network. While reforms to address these challenges are being rolled out, a growing number of factories need to upgrade their infrastructure today. They require reliable power now, not years down the line. These grid connection barriers should not be allowed to slow the pace of industrial decarbonisation.
“Hybrid systems that combine battery storage, low-emission gas generation and on-site renewables, such as solar, are a solution that can prevent delays and keep the industry’s green transition moving forward. We need to ensure that decarbonisation progress doesn’t grind to a halt while the system changes for the better.”
For organisations that are unable to secure timely grid connections, the ability to access reliable, lower-carbon power without significant upfront capital is an advantage, keeping decarbonisation a viable path economically for operators who require flexibility while facing uncertainty.
Currently, Ofgem, the government and the National Energy System Operator (Neso) have been implementing reforms to alleviate the grid connection queues, such as prioritising shovel-ready energy projects.
