Data published by Conrad Energy reveals that just 18% of Nationally Significant Infrastructure Projects receive a planning decision within the recommended statutory timeframe of 16 months
An overwhelming majority of Nationally Significant Infrastructure Projects (NSIPs) did not receive a decision on their application within the statutorily recommended timeframe of 16 months from the date of their application according to research published by independent power producer Conrad Energy.
The data reveals that just 18.4% of NSIPs received a decision within 16 months of submitting their application, as recommended under the Planning Act 2008, with the average delay just shy of five months. These delays raise questions about the feasibility of current plans to ‘Get Britain Building’.
The findings suggest that despite the collective commitment of billions of pounds of public funding through the Spending Review and the Infrastructure and Industrial Strategies, as well as the launch of GB Energy, the Government’s ambitions could be undercut by the challenges in progressing major infrastructure projects on schedule and on budget.
With 88 of the 163 projects either a generating station (including solar farms, wind farms, and power stations) or electric lines, the findings will be of particular concern in light of the Government’s ambitious Net Zero targets, which the National Energy System Operator in its advice on 2030 Clean Power noted would require delivery ‘at the limit of what is feasible’.
The research found:
- The average delay for a project was 148 days with only 30 of 163 projects receiving a decision on their application within the recommended statutory timeframe of 487 days
- 18 projects saw delays of over a year, with six of these projects experiencing a delay in receiving a decision of over two years
- The longest delay was 1,242 days, which is just short of three and a half years
Commenting on the findings, Philip Silk, Development Director at Conrad Energy, said, “It is clear that the lengthy delays NSIPs face whilst waiting for a decision on planning applications are a huge obstacle to the plans to ‘Get Britain Building’ and unlock economic growth through investment in infrastructure. The delays are particularly concerning for the energy transition with over half of NSIPs since 2010 linked to the energy sector.
“These significant delays will be impacting projects in a number of ways, chief amongst them financially. The stark reality is that companies face costs running into the millions of pounds just to reach the point of submitting a planning application for an NSIP, with these costs likely to be added to significantly by delays in receiving a decision, including in fees for legal advice and incurred on extending land options. The delays and additional associated costs could ultimately imperil a financial investment decision. To put it simply, business and investors simply won’t wait forever.
“The positive news is that the scale of the problem has been recognised. The introduction of the Planning and Infrastructure Bill was the headline act, but the significance of additional funding to recruit planning officers cannot be overlooked. Perhaps most important of all was the decision to end the ‘first-come, first-served’ approach to offering grid connections which had caused an intractable log jam.
“Indeed, there is momentum gathering in the UK. The recent Spending Review, Infrastructure Strategy, and Industrial Strategy, as well as the publication of the solar roadmap, all reflect a Government that has a firm focus on the importance of the energy sector. This funding should help to alleviate some of the pressure that has almost certainly contributed to these lengthy delays.
“Equally, however, this is not a problem that will be solved overnight. The Government has taken steps in the right direction, but there is more that needs to be done to ensure this precious momentum does not stall. The Government’s Net Zero targets in particular, and its infrastructure plans in general, are sufficiently ambitious to be at the edge of what is possible. That in itself is not a cause for criticism, but it is vital that the size of the challenge is remembered.
“Close collaboration will be needed between the Government and the industry to ‘Get Britain Building’ and that, in turn, requires a recognition of the financial risks that developers face – risks that cannot continue to be exacerbated by substantial delays.”
