Utilities & Infrastructure : Utilities & Energy News
ONR grants nuclear site licence for Sizewell C

ONR grants nuclear site licence for Sizewell C

The Office for Nuclear Regulation (ONR) yesterday announced that a nuclear site licence has been granted to install and operate a nuclear power station at Sizewell C in Suffolk. The decision was made following an assessment of the nuclear site licence application made by Sizewell C Ltd, with our review

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ENA responds to the 'Beyond 2030' report

ENA responds to the ‘Beyond 2030’ report

Responding to the publication of National Grid ESO’s investment plan, detailed in the report ‘Beyond 2030’, Lawrence Slade, Chief Executive, Energy Networks Association, said;  “This plan is an important step in upgrading our grid, which is vital if we are to support greater electrification, the use of more low carbon

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Costain selected for landmark £4bn carbon capture project

Costain selected for landmark £4bn carbon capture project

Costain, the UK infrastructure business, has been selected by Net Zero Teesside Power (NZT Power) and the Northern Endurance Partnership (NEP) as one of nine specialist partners for a landmark carbon capture scheme with a combined value of around £4bn. NZT Power and NEP are joint ventures involving the global

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Latest Issue
Issue 322 : Nov 2024

Utilities & Infrastructure : Utilities & Energy News

Balfour Beatty awarded first phase of SSEN Transmission’s Skye Reinforcement Project

Balfour Beatty awarded first phase of SSEN Transmission’s Skye Reinforcement Project

Balfour Beatty has today been awarded the first phase of the c. £690 million Skye 132kV reinforcement project for Scottish and Southern Electricity Network (SSEN) Transmission. On completion the project will ensure the supply of secure, clean electricity to thousands of homes and businesses across the Hebrides and West Highlands. The detailed design and development phase, valued at £32 million, will see Balfour Beatty provide technical solutions for a new 137km, 132kV double circuit overhead line between the existing Fort Augustus and Edinbane substations, as well as new sealing end compounds to link the overhead line to the underground electricity network, ultimately joining the Isle of Skye and Western Isles to mainland Scotland. Subject to planning approval, the full construction contract award is expected later in 2024. Due to the expansive and unique terrain, Balfour Beatty will engage its in-house environmental and sustainability team to consider ecological and environmental requirements, from peat management to wildlife translocation, contributing to SSEN Transmission’s biodiversity net gain targets. In addition, the Company will work closely and collaboratively with local communities to minimise disruption wherever possible, including introducing a ‘Skye workers village’ to provide the construction workforce with dedicated site accommodation. Tony Wilson, Managing Director of Balfour Beatty’s Power Transmission and Distribution business said: “We have a long and proud history of working with SSEN Transmission. This most recent award is testament to our expertise and capability in delivering overhead lines and underground cabling works in complex and challenging environments.” Paul Higginbotham, SSEN Transmission’s Deputy Project Director for the Skye 132kV Reinforcement Project, said: “We’re pleased to strengthen our relationship with Balfour Beatty as a supply chain partner for the Skye 132kV Reinforcement Project, helping us deliver security of supply to homes and businesses along its route from Skye to Fort Augustus, as well as to the Western Isles.”  This latest award follows the Company’s appointment to SSEN Transmission’s Accelerated Strategic Transmission Investment (ASTI) framework in August 2023 for which it commenced detailed development and design in early 2024.  Main construction work for the Isle of Skye Reinforcement Project is expected to begin in early 2025. At project peak, Balfour Beatty will employ 650 people including 32 apprenticeship and graduate positions as part of the Company’s commitment to The 5% Club. Balfour Beatty has unrivalled end-to-end capability in the UK energy market. Find out more here. Building, Design & Construction Magazine | The Choice of Industry Professionals

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Commercial grid connection costs are set to increase – Vattenfall IDNO minimizes excess charges

Commercial grid connection costs are set to increase – Vattenfall IDNO minimizes excess charges

Earlier this year, NGED, the DNO which manages electricity distribution in the south midlands, Wales and the southwest of the UK, published the statement below on their website:  “The way we charge for some of our larger connections quotes is changing from 1 April 2024. Customers seeking quotations for connections greater than 250kVa at high voltage will be required to pay for them when they are issued” DNOs have always been entitled to charge for grid connection applications but have historically avoided doing so. As demand for new and larger grid connections has increased in line with the electrification of industry and the rapid deployment of renewable energy systems, it seemed almost inevitable that DNOs would start charging at some point.  How much the charges will be remains to be seen, and there is no standard answer because charges vary by area within DNO regions and the type and size of the application. Charges are likely to be linked the kVA size but also to the amount of work the DNO must do to create the grid offer for the customer, meaning larger connections could see significant sums needing to be paid.  NGED is the first DNO to introduce charges for commercial grid applications and it makes sense from their perspective. The volume of connection applications has increased tenfold over the last 5 years and, since not all applications proceed to connection, the DNOs have incurred significant costs, which they have passed on to all electricity consumers. The introduction of grid connection application charges should limit the number of speculative applications and reduce overall costs. But for building and renewable energy project developers looking for suitable sites, where a suitably sized grid connection is essential, the new charging regime will be highly detrimental.  Fortunately for project developers, of any kind, Vattenfall IDNO’s new Grid Connection Consultancy service provides a way to minimize costs and avoid being charged wherever possible. Vattenfall IDNO is an Independent Distribution Network Operator, meaning the company can connect projects anywhere in the UK. As an IDNO Vattenfall can also adopt some of the essential infrastructure that is required for large, commercial grid connections, and will pay developers an Asset Adoption Value for these, which directly reduces grid connection costs for the developer.  To support developers further, Vattenfall has now developed a data platform to help clients understand where, and how much, grid capacity is available across the UK. By working with Vattenfall developers can avoid the need for multiple speculative connections in different parts of the UK – and the associated costs which DNOs might charge and get real time assessments of the available capacity at their preferred project locations before submitting applications.  Vattenfall IDNO will also pay any grid connection application charges upfront on behalf of the developer, further assisting cashflow, and will only charge a developer if the project does not go ahead. At the moment NGED have limited the charges to larger schemes of 22kV and above, stating: “We will review the success or otherwise of our targeted approach which will inform our decision on the application of connection offer expenses in the future.”  Whatever they decide in the future it seems that grid connection application charges are set to stay and that it is only a matter of time before the other DNOs follow suit and introduce their own charges per region.  Understanding the variable nature and timing of the introduction of these costs will create additional work for developers, further highlighting the benefits of working with a grid connections specialist, like Vattenfall IDNO, who can manage part, or the whole process, of securing a grid connection on behalf of clients so they can concentrate on what they do best – building the infrastructure for a net zero future. Building, Design & Construction Magazine | The Choice of Industry Professionals

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ONR grants nuclear site licence for Sizewell C

ONR grants nuclear site licence for Sizewell C

The Office for Nuclear Regulation (ONR) yesterday announced that a nuclear site licence has been granted to install and operate a nuclear power station at Sizewell C in Suffolk. The decision was made following an assessment of the nuclear site licence application made by Sizewell C Ltd, with our review concluding that the application has met all the requirements set out in regulatory guidance. In our initial assessment of their application we identified two outstanding matters that required resolution before a licence could be granted. At that stage, it was determined that we would carry out a proportionate reassessment of the application, focusing on these areas. The two topics that prevented granting of a licence in 2022, related to the shareholders’ agreement and ownership of land at the site, have now been resolved to ONR’s satisfaction. In addition, the regulator has concluded that progress made since 2022, relating to both Sizewell C Ltd’s organisation and the suitability of the proposed site, do not undermine ONR’s other findings from the earlier nuclear site licence assessment. Although the granting of a site licence is a significant step, it does not permit the start of nuclear-related construction on the site. ONR’s regulatory responsibility starts at the point of granting of a nuclear site licence. Now granted, it is able to use the powers within that  licence to require Sizewell C Ltd to request our permission for starting nuclear-related construction. Similarly, the licensee is required to seek our regulatory permission to proceed to subsequent key construction and commissioning stages up to the start of commercial operation and beyond. Mark Foy, ONR’s Chief Nuclear Inspector and Chief Executive said: “I am pleased to confirm that following extensive engagement and review by the ONR team, our assessment of the Sizewell C application is complete and a nuclear site has been licence granted. “The licensing process is fundamental in confirming that operators of a nuclear site are ready and able to meet their obligations under the nuclear site licence, to protect their workforce and the public. “The granting of this licence is one step in ONR’s process, allowing us to provide greater regulatory oversight, advice and challenge to the licensee as they progress their plans. “We will continue working with Sizewell C to ensure that the highest levels of quality, safety and security are met.” Building, Design & Construction Magazine | The Choice of Industry Professionals

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BGEN awarded £84million contract at Hinkley Point C by GE Steam Power Systems

BGEN awarded £84million contract at Hinkley Point C by GE Steam Power Systems

BGEN, one of the UK’s largest engineering firms driving the energy transition, has been awarded a £84million project by GE Steam Power Systems to provide electrical and instrumentation solutions to the Hinkley Point C nuclear power station in Somerset. When complete, Hinkley Point C is expected to deliver 7% of the UK’s CO2-free energy for the next 60 years. The plant is projected to generate 3.2+ GW to the grid – that’s enough to power 6million homes, whilst saving 9million tons of CO2 emissions a year.  GE Steam Power will supply the two conventional power islands for HPC, which include the Arabelle steam turbine, generator and other critical equipment.  The Arabelle produces 2% more power output than a traditional configuration, has a 99.96% reliability rate and will be the largest ever to be built – and each capable of each producing 1,770 MW of electrical power. BGEN’s remit includes the design, supply and installation of electrical and instrumentation packages for Unit 1 and Unit 2 Turbine Halls of the nuclear power plant. Standing at 50 metres high, each will house one of the world’s largest Arabelle steam turbines, along with a generator and other critical equipment.  In terms of electrical scope, BGEN’s turnkey project solution include the installation of the Isolated Phase Busducts (IPBs), design verification, seismic qualification, supply and installation of structural support and containment systems, the installation of electrical equipment and cables, in addition to termination and testing. BGEN’s project scope for instrumentation engineering includes the design and seismic qualification of instrument frames and canopies, the fabrication and final assembly of instrumentation and associated equipment, the supply and installation of structural support and containment systems and instrument tubing, the installation of field instruments and associated equipment, as well as cable installation, termination and testing. Zied Ben-Chabaane, Site Director at GE Steam Power Systems, said: “We are delighted to sign the subcontractor agreement, for the electrical and instrumentation and control package at Hinkley Point C, with our preferred bidder, UK electrical subcontractor BGEN. “In doing so, we mark a very important milestone in our subcontracting journey, which will support our Hinkley Point C project execution plan. Our agreement is the result of effective collaboration, cooperation, and camaraderie amongst our teams at GE Steam Power Systems, BGEN, as well as the support from our client and EDF Energy subsidiary, NNB GenCo. “I would like to take this opportunity to thank all of those involved for their great work and dedication to be able to reach this achievement. We are very confident that together with BGEN, this project will be a great success.” Robin Whitehead, CEO of BGEN said: “This contract that we’ve secured with GE Power Systems is our latest prestigious win within the nuclear energy sector. It’s testament to our proven collaborative approach and ability to deliver turnkey solutions in a highly regulated environment.” For further information on BGEN visit https://b-gen.co.uk.                                            Building, Design & Construction Magazine | The Choice of Industry Professionals

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SCAPE launches £1.25bn consultancy frameworks to empower utilities sector

SCAPE launches £1.25bn consultancy frameworks to empower utilities sector

SCAPE, one the UK’s leading public sector procurement specialists, has today announced the launch of two new Utilities Consultancy Frameworks and the consultants that will deliver up to £1.25bn of investment across the UK. A £750m framework has been announced for England, Wales, and Northern Ireland, alongside a dedicated £500m framework for Scotland. The two frameworks have been designed to empower utility sector organisations to shape their utilities programmes and projects, whilst supporting the delivery of low-carbon infrastructure and sustainability targets. Perfect Circle and AtkinsRéalis (with subsidiary support from Arcadis) have been appointed to deliver projects and professional services across England, Wales and Northern Ireland. Perfect Circle and Arcadis (with subsidiary support from AtkinsRéalis) have been appointed to the Scotland framework – which will be managed and operated by SCAPE Scotland. Both frameworks have been procured in compliance with the UK’s Utilities Contract Regulations and the Scottish Utilities Contracts Regulations. Running for a period of four years, with an option to extend for a further two years, the new Utilities Consultancy Frameworks are aligned to deliver solutions and services across a range of sectors, including ports and harbours, rail and metro, nuclear, aviation, water, renewables, energy (gas and electricity including maintenance), and telecommunications. Clients will have access to a suite of professional services including strategic advice, engineering services, design services, project management and quantity surveying. The direct award frameworks operate a parallel lotting structure, which gives clients a choice of industry-leading consultants, providing greater certainty for cost and project timelines, as well as enabling clients to quickly leverage commissions and assure earliest possible completion. These frameworks follow the announcement of SCAPE’s Utilities Works and Services frameworks, which launched in January with the aim of helping utility sector clients futureproof their infrastructure delivery, while responding to their wider sustainability goals. Mark Robinson, Group Chief Executive for SCAPE said: “The new utilities frameworks have been created to give our clients access to a pool of market-leading professional services, while complementing SCAPE’s suite of consultancy, civil engineering and construction frameworks. The chosen delivery partners align with SCAPE’s values of sustainability and social impact – principles that guide every project procured via our frameworks. “Leveraging strategic advice, innovative design, and efficient project management, SCAPE’s goal is to help the utility sector enhance the delivery of low-carbon infrastructure projects, from unlocking the value of existing assets to navigating the challenges of realising futureproofed, innovative schemes. Ultimately, this translates into improved services, economic growth, and a more sustainable future for communities across the UK.” John Simons, Group Procurement Director at SCAPE, added: “SCAPE’s partner selection process ensures that only the most capable and collaborative firms join the frameworks. The partners on our new frameworks, AtkinsRéalis, Arcadis and Perfect Circle, bring a wealth of experience and expertise. As with all SCAPE’s frameworks, the new utilities consultancy offer operates a direct award model, promoting transparency, agility, and best practice. By not only adhering to industry regulations but continuing to invest in research and development, SCAPE’s goal is to create a robust foundation for successful project delivery now and in the future.” James Butler, Managing Director for Project and Programme Services at AtkinsRéalis, a fully integrated professional services and project management company, said: “This new framework from SCAPE has huge potential, especially in its ability to seamlessly unlock access to AtkinsRéalis’ full range of multi-disciplinary services for those organisations in the regulated utilities market, which are ready to reap its benefits. “With our market-leading expertise in sectors such as water, transport, energy and nuclear and many others, we look forward to delivering our technical excellence through the utilities framework, working with partners such as Arcadis and further building on our relationship with SCAPE.” Victoria Brambini, Managing Director for Perfect Circle, a consortium of top-tier professional services partners, said: “Perfect Circle is delighted to be awarded the SCAPE Utilities Consultancy Services frameworks. Our unique prime contracting collaboration will allow utility providers to use these frameworks to accelerate their commissioning of unlimited professional services from industry experts and extensive supply chain in every sector.  “All SCAPE frameworks deliver to gold standard, outperforming the value for money tests essential for today’s economy. The new utilities frameworks are specially shaped for the essential infrastructure across the UK, so we’re hugely proud to continue delivering on SCAPE’s commitments to unlock value and enhance communities. We have harnessed the broadest consortium of experts especially for this framework who will together help shape better national utilities infrastructure for a greener, safer, brighter future.” Mac Alghita, Mobility Global Strategy Implementation Director at Arcadis, which delivers sustainable design, engineering, and consultancy solutions for natural and built assets, said: “Arcadis is thrilled to extend our relationship with SCAPE as we introduce a major new framework that perfectly aligns with our new global strategy which focusses on accelerating a planet positive future. Our commitment lies in delivering best in class, digitally enabled and sustainable solutions to our clients and their customers.  “We take immense pride in being appointed to Lot 1 of the Utilities Framework in Scotland and eagerly anticipate collaborating with partners AtkinsRéalis, Perfect Circle and other SCAPE partners across the UK. The opportunity to provide specialist services to new and existing client organisations in ports and aviation, energy and nuclear, water, communications, transport, and rail sectors is incredibly exciting.” The SCAPE Utilities Consultancy frameworks will now enter the mobilisation phase, with clients anticipated to begin using these frameworks from the end of April 2024. For more information, please visit www.scape.co.uk. Building, Design & Construction Magazine | The Choice of Industry Professionals

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Marr Contracting awarded heavy lifting contract on Lostock Sustainable Energy Plant

Marr Contracting awarded heavy lifting contract on Lostock Sustainable Energy Plant

Global heavy lifting tower crane specialists, Marr Contracting, have been awarded the contract to deliver specialised heavy lifting crane services on the Lostock Sustainable Energy Plant (LSEP) near Northwich, Cheshire. A joint venture between Copenhagen Infrastructure Partners (CIP) and FCC Environment, the 60MW energy from waste (EfW) plant will have the capacity to process 600,000 tonnes of waste per year – producing enough power for 125,000 homes. LSEP has appointed global engineering, procurement, consulting and construction company Black & Veatch as the engineering, procurement and construction management (EPCM) contractor to support LSEP in delivering its Energy from Waste facility at the Lostock Works site near Northwich. Babcock & Wilcox Renewable, a segment of the global Clean Energy technology group within Babcock & Wilcox, has also been appointed to support the delivery of the power train, which is the heart of the energy generation and environmental performance of the plant. Working in conjunction with Black & Veatch, Marr developed a two-crane solution utilising the world’s largest capacity luffing tower crane, the M2480D. The solution offers lift capacities of up to 110 tonnes and a reach of up to 73 metres to lift the 70-tonne drum and boiler waterwalls weighing 85 tonnes. The first erected M2480D is founded on the Marr Transit System (MTS) – a rail system that extends the reach and coverage of the tower crane over the site without any loss of capacity. The second M2480D is installed on a static base. The solution will support Black & Veatch’s preferred MMC / DfMA methodology by allowing larger sections of plant and equipment weighing up to 85 tonnes to be installed in fewer lifts. “We’re excited to be working in the UK with a client like Black & Veatch who can see the benefits that the right cranage solution can deliver to a project. With the ability to lift in larger, heavier components, our approach will reduce the number of lifts required, helping to deliver a safer, more productive site,” said Marr’s Managing Director, Simon Marr. “Marr’s experience in the successful delivery of similar large-scale EfW plants in Australia and the Middle East is ideally suited to emerging trends in the UK. Larger plants demand more efficient construction solutions and can really benefit from the use of technology such as the Marr Transit System,” said Steve Ryder, General Manager – International, Marr Contracting. The LSEP is currently under construction and expected to be operational by 2025. Building, Design & Construction Magazine | The Choice of Industry Professionals

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ENA responds to the 'Beyond 2030' report

ENA responds to the ‘Beyond 2030’ report

Responding to the publication of National Grid ESO’s investment plan, detailed in the report ‘Beyond 2030’, Lawrence Slade, Chief Executive, Energy Networks Association, said;  “This plan is an important step in upgrading our grid, which is vital if we are to support greater electrification, the use of more low carbon technologies and increase energy security. To reach our net zero goals we need to maximise the use of existing power infrastructure, operate this infrastructure flexibly and innovatively and build new infrastructure. Alongside this plan, electricity networks are spending and investing around £30bn over this price control period and undertaking the biggest programme of reforms in the history of the grid.” Building, Design & Construction Magazine | The Choice of Industry Professionals

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Costain hits target milestone one month ahead of schedule in gas replacement scheme

Costain hits target milestone one month ahead of schedule in gas replacement scheme

Costain, the UK infrastructure business, has reached an important milestone in its gas distribution network upgrade programme with Cadent. Costain is replacing approximately 340km of gas main line each year in Cadent’s East of England network, the largest of Cadent’s five gas networks across the UK. Through working collaboratively with Cadent and supply chain partners during the design, procurement and delivery stages, the scheme is on track to see 380km replaced by the end of the financial year, 31 March 2024. Costain passed its 340km-per-year target more than a month ahead of schedule, aided by the application of agile operational processes around planning, programme management, reporting and control that have delivered to targets and have led to efficiency gains. Reaching the milestone means that around 33,000 homes have had new gas mains fitted. The upgraded pipeline will reduce the risk of supply disruption to households and businesses while also helping end-users benefit from the safety and environmental improvements being made. The project has seen more than half a million excavations to date. The programme is in the third year of a five-year contract, with the option to extend by a further five years.  Cadent is the UK’s largest gas distribution network managing more than 80,000 miles of pipes and transporting gas to 11 million customers. Laura Hughes, energy director at Costain, commented: “This is a hugely fulfilling programme for our team and the whole of the supply chain. We’ve passed an important milestone and are on track to exceed our target by an additional 40km of new gas pipeline. “The UK’s gas distribution network needs to undergo significant improvements to allow us to decarbonise our energy system, comply with environmental legislation and upgrade ageing assets. Collectively with Cadent, we are improving the lives of thousands of people in the East of England by upgrading pipelines to ensure homes remain heated. I’m particularly impressed with our strong performance on safety and efficiency.” Mark Briggs, head of investment planning at Cadent, added: “We’ve been working alongside Costain for a number of years now and we are very pleased to see these sorts of results being achieved. “The work carried out by Costain is part of a big investment programme across the East of England to modernise the gas network – keeping people warm in their homes now and getting the network ready for lower-carbon gases in the future. “Of course, we won’t be resting on our laurels and as one financial year comes to an end, we’ll continue to work collaboratively with Costain to make sure that we push on with this fantastic work; looking forward to driving further efficiencies ensuring a safe, more customer focused plan.” Building, Design & Construction Magazine | The Choice of Industry Professionals

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Costain selected for landmark £4bn carbon capture project

Costain selected for landmark £4bn carbon capture project

Costain, the UK infrastructure business, has been selected by Net Zero Teesside Power (NZT Power) and the Northern Endurance Partnership (NEP) as one of nine specialist partners for a landmark carbon capture scheme with a combined value of around £4bn. NZT Power and NEP are joint ventures involving the global energy leader, bp. Costain’s involvement with NZT Power, NEP and their partners is to oversee and manage the engineering procurement and construction of the onshore CO2 gathering system and associated utilities serving the East Coast Cluster. Costain is a recognised leader in energy infrastructure and in shaping energy transition solutions through its leading process design and programme management expertise. It has been involved in carbon capture projects since the 1960s and recently completed the front-end engineering design (FEED) for important elements of the landmark Teesside decarbonisation project. Sam White, managing director for natural resources at Costain, added: “This award is a testament to Costain’s position as a leading infrastructure solutions provider for the UK’s energy transition goals. Having completed delivery of the FEED stage, we continue to support bp as it progresses the wider decarbonisation of the local energy supply and pursues innovative carbon capture and storage solutions. “We are committed to improving critical infrastructure in the North-East of England and we are creating jobs and developing skills across the region. This includes delivering major upgrades to the region’s highways, as well as our recent AMP8 award with Northumbrian Water Group to upgrade both its wastewater and water treatment infrastructure that will improve people’s lives while safeguarding the environment.” NZT Power, a joint venture between bp and Equinor, could generate up to 860 megawatts of flexible, low-carbon power equivalent to the average electricity requirements of around 1.3m UK homes. Up to 2m tonnes of CO2 per year would be captured at the plant, and then transported and securely stored by the NEP in subsea storage sites beneath the North Sea. NEP, a joint venture between bp, Equinor, and TotalEnergies, is the CO2 transportation and storage provider for the East Coast Cluster (ECC). The Teesside onshore NEP infrastructure would serve the Teesside-based carbon capture projects – NZT Power, H2Teesside and Teesside Hydrogen CO2 Capture – that were selected for first connection to the ECC by DESNZ in March 2023 as part of the UK’s cluster sequencing process for carbon capture usage and storage (CCUS). It is anticipated that around 4m tonnes of CO2 per year from these projects would be transported and stored from 2027. Laura Hughes, energy sector director at Costain, commented: “This is a transformational project that will have an enormously positive impact on the region. The successful delivery of the project will require a tremendous team effort, and we are looking forward to contributing our unique expertise in engineering and delivery. Teesside will gain an outstanding, integrated decarbonisation system, with the East Coast Cluster set to be the pioneer as schemes are rolled out across the UK.” Ian Hunter, managing director Net Zero Teesside Power, said: “The selection of contractors is a major step forward for Net Zero Teesside Power. We have selected world-class partners who have the experience and capability needed to deliver. We aim to take final investment decision in September 2024 or before, after which we’d look forward to working with our EPC partners through the construction phase.” Chris Daykin, general manager, Northern Endurance Partnership, said: “The selection of contractors is a clear signal of momentum within the East Coast Cluster. The Northern Endurance Partnership’s CO2 pipelines are essential to connect carbon intensive projects to offshore storage and would play an important role in helping the region pursue its net zero plan.” The contracts are all subject to the receipt of regulatory clearances and final investment decisions (FID) being taken in September 2024 or earlier. Following FID, the projects would be aiming for commercial operations from 2027. Building, Design & Construction Magazine | The Choice of Industry Professionals

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Balfour Beatty selected by bp to deliver one of the world’s first commercial scale gas-fired power and carbon capture projects in Teesside

Balfour Beatty selected by bp to deliver one of the world’s first commercial scale gas-fired power and carbon capture projects in Teesside

Balfour Beatty today announces that, alongside Technip Energies and GE Vernova, it has received a Letter of Intent from bp, on behalf of NZT Power Limited, to progress with the next phase of the Net Zero Teesside Power project. Net Zero Teesside Power, a joint venture between bp and Equinor, is poised to become one of the world’s first commercial scale gas-fired power stations with carbon capture, expected to capture up to 2 million tonnes of CO2 per year. The project is set to provide flexible, dispatchable low-carbon power equivalent to the average electricity requirements of around 1.3 million UK homes. In partnership with Technip Energies and GE Vernova, Balfour Beatty will construct a highly efficient combined-cycle plant, integrated with a state-of-the-art carbon capture plant using Technip Energies’ Canopy by T.ENTM solution powered by the Shell CANSOLV® CO2 capture technology. Balfour Beatty will bring its deep domain knowledge and unique, end-to-end multidisciplinary capabilities to deliver this landmark project, including the company’s industrial mechanical and electrical (M&E) heritage, utilising modular construction techniques to build the M&E equipment and plant rooms off-site, in a controlled factory setting. Leo Quinn, Balfour Beatty Group Chief Executive, said: “Today’s announcement takes us a step closer to realising one of the world’s first commercial scale gas-fired power stations with carbon capture. It’s a significant milestone in delivering the critical infrastructure needed to transition the UK to Net Zero. “Balfour Beatty’s market leading capabilities, underpinned by our unrivalled experience and proven track record in delivering complex infrastructure projects, means we are perfectly positioned to support the delivery of this critical project alongside Technip Energies and GE Vernova – proving on the world-stage that the UK is primed and ready to lead the way in decarbonising our industrial footprint.” Arnaud Pieton, CEO of Technip Energies, commented, “Our selection for the Net Zero Teesside Power project is a testament to Technip Energies growing leadership position as an integrated state-of-the-art CCUS solutions provider. By capturing up to 2 million tonnes of CO2 at a large power plant, we collectively rise to the challenge of scale by providing sustainable and available energy at a large scale. With our partners GE Vernova and Balfour Beatty, we are honoured to contribute to this flagship project that supports bp and the UK in their goal of developing one of the first decarbonised industrial clusters in the world.” Maví Zingoni, CEO, Power at GE Vernova commented: “The development of Net Zero Teesside Power, one of the world’s first commercial scale gas-fired power stations with carbon capture, marks a huge step towards supporting the UK government’s commitment to fully decarbonise its power system by 2035. GE Vernova will help bring proven expertise in natural gas combined cycle plant engineering, operability, and full-scale integration to support carbon abatement for this project. We believe post-combustion carbon capture can play a crucial role in reducing emissions and ensuring dispatchable power in the future.” Balfour Beatty’s selection follows the recent granting of the Development Consent Order by the Secretary of State for the Department for Energy Security and Net Zero with the project shortlisted for UK Government funding. Final contract award will be subject to receipt of regulatory clearances and final investment decisions (FID) being taken in September 2024 or earlier. Building, Design & Construction Magazine | The Choice of Industry Professionals

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