One of the first project financed interconnectors in Europe is due to be built between Germany and the UK by 2023-24. The opening up of the interconnector market to private investment has been promoted by both the UK and German governments in the drive towards greater grid integration. They argue – and are joined by the European grid regulators – that to keep a climate neutral Europe running securely on intermittent renewable power sources, will require more interconnected energy systems. But although hailed as more reliable and cheaper than a 100 percent domestic electricity supply, relying on one’s neighbours for green power is a hard pill to swallow for some countries, according to CLEW.
By the mid 2020s, Germany and the UK could be connected by the first ever direct power cable link between the two countries. The direct current subsea cable, connecting the Isle of Grain in the UK with Wilhelmshaven in Germany is one of the first privately financed interconnectors in Europe – but also has the backing of the two governments, both of which are stressing the need for power system integration as shares of fluctuating renewable power sources are increasing. Meeting the UK prime minister Boris Johnson in July 2021, German chancellor Angela Merkel signalled her support for the interconnector, saying it would help both economies to decarbonise more rapidly.
Construction of the “NeuConnect” interconnector could begin next year. The line will provide an effective outlet for surplus wind energy from northern Germany, helping to reduce bottlenecks resulting from weaknesses in Germany’s North-South domestic grid. From the UK perspective, the new interconnector will provide a valuable source of cheap green energy coming from northern German wind parks.
“It will allow our energy grids to share excess power – making sure renewable energy is not wasted,” Merkel said in her statement in July.
For the UK government, the cable is part of a longer-term ambition to become a net exporter of electricity by the 2040s, rather than a net importer as is currently the case. At the moment the UK has just 6 interconnections (2 with Ireland, 2 with France, 1 with the Netherlands and 1 with Belgium) with 6 further projects under construction or confirmed. Germany has 54 and 8 in advanced planning. The UK’s Department for Business, Energy and Industrial Strategy is forecasting a rise from 5.7 GW interconnector capacity (the current level) to 18.9 GW capacity by 2040. Wind production capacity is projected to rise by more than 20 GW over the same period, creating surplus energy for the UK to export.