Ofgem has confirmed reforms to the UK’s electricity grid connection process, aimed at reducing delays for new energy projects.

It says so-called ‘zombie’ projects will no longer hold up the queue for connection to the electricity grid to prioritise businesses that deliver clean energy, drive growth and provide energy security.

‘Zombie’ projects are schemes that have secured a place in the queue for grid connection but lack the essential elements for successful development, such as land rights or planning consents

The government says firms are currently waiting up to 15 years to be connected to the grid leaving promising businesses ‘grid-locked’, and over the last five years, the grid connection queue has grown tenfold.     

Ofgem’s plan has been drafted by the National Energy System Operator in partnership with the energy industry.

The reforms will help unlock £40bn a year of mainly private investment.

This builds on the latest figures showing that since July, the clean energy industry is now booming in Britain, with £43.7bn of private investment being announced into the UK’s clean energy industries.

Energy secretary Ed Miliband said: “Too many companies are facing gridlock because they cannot get the clean energy they need to drive growth and create jobs.

“These changes will axe ‘zombie’ projects and cut the time it takes to get high growth firms online while also fast-tracking connections for companies delivering homegrown power and energy security through our Plan for Change.

“In an uncertain world, our message to the global clean energy industry is clear; come and build it in Britain because we are a safe haven. If you want certainty, stability and security when it comes to your investments, choose Britain.”

Under the new changes, industries of the future from data centres and AI, to wind and solar projects, will be accelerated for grid connections.

That means deprioritising those projects that are not ready or not aligned with strategic plans. 

New commitments to investing in the UK have topped £38bn since July 2024 for data centres alone, but grid access is the single biggest challenge facing these projects.

Ofgem CEO, Jonathan Brearley, said: “The proposed connection reforms will supercharge Great Britain’s clean power ambitions with a more targeted approach anticipated to unlock £40bn a year of investment and energise economic growth.  

“The reforms would cut through red tape, consign ‘zombie projects’ to the past and accelerate homegrown renewable power and energy storage connections as we head to 2030.  

“Houses and hospitals, electric vehicle charging stations, data centres and the emerging AI sector, would also all benefit from the proposed streamlined fast-track approach, which would help boost energy security and drive down bills.”