The UK and Germany have set ambitious targets for ‘Net Zero’ carbon emissions by 2050, and the UK Government’s recent Energy White Paper included analysis that underlined the role interconnectors can play in decarbonisation targets. With NeuConnect, the UK will be able to tap into significant renewable energy sources in northern Germany, while in the German market – where wind turbines are frequently powered-down due to excess energy being created – the link will help reduce ‘bottlenecks’ and curtailments by opening up an important new market for surplus renewable energy to be exported to.

To further assess NeuConnect’s contribution to UK, German and European decarbonisation objectives, global advisors FTI CL Consulting were commissioned to carry out a detailed analysis of the project. The headline results of the FTI-CL report (available here) show that NeuConnect will:

• Result in a net reduction in carbon emissions of 16 MtCO2 over 25 years – the equivalent of planting 28 million new trees or removing 400,000 cars off the road in a year

• Play a significant role in enabling Europe to reach its Net Zero targets

• Facilitate greater integration of renewable generation between the UK and Germany while also improving the security of supply in each country

NeuConnect is being developed by an international consortium led by Meridiam together with Allianz Capital Partners on behalf of Allianz Group and Kansai Electric Power, with the project also supported by Greenage Power and Frontier Power.

Gerry Grimstone, UK Government Minister for Investment, said:

“The UK Government has redoubled its efforts on taking sustainable and green opportunities to global investors as we work to meet our Net Zero ambitions and lead the global shift to a clean economy.

“NeuConnect continues to be an important national project, with green investments such as this one making a vital contribution to the UK’s green ambitions as we build back better, and greener, from Covid-19.”

Julia Prescot, partner at Meridiam and Chair of the NeuConnect Board said:

“Investment in green energy is more important than ever, and this new report clearly shows the carbon benefits at the heart of the NeuConnect plans. In an important year on the project, there is a firm commitment to deliver this vital new energy link from all of the investors behind NeuConnect.”

NeuConnect CEO Christophe Vanhove said:

“Supporting ‘net zero’ ambitions are the driving force behind NeuConnect and this new report underlines the huge ‘green’ benefits the project will deliver by significantly reducing carbon emissions. As we target reaching financial close in 2021, this report gives us huge momentum as we head into an important year for the NeuConnect project.”

The delivery of the NeuConnect project continues to make strong progress, with a major procurement programme worth over £1bn well underway, lands secured in the UK and Germany with local planning processes well advanced, 700km of seabed surveys completed, and the project receiving Project of Common Interest (PCI) status placing it on the list of Europe’s priority energy projects.

Read the report here