E.C. clears National Grid, TenneT
U.K.-Dutch electricity cable
Aug 6, 2007 - MarketWatch.com - Adam Cohen
The European Commission Monday cleared U.K. power
grid operator National Grid PLC and its Dutch counterpart
TenneT to build a 1,000 megawatt electricity cable
linking the two countries.
The link, known as BritNed, will cost EUR600 million
and start operating in 2010.
The cross-border power link is the type of project
regulators say is crucial to creating a well-functioning
European Union-wide power market. A lack of grid connections
across the bloc has limited competition among power
companies, keeping prices high. Limited cross-border
links also contributed to a major blackout in several
E.U. states last November, regulators say.
BritNed will be built by ABB Ltd. ABB, which will
lay two cables a few meters beneath the seabed, and
Siemens AG SI, which will build power converting stations
in the U.K. and the Netherlands. The cable will run
260 kilometers from the Isle of Grain in Kent, southeast
England, to Maasvlakte, near Rotterdam in the Netherlands.
The commission cleared the joint venture under its
simplified procedure. This clears deals automatically
after one month if no customer or competitors complains.
(James Herron and Alex MacDonald in London contributed
to this article.) -Contact: 201-938-5400