UK households living near new or upgraded electricity pylons will receive up to £2,500 off their electricity bills over 10 years under a government scheme designed to give communities a direct financial benefit from the country's expanding power grid.
Payments will begin in 2027, with more than 40 locations eligible in the first phase of the scheme, the UK government said.
Households within 500 meters of qualifying electricity transmission projects will receive the discount as communities hosting new grid infrastructure are offered direct financial benefits.
The first projects include National Grid's transmission infrastructure between Bramford and Twinstead in East Anglia, the North London Reinforcement project and the Emmock substation in northeast Scotland.
- More than 100,000 households could benefit
More than 100,000 households could eventually benefit from the scheme as additional electricity transmission projects are completed, according to a government impact assessment published earlier this year.
Most eligible households will receive the discount automatically through their electricity supplier every six months, officials said.
Some households, including those using commercial meters, may need to apply for the benefit.
Eligible households will be contacted directly by their energy supplier or Ofgem, the UK's energy regulator, with further information in the first half of 2027.
Energy Minister Michael Shanks said expanding the country's electricity grid was essential to providing secure, domestically generated energy and supporting economic growth.
"It's vital we build again as a country and we are determined those communities which host pylons should benefit, which is why we're bringing down the energy bills of those hosting this vital national infrastructure," he said.
Neil Lawrence, Ofgem's executive director for delivery and schemes, said communities hosting new electricity transmission infrastructure were playing an important role in developing a cleaner and more secure energy system.
He said the bill discount scheme would ensure that eligible households living near the projects directly benefit from lower energy bills, adding that Ofgem would ensure payments were delivered effectively, fairly and transparently.
- Scheme aims to ease local opposition to grid expansion
The bill discounts come as the UK prepares for a major expansion of its electricity network to connect new generation capacity and meet rising demand.
New transmission lines and substations are increasingly needed as the country adds renewable power, particularly offshore wind, to its electricity system.
The government scheme effectively links the expansion of national energy infrastructure with a direct benefit for communities hosting new projects, potentially helping to address local concerns over the visual and environmental impact of pylons and other grid infrastructure.
By Humeyra Ayaz
Anadolu Agency
energy@aa.com.tr
