Planning consent has been granted for the Banniskirk Hub – a major clean energy project that will see the construction of a new 400kV substation and high voltage direct current (HVDC) converter station in the Spittal area.
Today’s decision by Highland Council’s North Planning Applications Committee follows more than two years of development and extensive community and stakeholder engagement by SSEN Transmission.
The Banniskirk Hub will connect to the proposed 400kV overhead line between Spittal and Beauly, as well as the existing Spittal 275kV Substation. It will feature a new outdoor 400kV Air Insulated Switchgear (AIS) substation, and an HVDC converter station enabling the transfer of offshore renewable energy to demand centres across the country via the Spittal–Peterhead subsea cable link.
Consent for Banniskirk follows the recent approval of the marine licence for the Spittal-Peterhead project, meaning all permissions are now in place for the subsea link to begin.
Earlier this week, SSEN Transmission became the first business to sign the Highland Social Value Charter, where it commits to delivering a detailed set of benefits for Highland communities through its investment to upgrade the electricity grid. This includes £1.8bn of contracts for local businesses, more than £200m spending on roads and bridges, and support for the development of 500 new homes.
The Banniskirk Hub forms part of Perth-headquartered SSEN Transmission’s £22bn+ investment to transform the electricity network in the north of Scotland, enabling the homegrown low-carbon electricity needed to meet clean power and energy security targets. The need for the project has been independently assessed and approved by the National Energy System Operator (NESO) and energy regulator Ofgem.
Community feedback has been central to shaping the project, influencing design decisions to reduce visual and environmental impact. This includes measures such as landscaping and planting to provide natural screening and further minimise visibility.
The project will deliver substantial local benefits, including new housing, jobs, and supply chain opportunities, along with over £1million in community benefit funding.
Local benefits associated with the Banniskirk Hub include:
- New office opened in Thurso by engineering and infrastructure company Murphy, creating up to 50 new skilled roles in the region alongside the 80 people already employed by the company in Alness.
- Key contracts awarded to Caithness-based John Gunn & Sons, to construct the onshore cable sections at Spittal for the Spittal - Peterhead subsea cable connecting to the Banniskirk Hub.
- Plans for a new operational depot in the Caithness area, which will support 20 permanent roles in the area, making an important long-term contribution to the local economy.
With consent now granted, construction of the Banniskirk Hub is expected to begin early next year.
Alison Hall, Director of Development for SSEN Transmission, said: “We’re pleased with today’s decision, which represents a significant step forward in supporting Scotland and the UK’s clean energy ambitions.
“Investing in the electricity transmission network is a key driver of jobs and economic growth, and we are already seeing the positive impact delivered by the Banniskirk Hub in the Caithness area.
"Through the creation of new roles within SSEN Transmission and across our supply chain, and proposals for community benefit funding and our housing legacy commitments, the Banniskirk Hub and other clean energy projects will leave a lasting legacy for communities across the north of Scotland.
"Today’s decision marks an important milestone in delivering UK and Scottish Government clean energy and energy security targets – creating a hub for projects that will help build a cleaner, more secure, and affordable electricity system for generations to come.”
Unlocking local benefits, supporting jobs and driving economic growth
The Banniskirk Hub is a key part of SSEN Transmission’s plans to invest at least £22bn in the period until March 2031, potentially rising to £31.7bn. This represents one of the largest private investment programmes in Scotland and will act as a major driver of jobs and economic growth across the country.
Independent economic analysis, peer-reviewed by leading consultancy BiGGAR Economics, forecasts that if fully delivered, the £31.7bn investment could support up to 17,500 jobs in Scotland, including 8,400 in the north of Scotland, and add up to £7bn to the Scottish economy, with £3bn in the north of Scotland alone.
Reflecting the significant expansion of the transmission network across the north of Scotland, SSEN Transmission continues to grow its workforce. Employee numbers have increased from around 400 in 2019 to over 2,500 today, with plans to recruit around 600 new roles in 2025/26.
Following the UK Government’s Community Benefit Guidance for new electricity transmission infrastructure, over £100m of community benefit funding is expected across the north of Scotland.
SSEN Transmission’s Pathway to 2030 programme is also expected to support the development of 1,000 new homes across the north of Scotland, creating a legacy by meeting local housing needs once projects are complete. The recent announcement of an agreement enabling the construction of new homes in the Western Isles and Angus marked the first deals to be reached by SSEN Transmission as part of its housing ambitions.