EGL4 Supply Chain Confirmed with £3bn in Contracts
Eastern Green Link 4 (EGL4) has completed the assembly of its core supply chain, with contracts now confirmed for both the HVDC cable system and converter stations, alongside a £600 million financing package from the UK's National Wealth Fund.
Project Overview
EGL4 is jointly developed by National Grid Electricity Transmission and SP Energy Networks, the networks arm of ScottishPower, itself the UK subsidiary of Iberdrola. The project is a new HVDC electrical link that will connect Fife in Scotland with Norfolk in England, capable of transmitting up to 2 GW of clean renewable energy — enough to power around 2 million homes, and is one of five similar projects being developed to significantly increase the capacity of the electricity network between Scotland and England.
The cable route will run from the Scottish coast off Fife, travelling subsea to Lincolnshire near Anderby Creek, before continuing underground to a converter station site. The system will operate at 525 kV.
Cable Contract: Prysmian
Prysmian has signed a contract for the delivery of the EGL4 electrical cable interconnector project with SP Energy Networks' transmission business and National Grid Electricity Transmission. Prysmian was selected as the preferred bidder for the project in September 2025. The contract is worth over €2.3 billion and will now enter Prysmian's backlog of projects.
The agreement covers more than 640 km of HVDC cable, including 530 km to be laid under the sea and more than 116 km underground. Prysmian is also contracted to deliver cabling for Eastern Green Link 1, a similar 2 GW project connecting Torness in Scotland and Hawthorn Pit in England, where construction began last year.
Converter Station Contract: Siemens Energy
Siemens Energy will deliver converter stations at both ends of the cable route, converting electricity between alternating current and direct current to enable long-distance transmission. The company was named preferred bidder in July 2025 following a competitive procurement process, with full contract award confirmed subsequently.
Siemens Energy was also awarded a place on National Grid's £59 billion HVDC supply chain framework and SP Energy Networks' £5.4 billion Strategic Agreement to deliver the required works and equipment necessary for energy projects across the country.
National Wealth Fund Financing
ScottishPower, through its parent company Iberdrola, has secured £600 million in financing from the National Wealth Fund for the EGL4 project. The National Wealth Fund previously provided a £600 million loan in May 2025 to support seven of ScottishPower's priority network initiatives. The new financing supports Iberdrola's plan to invest £12 billion in UK distribution and transmission networks through 2028.
The National Wealth Fund prioritised the grid as an area for investment in its recent strategic plan and is offering a longer tenor facility to allow ScottishPower to better align the debt profile with the life of the assets being financed.
ScottishPower has indicated it will expand its workforce, particularly in central and southern Scotland, to support network upgrades and construction activity.
Schedule and Planning
Planning applications for EGL4 are expected later in 2026 in both Scotland and England. Once approved, the joint venture expects to begin construction in 2029. Subject to approval by the UK Secretary of State for Energy Security and Net Zero, the interconnector is scheduled to be commissioned in 2033.
Programme Context
EGL4 forms part of a broader east coast HVDC buildout. EGL3 and EGL4 are proposed to start from Peterhead, Aberdeenshire and Westfield, Fife respectively and converge in Walpole, Norfolk. National Grid, through National Grid Electricity Transmission, is jointly developing EGL3 with SSEN Transmission and EGL4 with Iberdrola's SP Energy Networks. Contracts for EGL3, worth nearly £3 billion, were signed in March 2026, with Hitachi Energy confirmed for the converter stations and NKT for the cable system. Together, the five Eastern Green Links will be capable of powering up to 10 million homes.
