National Grid reached an agreement with Teesworks to acquire the land, with construction expected to involve Balfour Beatty and Steel River Power. The large-scale power infrastructure is designed to supply a planned 500,000-square-metre artificial intelligence facility. This aligns with a draft national policy statement from ministers recognizing data infrastructure as critical to the country's economic expansion. However, the wider sector faces mounting resistance from community campaigns across the UK, which could threaten broader development schedules.
Key points
Direct power access removes a critical obstacle facing domestic infrastructure competing…: Direct power access removes a critical obstacle facing domestic infrastructure competing against international tech hubs.
Government draft policy officially categorizes artificial intelligence facilities as esse…: Government draft policy officially categorizes artificial intelligence facilities as essential to the national economy.
Local community opposition across regions like east London and Fife poses a growing risk…: Local community opposition across regions like east London and Fife poses a growing risk to project delivery timelines.
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National Grid has taken a step towards building Britain’s biggest electricity substation on Teesside, which could supply power to a vast neighbouring datacentre, as the UK races to expand its AI infrastructure.
Last week the company agreed to purchase 73 acres of land at Dorman Point on a site owned by Teesworks, a local private-public partnership. The deal was first reported by Sky News.
The deal follows reports last year that the UK government had picked Teesworks as the site for a new artificial intelligence datacentre, and planning applications had been submitted for a project of nearly 500,000 sq metres.
Matt Pearce, the head of land at National Grid, said the deal “reflects the constructive work between all those involved to enable this vital infrastructure … and will support the growth of AI and digital technologies, and enable the region’s next phase of industrial and economic development.
“We are committed to working closely with our partners to progress the development as quickly as possible,” he said.
Ben Houchen, the Tees Valley combined authority mayor, told Sky News: “Everyone who has…
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