New electricity cable for Guernsey could be in place by 2030

Tuesday, 10 November 2026 at 10:10

By Euan Mahy

Solar array at the North Side power station.

The States will debate a policy letter to agree borrowing of up to £253M to enable Guernsey Electricity to progress the project.

Electricity consumption in Guernsey is increasing as we use more rechargeable devices and more of us heat our homes using electricity.

A second interconnector would satisfy this growing demand and reduce reliance on the power station and its expensive and ageing diesel generators.

It would also make it easier to use renewables like wind and solar, as their variable outputs could be balanced by direct imports from Europe.

Environment & Infrastructure president Adrian Gabriel sees a new cable is the best option:

"This will improve the security and resilience of electricity supply, provide greater energy independence, deliver best value for customers, enable
appropriate competition and consumer choice, and minimise environmental impact from on-island power generation."

The cost of a new cable is either £113 million or £209 million, depending on whether it routes through Jersey or direct to France, which is more expensive.

The £253M, 30 year loan to Guernsey Electricity would either come from the States or be guaranteed by them.

There will be an impact on bills during the loan period, with higher costs in the first ten years, but the thinking is that they will not go above inflation, currently 4.3%.

Deputy Gabriel recognises this will be financially difficult for some households and businesses:

"It has been agreed that Guernsey Electricity should model options to see if and how any immediate impact on tariffs could be mitigated."

The States’ Trading Supervisory Board owns Guernsey Electricity and its president Mark Helyar says investment must happen and there is no 'do nothing' option.

He says tariff increases are scrutinised by his committee:

"That process includes the commissioning of an independent review of any new tariff applications, benchmarking, establishment of efficiency targets for GEL, and ongoing review of the company’s capital expenditure programme."

The States debate the Policy Letter in December and will vote on giving Policy and Resources the authority to agree borrowing.