Commercial Electricity Connection: What You Need to Know
25 Oct 2024
Establishing a Commercial Electricity Connection in the UK can be a complex process, especially for businesses looking to set up operations in new or refurbished buildings. Whether you're a small business opening new premises or a large corporation expanding into new facilities, understanding the requirements, costs, and processes involved in connecting your commercial property to the electricity grid is essential
This guide covers everything you need to know about getting a commercial electricity connection in the UK.
We manage all aspects of the process, ensuring that
- Your specification is watertight
- Certified Engineer arranged
- Your specification is future-proof
- Your quote includes exactly what you need
- Your quote has no unnecessary extras
- Information is shared with site workers
- Access is coordinated for any site visits
- Relevant certification is delivered promptly
To Manage the Project Yourself
Who Is Responsible for Connecting Your Business to the Grid?
The process of connecting your commercial property to the electricity grid is typically handled by three key parties:
A Certified Electrician / Electrical Engineer
They will need to determine the demand and avaialable capacity for the building/business requirements as well as the internal wiring design & installation.
Your Distribution Network Operator (DNO)
The DNO is responsible for the physical connection to the electricity network. They handle everything from installing the necessary cabling and equipment to ensuring your property is safely connected to the local grid. Some of the main DNOs in the UK include UK Power Networks, Northern Powergrid, and Scottish and Southern Electricity Networks (SSEN).
Your Electricity Supplier (Metering)
The supplier provides the electricity that powers your business. You will need to sign a contract with an energy provider for your supply before you can get connected.
The Process of Getting a Commercial Electricity Connection
1. Initial Contact with Certified Electrician / Electrical Engineer
Your first step is to contact a Certified Electrician / Electrical Engineer. You will need to provide details about your property, its location, and your electricity needs.
When using our services, our list of Certified Tradespeople all carry the neccessary accreditations.
2. Initial Contact with the DNO
Next, contact your local Distribution Network Operator (DNO). You will need to provide details about your property, its location, and your electricity needs. The DNO will only assess whether any upgrades or modifications are required to connect your premises, if the correct information is submitted to them at the beginning of the process.
When using our services, we gather the correct, accurate information required from you and any other parties involved in the project, to enable the application process to start.
3. Application and Survey
After your initial contact, you will submit an application to the DNO. They may carry out a site survey or a desktop quote to determine the scope of the work required, particularly if your property is far from the nearest grid connection or requires additional capacity. This will all be based on your specification.
Using our experience and expertees, we will ensure that design and quotation will be accurate for your project's specific needs. We pay specific attention to the DNOs desktop quotes. In our experience, these can be inaccurate in design, cost and managing customers' expectations.
4. Quotations and Approval
Based on the survey, the DNO will provide a quotation for the connection work. Once you approve the quote and pay any necessary fees, the DNO will schedule the work. The cost can vary significantly depending on the distance to the nearest grid connection, the required infrastructure, and any special conditions such as road crossings, wayleaves and easements on third party land which can also incur unknown costs.
Using our experience and expertees, we will ensure that design and quotation will be accurate for your project's specific needs, taking into account collaborative working with utility companies and third party landowners.
5. Installation of Infrastructure & Testing
The DNO will install the necessary infrastructure - which may include laying underground cables and/or overhead assets including installing substations, or fitting transformers - depending on your energy needs. The DNO will test the connection to ensure everything is safe and complies with UK regulations. After testing, your connection will be activated, and your business will be fully powered.
Our services ensure your site is fully prepared to receive the Provider or DNO on the scheduled delivery date. We coordinate with all parties involved to prevent costly delays caused by errors, streamlining the process and avoiding unnecessary costs.
6. Meter Installation
Once the grid connection is in place, your electricity supplier will arrange to install the meter. This is a crucial step before electricity can flow to your premises.
Part of our service is to notify you to contact a meter supplier of your choice, giving you enough time to source the best meter provider for your project.
Costs of a Commercial Electricity Connection
The cost of connecting a commercial property to the electricity grid can vary depending on several factors:
Proximity to the Grid
If your property is located near existing infrastructure, the costs may be lower. However, if your site is remote or lacks sufficient capacity, the DNO may need to install new cables or equipment, increasing costs.
Required Capacity
Larger businesses with higher energy demands will typically require more complex connections, such as installing a dedicated substation or upgrading existing network infrastructure.
Site Conditions
Ground conditions, accessibility, and other logistical issues can affect the cost. For example, if work requires road closures or special permissions, this can add to the price.
Costs for a typical small commercial connection can start from £1,500 but can escalate to hundreds of thousands depending on requirements and network conditions. Larger or more complex connections may increase to hundreds of thousands of pounds. It’s essential to get a quote early in the process to budget appropriately.
Options for Connecting Your Business
Single-Phase vs. Three-Phase Supply
Smaller businesses with lower energy requirements may be able to use a single-phase electricity supply. However, most commercial properties require a three-phase supply to handle higher loads, especially if heavy machinery or commercial-grade equipment is in use.
Upgrading an Existing Connection
If you already have an electricity connection but need to increase capacity (e.g., to support more equipment or demand), you can apply to upgrade your existing supply through your DNO or Provider.
Temporary Connections
For short-term projects or events, you may need a temporary electricity connection. These can be arranged with your DNO and are ideal for construction projects or temporary commercial setups.
How Long Does It Take to Get Connected?
The time frame for connecting your commercial property to the electricity grid will depend on several factors:
Simple Connections
If the infrastructure is already in place and no major work is required, the process can take 6-12 weeks from application to connection.
Complex Connections
For larger projects requiring significant groundwork or new infrastructure, the process can take several months, typically 6-12 months or more without thirdy party consent (wayleaves and easements), depending on the complexity and local conditions.
Legal and Regulatory Considerations
Planning Permission
In some cases, installing new electricity infrastructure, especially substations or overhead lines, may require planning permission from your local council. It’s important to consult with your DNO and local authorities early in the process.
Health and Safety Regulations
All work must comply with UK health and safety regulations, including the Electricity at Work Regulations 1989. Ensure that only qualified and certified professionals carry out the work to avoid any compliance issues.
Energy Efficiency
Before getting connected, consider the energy efficiency of your new premises. Installing energy-efficient lighting, heating, and appliances can reduce your electricity usage and long-term costs.
When Do You Need a Commercial Electricity Connection?
A commercial electricity connection is required in several scenarios, such as:
New Builds
New commercial properties need to be connected to the local electricity grid, which often involves significant groundwork and coordination with utility providers.
Expanding Existing Premises
If your business is expanding or altering the layout of your property, you may need to upgrade or alter the route of your electricity connection.
Switching from Domestic to Commercial
For businesses that are converting residential properties into commercial spaces, the electricity usage and demands could change and may require a new or modified connection.
Upgrade or Downgrade Supply Capacity
Businesses with increased energy demands, such as those installing new machinery or technology, may need to upgrade their electricity supply to handle the higher load or decrease their electricity supply to reduce cost and supply demand.
Conclusion
Getting a commercial electricity connection in the UK is a multi-step process that involves coordination with an Electrical Engineer, your electricity supplier and the Distribution Network Operator. Understanding the costs, timeline, and regulatory requirements can help you plan effectively and avoid delays and unforseen costs. Whether you're setting up a new business, expanding, or upgrading your existing supply, being well-informed will ensure a smooth and successful connection to the grid.
Need Help On A Commercial Electricity Connection Project?
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- You submit any existing plans and requirements (and quotes if you have any)
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Real Results from Past Projects
Case Study: Electricity New 3 Phase Connection 2024
Client: Electrical Engineering Contractor
Project Value: £300,000
Year: 2024
Challenge:
- High-value quotation for a new 3-phase connection
- Design costs deemed unsatisfactory
Solution:
- Conducted a thorough review of design costs
- Engaged in discussions with the supplier and customer
- Agreed an acceptable load within the local network's capacity
Outcome:
- Achieved a significant cost saving of approximately £290,000
Case Study: New Water & Electricity Connection 2024
Client: Master Builder
Project Value: N/A (Review of multiple quotes)
Year: 2024
Challenge:
- Multiple quotes from various providers for water and electricity connections
- Project required road crossings for both services
Solution:
- Identified an opportunity for collaboration on traffic management and road crossings
- Coordinated both providers to reduce the need for multiple crossings
- Minimized excessive traffic management costs
Outcome:
- Achieved a total saving of £5,366 for the customer
Case Study: New Gas Connection 2023
Client: High-Value Domestic Property Developer
Project Value: N/A (Multiple utility connections)
Year: 2023
Challenge:
- Procurement of certified contractor
- Design required both gas and foul water connections to cross at the same point
Solution:
- Identified an opportunity for collaboration on traffic management and road crossings
- Coordinated both providers to reduce the need for multiple crossings
- Minimized excessive traffic management costs
Outcome:
- Achieved a total saving of approximately £3,000 for the customer
Case Study: Phone Line Connections for High-Value Domestic Properties 2023
Client: High-Value Domestic Property Developer
Project Value: £8,000 (Initial Quote)
Year: 2023
Challenge:
- Telecoms provider initially quoted £8,000 for four new phone line connections
- Design costs were deemed unsatisfactory
Solution:
- Conducted a thorough review of design costs
- Challenged the supplier regarding the costs
- Engaged in discussions with Telecoms provider
Outcome:
- Telecoms provider agreed to deliver the work free of charge
- Achieved a total saving of £8,000 for our customer
Case Study: Foul Water Installation 2023
Client: High-Value Domestic Property Developer
Project Value: £10,000 to £15,000 (Potential Savings)
Year: 2023
Challenge:
- Initial structural engineering design included an electric pumping station and sump
- These elements were deemed potentially unnecessary
Solution:
- Procured a certified contractor for the works
- Reviewed the structural design with our subcontractor
- Determined that the system could be gravity-fed, eliminating the need for the electric pumping station and sump
Outcome:
- Achieved a potential saving of £10,000 to £15,000 for our customer
Commercial Electricity supplies are generally from 69kVA 100A 3 phase service. For example: 200A, 400A, 600A and above.
Don't worry, let us take care of the technical details so you don't need to worry about the industry jargon.