Latest news with #DaveLewis
Morocco World
3 days ago
- Business
- Morocco World
Xlinks Pauses UK-Morocco Undersea Power Cable Project Amid Regulatory Delays
Doha – Xlinks, the British company behind the ambitious project to connect Morocco and the United Kingdom via undersea power cables, has temporarily paused its Development Consent Order (DCO) examination process. In a May 14 letter to the UK Planning Inspectorate, the company requested this halt while awaiting a crucial decision on its Contract for Difference (CfD) from the UK Department of Energy Security and Net Zero. The pause comes as the company seeks financial certainty through a CfD that would guarantee fixed electricity prices for 25 years. According to company sources close to the matter, this is 'a pause in the DCO process, not a suspension,' aimed at preventing 'misalignment of different project development stages.' The main issue holding up the project is the need for price certainty. Xlinks is seeking a guaranteed price of £77 per megawatt-hour for solar energy and £87 for wind energy produced in Morocco's Guelmim-Oued Noun region. Without this financial commitment, investors are reluctant to move forward with the necessary funding. 'Without this clear commitment on a stable price, Xlinks' financial partners are hesitant to inject the necessary investments,' the company stated. Dave Lewis, Xlinks' chairman, has expressed frustration over the delays and frequent ministerial changes in the UK's energy department. In a January interview with Bloomberg, Lewis noted that the undersea cable project could generate up to £24 billion (MAD 300 billion) in investments, with approximately £5 billion in Great Britain alone. The project was designated as a 'nationally significant infrastructure project' by the British government in 2023, highlighting its strategic importance to the UK's energy security. It aims to provide power to nine million British households and reduce CO2 emissions from the UK energy sector by 10%. Read also: Former UK Minister: Morocco Key Player in Britain's Clean Energy Mission The proposed 3,900-kilometer cable would traverse Portuguese, Spanish, and French coastal waters to connect Morocco's renewable energy facilities with the British grid. If completed, it would deliver 3.6 gigawatts of electricity generated from solar parks, wind farms, and battery storage systems. Facing continued delays, Xlinks has begun exploring alternatives. Lewis told The Telegraph in early April that if the British government's response was further delayed, shareholders might redirect resources toward other projects under development, including a potential Morocco-Germany connection. The company opted for direct negotiations with the government rather than going through a tender process, which has contributed to the delays. Political instability in the UK has further complicated negotiations. Meanwhile, competition is emerging. Australian group Fortescue is developing a similar 100-gigawatt electrical connection project between North Africa and the European Union. Fortescue's chairman, Andrew Forrest, has confirmed discussions with Ed Miliband, the British Secretary of State for Energy Security, and various European governments about installing multiple undersea cables that could transport up to 500 terawatt-hours (TWh) of electricity annually—nearly equivalent to Germany's total annual consumption. Even with the most favorable outcome, Xlinks' complex authorization process is unlikely to conclude before 2026. While the company targets a 2030 launch date, effective service might not begin until 2031 at the earliest—a timeline that has investors increasingly concerned. The project has already received authorization from the Moroccan side, but still requires approvals from France, Spain, and Portugal, which the cables would cross. Tags: UK MoroccoXlinks project
Ya Biladi
3 days ago
- Business
- Ya Biladi
Xlinks requests pause in UK permit process as it awaits pricing decision for Morocco–UK project
Xlinks, the company behind the 4,000 km subsea cable to deliver solar and wind-generated electricity from Morocco to the UK, has paused its application for a Development Consent Order (DCO)—a legal authorization required for large infrastructure projects in the UK. Xlinks formally requested the pause in a letter to the UK Planning Inspectorate on May 14, explaining that it wants to wait for the outcome of its Contract for Difference (CfD) bid before proceeding. The CfD is a pricing mechanism that allows renewable energy developers to lock in a fixed price for their electricity over a set period, ensuring financial stability for large-scale projects. Xlinks expects a decision in late spring and is seeking a price of £70–80 per megawatt-hour (MWh), lower than comparable projects. Aligning project stages The Planning Inspectorate's answer was swift, granting Xlinks said pause on May 15. Sources close to the project told Yabiladi that the pause is not a suspension or cancellation, but a strategic move to align project stages. «The purpose of the pause is to allow the review process to proceed as efficiently and rigorously as possible, while ensuring that the DCO can then progress rapidly», they explained. It is worth noting that the Morocco–UK Power Project aims to deliver 3.6 gigawatts (GW) of dispatchable, clean energy from solar, wind, and battery facilities in Morocco to the UK. The project, which could cost up to £24 billion, is expected to cut UK carbon emissions by 10% and reduce wholesale electricity prices by 9.3%. In 2022, the project was included in the UK's strategic energy vision and recognized as a project of national significance in 2023. For the record, Xlinks has expressed frustration over delays in receiving UK government backing for the project, warning it could move the initiative to another country. Speaking to local media in March, Sir Dave Lewis, chairman of Xlinks, said that the delays in securing government approval are undermining investor confidence.
Ya Biladi
02-04-2025
- Business
- Ya Biladi
X-Links threatens to move Morocco-UK power cable project over bureaucracy
Estimated read time: 2' X-Links, the company proposing to carry solar and wind-generated electricity from Morocco to the United Kingdom, has warned that if it is not backed by the UK government, it will move the project to another country. The reason behind this frustration is the «time it is taking to get the green light from the Government», the company's chairman told The Telegraph on March 30. Sir Dave Lewis, who is heading X-Links' plan to power millions of UK homes with affordable solar and wind power from Morocco, warned that prolonged bureaucracy could alter the company's direction. «International investors won't wait forever», he said. The plan involves transporting solar and wind power via 4,000 km underwater cables at hyper-speed, providing electricity for 9 million UK homes and reducing carbon emissions by 10%. While a new factory in Scotland is being built to produce cables for the project, X-Links is considering expanding to Germany if the UK version continues to face delays. X-Links seeks UK government rapid backing Despite being designated a project of national significance, X-Links is still waiting for a long-term contract to secure a fixed price for electricity, Sir Dave complained. The cost of offshore wind farms, located off the coast of the UK, is comparable, but Sir Dave noted, «The weather means they are not always reliable. That is unlike weather patterns in Morocco, which can enable electricity generation for 19 hours a day». Morocco's abundant sunshine and trade winds are key factors in the project's viability. However, delays and political red tape in the UK are causing increasing frustration among investors. Sir Dave expressed this frustration: «The people who have invested in this project want it to go ahead in the UK. We think that's by far and away the best use of this energy, but there comes a point where you go, 'OK, we're four years in. We've done everything that you asked us to do, but this process is taking an enormous amount of time.'» Morocco's involvement is needed X-Links' use of high-voltage direct current (HVDC) cables has inspired similar projects, and the company risks losing investment if approval remains elusive. «The worry is that some of your investors and sources of financing have their heads turned and go off and do other stuff, and at some point, you're struggling to sort of keep them on board», Sir Dave said. The project could cost up to £24 billion. Sir Dave also stressed the importance of Morocco's involvement in the initiative, which will create «10,000 jobs in the country», he caimed. «It's strategic for them, and the amount of investment that comes to Morocco as a result of this is enormous». He further rejected the notion that exploiting Morocco's resources to decarbonize Western nations is morally questionable: «This is Morocco driving this». X-Links' chairman has been pushing hard for this ambitious project to come to fruition. In January, he told Bloomberg that the project was seeking political backing to become a reality. He revealed that X-Links was in discussions with the UK government to secure a contract to sell power at fixed prices. Since then, the company is still waiting for a response.
Morocco World
01-04-2025
- Business
- Morocco World
X-Links President Threatens to Move Morocco-UK Energy Link as London Stalls
X-Links president and former Tesco chief Dave Lewis is threatening to relocate a groundbreaking £25 billion Morocco-UK renewable energy project away from the UK due to government delays. Lewis told The Telegraph that investors might shift the massive venture to Germany or other markets if British officials don't act soon. 'Government hesitation could permanently derail this opportunity,' Lewis warned, noting that while funding is available, bureaucratic hurdles hamper progress. The ambitious project is set to transport solar and wind energy from Morocco's Saharan region near Tan-Tan to Britain through 4,000 kilometers of undersea high-voltage cables. Once completed, it would power nine million British homes and cut the UK energy sector's CO2 emissions by 10 percent. Morocco's favorable weather conditions would enable the system to produce electricity for approximately 19 hours daily. At around £70 per megawatt-hour (MWh), this renewable energy would cost less than nuclear, biomass, or tidal power. While British offshore wind farms offer comparable prices, they remain subject to unpredictable weather patterns. Tesco's former boss said that X-Links' operation in Morocco is set to create 10,000 jobs, describing the country as 'driving this.' Lewis described Morocco as a 'future renewable energy powerhouse' with vast untapped potential. The project's financial side appears solid – investors have already committed £8 billion, and market tests to raise the remaining £17 billion generated offers far exceeding expectations. Despite being designated a 'project of national importance' 18 months ago, X-Links still awaits approval for a long-term guaranteed purchase contract from the government. This authorization is critical for securing the full investment. Read also: Morocco's Ouarzazate Noor Solar Plant Supplies 2 Million Moroccans with Electricity The decision now rests with UK Energy Minister Ed Miliband, whose approval is needed to establish a stable purchase price for the electricity. These delays also threaten plans for a cable factory in Scotland that would create 1,200 jobs. After four years of development work, project backers are growing impatient with administrative bottlenecks. 'We have the money, we have the technology, we have willing partners in Morocco – what we lack is timely decision-making in London,' Lewis added, stressing that renewable energy investors have multiple global options for deploying their capital. Morocco's growing leadership in renewable energy Morocco is positioning itself as a leader in green energy by investing in renewable projects like solar and wind power installations. According to Bloomberg, the North African nation plans to more than double its green energy capacity from 1.3 gigawatts to 2.7 gigawatts by 2027. With its world-class Noor Ouarzazate complex , Morocco has demonstrated impressive innovation in solar technology. This flagship renewable energy project showcases the country's commitment to sustainable power generation. As it strives to meet growing electricity demands nationwide, Morocco is rapidly and impressively expanding renewable energy infrastructure into its southern regions. Tags: Moroccorenewable energyX-Links
Yahoo
30-03-2025
- Business
- Yahoo
‘Back our £25bn green energy project or we'll take it overseas'
Britain risks missing out on a pioneering £25bn green energy project because of ministerial dithering, one of the country's most prominent business figures has warned. Sir Dave Lewis, the former Tesco boss spearheading an audacious plan to power millions of UK homes with cheap solar and wind power from Morocco, has warned that prolonged bureaucracy could derail a scheme that promises to lower household bills, slash emissions and create thousands of jobs. As chairman of X-Links, the company behind the project, he warned that 'international investors won't wait forever'. Sir Dave said 'there are people lining up and down the street' to provide the £8bn of funding needed, and when the company recently tested the debt markets for the remaining £17bn of financing, it was 'significantly oversubscribed', he added. However, X-Links could decide to take the project to another country amid growing frustration over the time it is taking to get the green light from the Government, he claimed. Under the company's plans, solar and wind power generated in Morocco's Saharan Tan-Tan region will be transported at hyper speed through 4,000km of hi-tech underwater cables to the Devon coast in less than a second. 'This is sub-second power. Literally, you switch a light on and it's there,' Sir Dave said. The scheme is expected to provide electricity for 9m homes and cut carbon emissions from the UK power sector by around 10pc, while also bringing down energy bills through a reduction in wholesale costs. A new factory employing over 1,200 people has been commissioned in Scotland to provide the thousands of miles of cable needed to connect Morocco with the UK, with the plant eventually expected to supply other clean energy initiatives like it. However, X-Links is working on parallel plans to reproduce the exact same set-up in Germany and another unnamed country, which will be fast-tracked if the UK version cannot overcome political red tape in the coming months. Instead of exporting power to Britain, X-Links could choose to partner with another state, which would likely then be where the giant cable factory would be built instead of Scotland. 'The people who have invested in this project want it to go ahead in the UK,' he said. 'We think that's by far and away the best use of this energy, but there comes a point where you go, 'OK, we're four years in. We've done everything that you asked us to do, but this process is taking an enormous amount of time.'' Despite being designated a project of national significance nearly 18 months ago, X-Links is now waiting for Ed Miliband, the Energy Secretary, to give it his blessing in the form of a long-term inflation-linked contract that will guarantee the company can sell its electricity at a fixed price. The so-called strike price X-Links is seeking is somewhere in the region of £70 megawatt hours (MWh), making it cheaper than nuclear, biomass, and tidal power, according to Sir Dave. The cost of offshore wind farms is similar but 'not directly comparable', because the weather means they are not always reliable. That is unlike weather patterns in Morocco, which he claims can enable electricity generation for 19 hours a day. Sir Dave said X-Links chose Morocco because 'the sun shines every day and the wind blows every evening ... It's geographically perfect'. Meanwhile, the decision to build a completely new factory in south-west Scotland was prompted by a global supply squeeze that is causing a long wait for the copper and aluminium cables, which are roughly the diameter of a saucer. The current wait is around eight years, and the delays are 'getting worse' because demand is rising and there are only three suppliers across Europe. By building its own factory, X-Links will be able to bypass such obstacles. The site in Hunterson on the Ayrshire coast was chosen because it is located next to water deep enough to receive ships that lay the cable. It also comes with enough land to accommodate thousands of kilometres of power lines, as well as a 180-metre tower that will be the tallest man-made structure north of the Scottish border. This will be used to stretch out the cables vertically, which will ensure they remain 'perfectly cylindrical', Sir Dave said. What X-Links needed was essentially 'planning permission for a very large town', he said. Sir Dave, who dragged Tesco back from the brink of financial disaster, said Whitehall inertia can be traced back to the chaotic final throes of Tory rule. 'The issue with the Conservative government was we had five energy ministers in less than three years ... Given the numerous stops and starts, and then a general election ... I think they [X-Links investors] are genuinely getting a little bit frustrated,' he said. Perceptions of administrative apathy risk inflicting further damage on Britain's waning image abroad, Sir Dave warned. 'I think they [investors] genuinely say: 'Of all the places you can invest, we like the UK, the rule of law, the quality of people – all of those things,'' he said. 'But they're frustrated with our lack of policy, lack of engagement, lack of real partnerships.' Sir Dave questioned whether the UK's standing would be boosted by the Chancellor's backing for several large infrastructure projects, such as the Lower Thames crossing between Kent and Essex – 16 years after work on the road tunnel began. 'I think they'd look at the crossing and say: 'That was 16 years ago. Are you telling me that X-Links is a 16-year wait before they decide?'' As for Morocco, he said it is fast becoming a renewable energy superpower. The country's abundant sunshine and vast desert make it a prime location for solar power, and its long Atlantic coastline means it gets strong trade winds at night, making it ideal for wind power generation too. X-Links believes this combination will increase the reliability of Britain's energy at the same time as improving the diversity of supply. 'It's counter-cyclical to anything that happens in the North Sea. The problem for us as a country is, when the wind doesn't blow, because we're so small, it basically takes out all of the generating assets,' he added. X-Links was one of the first big renewable energy projects to envisage using high-voltage direct current (HVDC) underwater cables, but the plans have spawned a series of copycat proposals. With nearly 30 other clean energy projects around the world looking to use the same technology, Sir Dave fears that these too could lure X-Links investors away if government approval remains elusive. 'The worry is that some of your investors and sources of financing have their heads turned and go off and do other stuff, and at some point you're struggling to sort of keep them on board,' he said. He is concerned that Labour's race to hit net zero by the end of the decade will result in a raft of perfectly viable green projects, including the X-Links scheme, being overlooked because they won't be ready until after the deadline. Yet Sir Dave points out that energy demand is expected to accelerate after 2030 because of electrification: 'You need to be building against that demand – now. You don't want to be waiting.' He also fears that X-Links' chances of getting government sign-off could suffer because of Westminster's focus on improving Britain's home-grown energy sources. 'It's a reaction to what's happened with Russia and Ukraine,' he said. 'It plays on this fear that we are dependent on somebody else [but] all the material required for a nuclear power plant comes from abroad.' The potential for damage to the cables from ship anchors and the risk of sabotage is also minimal, he said. Firstly, they will be laid too deep to come into contact with most ships, while the cables will be in territorial waters. 'If somebody were to come after these cables, it would effectively be an act of war,' he said. Sir Dave also rejects the suggestion that there is something morally questionable about exploiting the natural resources of a developing country to decarbonise Western industrialised nations. 'This is Morocco driving this,' he said, highlighting how X-Links will create 10,000 jobs in the country. 'The Moroccan king and the Moroccan parliament are saying, 'for the good of Morocco'. It's strategic for them and the amount of investment that comes to Morocco as a result of this is enormous.' Broaden your horizons with award-winning British journalism. Try The Telegraph free for 1 month with unlimited access to our award-winning website, exclusive app, money-saving offers and more.
