International infrastructure giant Balfour Beatty has been awarded a £325 million contract by Scottish and Southern Electricity Networks (SSEN) to deliver the Netherton Hub energy project in Aberdeenshire, Scotland, marking another major milestone in the UK’s ongoing electricity transmission upgrade program. The two-year contract, announced on 25 June 2026, follows Balfour Beatty’s earlier appointment in 2025 to undertake enabling works at the site.
Scotland’s Netherton Hub project forms part of SSEN’s Accelerated Strategic Transmission Investment (ASTI) Offshore Framework. It is intended to reinforce Britain’s electricity network. This is while facilitating the transmission of renewable energy generated in northern Scotland to demand centers across the United Kingdom.
Strategic Importance of the Netherton Hub Energy Project
Located near Peterhead in Aberdeenshire, the Netherton Hub is also a key component of SSEN Transmission’s wider Pathway to 2030 program. The program seeks to modernize and expand Scotland’s electricity transmission infrastructure. This is in support of national decarbonization and energy security objectives. The hub is also designed to accommodate major offshore and onshore renewable energy connections while strengthening the UK’s grid resilience.
Under the latest contract, Balfour Beatty will carry out extensive earthworks and civil engineering activities for Netherton Hub energy project. This also includes the construction of five major platforms that will support two substations and three converter stations. Balfour Beatty will also deliver an operations base together with associated infrastructure and facilities required for the operation of the hub.
Additionally, the project builds upon the contractor’s previous involvement in the development. Balfour Beatty was selected in September 2025 to undertake the initial works package. The company also acted as a common interface contractor for civil engineering and building works associated with the site.
Supporting the UK’s Renewable Energy Ambitions
The Netherton Hub project is expected to play a critical role in enabling renewable energy generated across northern Scotland to be efficiently transmitted throughout the UK. As renewable generation capacity continues to expand, investment in transmission infrastructure has become increasingly important. This is in a bid to ensure that electricity can reach homes, businesses and industrial users where demand is greatest. The project also mirrors others such as the £120 million government-funded traction power enhancement program targeting key feeder station upgrades in Scotland.
According to Balfour Beatty Group Chief Executive Philip Hoare, the contract reinforces the company’s position in the UK’s energy infrastructure market. It also highlights its capability to deliver large-scale projects that support secure, low-carbon power generation. The company also views the project as a nationally significant piece of infrastructure that will contribute to the delivery of homegrown clean energy at scale.
Employment and Local Economic Impact
Construction activities are expected to create significant employment opportunities across the region. At peak construction, more than 800 workers will be engaged on the project. Balfour Beatty has also committed to ensuring that at least 5% of the workforce comprises apprentices and graduates. This is aimed at supporting skills development and workforce growth within the energy and construction sectors.
The company has also emphasized its intention to generate local employment opportunities. This is while contributing to supply-chain activity and economic growth across Aberdeenshire and the wider Scottish economy. The Hetherton energy project is also expected to create opportunities for local contractors and specialist suppliers participating in the delivery of the hub.
Netherton Hub Energy Project Factsheet
Location: Aberdeenshire, Scotland
Client: Scottish and Southern Electricity Networks (SSEN)
Main Contractor: Balfour Beatty
Contract Value: £325 million
Contract Duration: Two years
Scope of Work:
- Earthworks and civil infrastructure
- Five platforms for two substations and three converter stations
- Operations base and associated facilities
- Supporting infrastructure works
Peak Workforce: More than 800 positions
Framework: Accelerated Strategic Transmission Investment (ASTI) Offshore Framework
Purpose: Strengthening the UK electricity grid and facilitating renewable energy transmission from northern Scotland to demand center nationwide.
Key Stakeholders
- Scottish and Southern Electricity Networks (SSEN) – Project owner and transmission network operator
- Balfour Beatty – Main contractor
- SSEN Transmission – Transmission infrastructure developer
- Aberdeenshire Council – Planning authority
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