The Eastern Green Link 2 (EGL2) project, the UK’s largest electricity transmission initiative to date, has delivered a significant boost to the North-east of Scotland’s economy by awarding more than £9 million in contracts to businesses local to Peterhead, where the project’s northern landfall site is based.
EGL2, a joint venture between SSEN Transmission and National Grid Electricity Transmission, has distributed local contracts across several sectors, reinforcing its commitment to maximising regional benefits alongside its national infrastructure ambitions. Key awards include:
- Subcontracting services: nearly £8.5 million
- Small tools and plant hire: over £200,000
- Accommodation: over £180,000
- Supply of materials: over £150,000
- Catering and food services: over £60,000
These contracts not only reflect targeted investment but also underline the project’s focus on creating lasting economic opportunities for local businesses and communities.
One of the standout contracts was awarded to Fraserburgh-based David Smith Contractors Ltd, who secured a multi-million pound civil engineering contract for vital works at the Peterhead site.
This deal has led to the creation of nine new full-time roles and highlights the tangible employment impact of EGL2 across the region. Thanks to positive partnerships with major project stakeholders, David Smith Contractors Ltd has also been awarded a substantial permanent drainage package, securing work on-site through to 2026.
In the service industry, Entier Ltd, an Aberdeenshire catering specialist, is energising the workforce with catering solutions, directly supporting its own growth and deepening ties within the local community.
Local council leaders have welcomed this investment, with Councillor Stephen Smith stating that the £9 million boost “is extremely welcome” and creates “new jobs” in addition to supporting local businesses.
EGL2 is a crucial component in upgrading the UK’s electricity network to support increased renewable integration and to achieve net zero targets. Construction began in 2025, and the completion of the subsea cable, stretching 436km, is scheduled for energisation in 2029.
Fionán Doonan, EGL2 Project Director, emphasised the local focus: “EGL2 is not just a vital part of our energy infrastructure; it’s an opportunity to invest in local jobs, skills, and businesses. We are committed to supporting local people and local businesses, leaving a positive and lasting legacy.”
David Smith, of David Smith Contractors Ltd, echoed the sentiment: “We are proud to play a key role in delivering this important phase of the EGL2 project… while supporting local employment and the regional economy.”
Peter Bruce, CEO of Entier Ltd, added: “We take great pride in supporting the communities where we live and work, and this contract not only supports our business growth but also strengthens our ties with the local community.”
The EGL2 project’s substantial local contracting recognises the importance of keeping investment in the region. It sets a strong precedent for how major infrastructure projects can support local economies and foster long-term, collaborative relationships with regional suppliers
