Power‑Consented Brownfield Land: The Strategic Opportunity Local Government Can’t Afford to Miss

Local government is facing a challenge that is rapidly becoming a defining opportunity. Councils across the United Kingdom must now consider how to unlock the full value of brownfield land in an era in which energy capacity has become as important as planning consent. This represents a significant shift in the fundamentals of land management and development. It is no longer sufficient for a site to be allocated or to hold planning permission. Increasingly, its viability depends on whether it has access to electrical capacity and whether that capacity can be secured within a reasonable timeframe.

The scale of this challenge is substantial. According to the National Grid Electricity System Operator, approximately four hundred gigawatts of energy projects are currently waiting in the national grid connection queue. This figure is drawn from the ESO s published connection data and illustrates the unprecedented pressure on the electricity network. Many developers are now being offered connection dates well into the next decade, with some schemes facing delays of up to ten years. These delays are not limited to large scale renewable projects. They affect housing, commercial development and industrial growth, and they are increasingly cited by developers as a primary barrier to delivery.

The consequences for local government are already visible. The Home Builders Federation has reported that around fifteen thousand new homes are currently stalled due to a lack of available grid capacity. This estimate is based on direct feedback from major housebuilders and reflects a growing trend in which planning permission alone is no longer enough to bring a site forward. Without the ability to secure power, development cannot proceed, regardless of local policy ambition or land availability.

At the same time, the United Kingdom has a significant supply of brownfield land that remains underused. Data published by the Department for Levelling Up, Housing and Communities shows that more than thirty six thousand brownfield sites are listed on local authority registers in England, covering over twenty three thousand hectares of land. Much of this land is in public ownership, including land held by councils and major public bodies such as Network Rail. Historically, the focus has been on disposal or redevelopment for housing. However, government has increasingly encouraged public landowners to consider the strategic value of their assets, including their potential role in supporting energy infrastructure.

This shift in emphasis is reshaping the development landscape. Councils are being asked to understand the energy potential of their land, to enhance it where possible, and to treat power capacity as a strategic asset rather than an afterthought. This includes identifying sites that could support battery storage, flexible generation, or grid balancing infrastructure. The United Kingdom s battery storage pipeline alone has grown to more than ninety five gigawatts, according to market intelligence published by Solar Media in twenty twenty four. Much of this infrastructure is being located on brownfield or previously underutilised land, demonstrating the scale of opportunity for local authorities.

The financial implications are equally significant. The National Infrastructure Commission has estimated that the United Kingdom will require around sixty billion pounds of grid upgrades by twenty thirty five in order to meet national energy and decarbonisation goals. Sites that already have power capacity, or that can secure it early, are therefore becoming more valuable. The Ministry of Housing s appraisal guidance highlights land value uplift as one of the most important economic levers available to the public sector. When a council secures power capacity on its land, it increases the value of that land before any development takes place. This creates opportunities for long term revenue generation, stronger negotiating positions with developers, and more sustainable asset management strategies.

Councils that recognise this shift early will be in a far stronger position to deliver homes, economic growth and local resilience. Those that do not risk being constrained not by land supply or planning policy, but by the availability of energy. The challenge for local government is therefore not only to plan for development, but to plan for power. In doing so, councils can transform brownfield land from a passive asset into a strategic tool for shaping the future of their communities.

What Do We Mean by Power Consented Land

Traditionally, the term consented land referred solely to planning permission. A site that had passed through the planning system was considered ready for development, subject only to market conditions and local priorities. Today, that definition is no longer sufficient. The viability and value of a site increasingly depend on whether it has secured electrical capacity, meaning the ability to draw power from the national grid or to export power back into it. In many parts of the United Kingdom, access to electrical capacity has become the single most significant constraint on housing, industrial development and commercial growth.

This shift is driven by the scale of pressure on the electricity network. The National Grid Electricity System Operator has reported that approximately four hundred gigawatts of energy projects are currently waiting in the national grid connection queue. This figure comes directly from the ESO’s published connection data and represents a level of demand far beyond the capacity of the existing network. As a result, developers in several regions are being offered connection dates many years into the future, in some cases stretching into the next decade. These delays affect not only renewable energy schemes but also housing developments, logistics hubs, data centres and manufacturing facilities.

The implications for local government are profound. A brownfield site that holds planning permission but lacks access to electrical capacity is no longer development ready. Without a confirmed grid connection, construction cannot begin, infrastructure cannot be installed and homes cannot be occupied. Conversely, a site that has both planning consent and secured power capacity becomes a fundamentally different asset. It is not simply land awaiting development. It is a piece of infrastructure in its own right.

Such land is more resilient to market fluctuations because it removes one of the most significant barriers to delivery. It is more attractive to developers and investors because it reduces risk and shortens delivery timescales. It is more valuable because the cost and uncertainty associated with securing a grid connection have already been addressed. In short, power consented land is future proofed and financially stronger. It is an asset that councils can use strategically to support housing delivery, economic growth and long term local resilience.

Why Power Capacity Now Determines What Gets Built

To understand why power capacity has become a decisive factor in development, it is necessary to consider the energy implications of modern housing. The demands placed on the electricity network have increased significantly in recent years, driven by the transition to low carbon heating, the growth of electric vehicle ownership and the wider electrification of daily life. As a result, the amount of grid capacity required for new development has risen well beyond historic norms.

Developers often work to indicative grid allocation figures when assessing the feasibility of a site. A commonly referenced benchmark is approximately zero point eight megawatts of capacity for a typical housing phase, although the precise requirement varies depending on the mix of uses, the density of the scheme and the infrastructure included. This figure is not a statutory standard but a rule of thumb used in development appraisals and cited by several major housebuilders during industry consultations on grid readiness and future energy needs. It reflects the reality that the grid must be able to support not only domestic consumption but also electric vehicle charging, heat pumps, communal systems and other modern technologies.

By comparison, the average household uses around two thousand seven hundred kilowatt hours of electricity per year. This figure is published by Ofgem and represents typical domestic consumption across the United Kingdom. While this annual usage appears modest, it does not capture the scale of the grid capacity that must be secured upfront before any homes can be occupied. The connection must be capable of supporting peak demand, future growth and the cumulative load of hundreds or thousands of properties.

When these requirements are multiplied across large developments, the grid quickly becomes the limiting factor. Even where land is allocated for housing and planning permission is in place, development cannot proceed without a confirmed grid connection. This is not a theoretical concern. The Home Builders Federation has reported that approximately fifteen thousand new homes are currently stalled due to a lack of available grid capacity. This figure was published in the Federation’s twenty twenty three market report and is based on direct evidence from housebuilders across the country.

The implications for local government are clear. Councils that cannot secure electrical capacity for their development sites will struggle to meet their housing targets, regardless of how much land they allocate or how efficient their planning processes may be. Power capacity has become a fundamental determinant of what can be built, where it can be built and how quickly it can be delivered. In this context, securing grid capacity is no longer a technical detail but a strategic priority for local authorities seeking to support growth, regeneration and long term community resilience.

The Rise of Balancing Firms and Why Councils Should Pay Attention

A new category of private sector organisations is emerging within the United Kingdom energy system. These organisations are commonly referred to as balancing firms. Their role is to support the stability of the national electricity network by building and operating assets that can respond quickly to changes in supply and demand. These assets include large scale battery storage facilities, flexible generation units and demand side response systems that can either reduce consumption or export power back to the grid at short notice.

Balancing firms participate directly in the National Grid Electricity System Operator s balancing markets. These markets are the mechanisms through which the ESO maintains the stability of the electricity system. The ESO has described balancing services as the tools used to ensure that the grid operates at the correct frequency and has access to additional power when required. This description is taken from the ESO s own published guidance on how the balancing mechanism functions. It reflects the increasing complexity of managing a system that must integrate renewable generation, electrified transport, low carbon heating and fluctuating patterns of demand.

For local government, the rise of balancing firms is highly relevant. These companies are actively seeking land on which to develop energy assets, and they are often prepared to invest in sites that have been overlooked for traditional development. This creates several opportunities for councils.

First, councils can form partnerships with balancing firms to unlock sites that are currently constrained by a lack of grid capacity. A battery storage facility or flexible generation asset can strengthen the local network and make surrounding land more viable for housing or commercial development.

Second, councils can co own or co benefit from energy infrastructure. This allows them to generate long term revenue from land that might otherwise produce only a one off capital receipt if sold. It also aligns with the wider public sector shift from land disposal to strategic asset management.

Third, balancing firms can help transform brownfield liabilities into productive assets. Many brownfield sites are unsuitable for immediate redevelopment but are well suited to energy infrastructure because they are already disturbed, well located and often close to existing grid connections.

Fourth, these partnerships can support local resilience and decarbonisation. Battery storage and flexible generation play a critical role in enabling the transition to renewable energy by smoothing fluctuations in supply. Councils that host such infrastructure contribute directly to national energy security and local carbon reduction goals.

This trend is not theoretical. The United Kingdom s battery storage pipeline has expanded rapidly in recent years. According to market intelligence published by Solar Media in twenty twenty four, the pipeline now exceeds ninety five gigawatts. This represents one of the largest battery storage development pipelines in Europe. A significant proportion of these projects are being located on brownfield or previously under utilised land, demonstrating the scale of opportunity for councils that understand the value of power consented sites.

The emergence of balancing firms therefore marks an important shift in the relationship between land, energy and development. Councils that recognise this shift early will be better positioned to secure investment, unlock constrained sites and build long term resilience into their local economies.

Brownfield Land Is Abundant but Under Optimised

England has a substantial supply of brownfield land, yet much of it remains underused or strategically overlooked. The national Brownfield Land Register, published annually by the Department for Levelling Up, Housing and Communities, records more than twenty three thousand hectares of brownfield land across over thirty six thousand identified sites. This dataset is compiled from submissions by three hundred and fifty five local authorities and represents the most comprehensive picture of previously developed land available in England.

Despite the scale of this landholding, only a small proportion has been assessed for its potential to support energy infrastructure. Historically, brownfield land has been viewed primarily through the lens of housing delivery and regeneration. However, the pressures on the national electricity network mean that councils are now being encouraged, both formally through government guidance and informally through sector engagement, to consider not only the planning status of their land but also its grid status. This includes assessing whether a site could host battery storage, flexible generation or other forms of energy infrastructure that would strengthen local grid capacity.

Major public landowners are already being asked to adopt this approach. Network Rail, for example, has been asked by government to identify land that could support energy infrastructure rather than simply disposing of surplus sites. This reflects a broader shift in public sector asset management. The emphasis is moving away from land disposal and towards land stewardship, in which public bodies retain, enhance and strategically deploy their assets to support long term economic, environmental and infrastructure objectives.

This change in perspective has significant implications for local government. Brownfield land that may not be immediately suitable for housing or commercial development can still play a vital role in supporting the energy transition. By identifying and unlocking the energy potential of these sites, councils can strengthen local grid resilience, attract investment and create new revenue streams while also preparing land for future development.

The Financialisation of Power Consented Land

Energy capacity is becoming a financial asset in its own right. As the demands on the national electricity network increase, sites that already have secured grid capacity are becoming more valuable and more attractive to investors and developers. This trend is reinforced by the scale of investment required to modernise the network. The National Infrastructure Commission has estimated that the United Kingdom will need around sixty billion pounds of grid upgrades by the year twenty thirty five in order to meet national energy, housing and decarbonisation goals. This investment gap is driving up the strategic value of land that can support or already benefits from grid connections.

Government appraisal guidance reflects this shift. The Ministry of Housing has long recognised land value uplift, the increase in value created by planning decisions and infrastructure investment, as one of the most significant economic levers available to the public sector. When a council secures power capacity on its land, it creates value before any physical development takes place. The land becomes more attractive to the market, more viable for development and more capable of supporting long term economic activity.

This creates a clear set of strategic options for councils. Instead of selling land outright, local authorities can enhance it by securing grid capacity, partner with balancing firms or energy developers to bring forward infrastructure, and capture long term value through joint ventures, lease arrangements or revenue sharing models. This approach aligns with the wider shift from land disposal to strategic asset management, in which councils retain control of their assets and use them to support long term financial sustainability and local economic resilience.

Power consented land therefore represents a new category of public asset. It is not simply land awaiting development. It is a platform for energy infrastructure, a source of long term value and a tool for unlocking growth. Councils that recognise and act on this opportunity will be better positioned to meet their housing targets, support local industry and strengthen the resilience of their communities.

Why This Matters for Local Government Strategy

Local authorities are operating in a context of increasing pressure and expectation. They are required to deliver housing at scale, support economic growth, meet national and local decarbonisation commitments, generate sustainable revenue and make more effective use of public assets. These responsibilities are interconnected, and progress in one area often depends on progress in another.

Power consented brownfield land sits at the intersection of all these priorities. It provides councils with a practical means of unlocking development, strengthening local infrastructure and creating long term value. When a site has both planning consent and secured electrical capacity, it becomes significantly easier to bring forward for housing or commercial use. It also becomes a more attractive proposition for investors and development partners.

Power consented land enables councils to unlock sites that would otherwise remain stalled due to grid constraints. It supports local industry and innovation by providing the energy infrastructure required for modern manufacturing, logistics and digital services. It reduces long term energy costs by enabling the development of local energy assets that can supply or stabilise the grid. It builds resilience into local infrastructure by supporting battery storage, flexible generation and other technologies that help manage fluctuations in supply and demand. It creates new income streams through partnerships, leases and long term energy agreements. It strengthens the negotiating position of councils when working with developers, as the availability of power capacity is increasingly a decisive factor in land value and development viability.

This is not simply a technical matter. It is a strategic leadership challenge. Councils that understand the importance of power capacity and act early to secure it will be better placed to deliver their statutory responsibilities, support local economic growth and build long term resilience into their communities. Those that do not risk falling behind, constrained not by land supply or planning policy but by the availability of energy.

The Big Question for Councils

Every council should now be asking a fundamental strategic question. Which of our brownfield sites could become power consented strategic assets, and how do we capture the value rather than giving it away. This question goes beyond land allocation and planning policy. It requires councils to assess their landholdings through the lens of energy infrastructure, grid capacity and long term asset management. The councils that answer this question early will shape the future of their local economies for decades. They will be able to unlock development, attract investment, support new industries and build resilience into their infrastructure. They will also be able to retain and grow the value of their public assets rather than relying on short term disposals.

Those that do not act will find themselves constrained. Not by land. Not by planning. But by energy.