According to Bloomberg News, the Norwegian authorities have formally approved the construction of a submarine power cable project to connect Britain, which is currently the world's longest submarine power cable.

The Norwegian Petroleum and Energy Ministry issued a news on Monday that the license for the construction of the submarine power cable project was issued by the State Grid Corporation of Norway, Statnett SF. The longest submarine power cable in the world has a total length of 740 kilometers and a transmission capacity of 1,400 megawatts. The annual export volume can reach more than 12 TWh.

Olav Botnen, a market analyst, said that due to the very high electricity price in the UK, the construction of this submarine power cable will enable Norway to achieve a net power export of 10 TWh per year. This has also contributed to the increase in electricity prices in the North Sea, which is expected to increase from 1.5 euros per megawatt hour to 2 euros per megawatt hour.

In addition, this submarine power cable will also have a branch line connecting Germany. But this has little effect on German electricity prices. Because the country’s own electricity prices are relatively low.

Botnen also believes that "because the price difference between Norway and Germany is small, the construction of a branch line connected to the German power grid will not cause too much volatility in the price of electricity, but it will be of benefit to grid system services and power supply security. ."

After Norway’s relevant authorities approved this longest submarine power cable project in the world, EU Energy Minister Guenther Oettinger issued a statement saying “The EU welcomes this decision by Norway. The construction of a submarine power cable project will promote the northwestern region of the EU. The integration of renewable energy will promote the development of the European energy market and further guarantee the security of electricity supply."