Prime Minister Andy Burnham is to announce the creation of Great British Grid, a new publicly owned body intended to increase state involvement in Britain's electricity network and accelerate connections for businesses and renewable-energy projects.
The new body will sit within Great British Energy and forms part of Burnham's wider plans to increase public involvement in essential infrastructure.
Burnham is also setting a target of bringing Britain's energy costs into line with those of other European countries within ten years. That is a Government objective rather than a guaranteed outcome of the new body.
New publicly owned Great British Grid
Great British Grid will be established as a publicly owned body within Great British Energy.
The Government intends it to invest in electricity-network infrastructure and help accelerate grid connections, including those needed by businesses and renewable-energy developments.
The proposal represents a further expansion of public-sector involvement in Britain's energy system.
Burnham targets lower energy costs
Burnham is expected to use his first Labour conference speech as Prime Minister to set a ten-year objective of bringing British energy costs into line with those of other European countries.
The Government argues that reforming energy infrastructure and speeding up grid connections can support industrial investment and increase renewable generation.
However, the eventual impact on household and business energy bills will depend on implementation and wider developments in energy markets.
Part of Great British Energy
Great British Grid will operate within Great British Energy, the publicly owned energy company established by the Labour Government.
The new body is intended to give the state a more direct role in electricity-network investment.
Government links grid reform to reindustrialisation
The announcement comes as Burnham's Government seeks to encourage greater industrial investment in Britain.
High energy costs and delays securing electricity-grid connections have been identified as obstacles facing some businesses and major infrastructure projects.
The Government says Great British Grid will help address those constraints by increasing investment and speeding up connections.
Policy announcement distinct from promised outcomes
The confirmed policy is the creation of a new publicly owned Great British Grid within Great British Energy.
The ten-year goal of bringing UK energy costs into line with other European countries, faster connections and lower bills are objectives attached to the policy and should not be treated as outcomes that have already been achieved.