Welsh Conservative leader Darren Millar has called on the new Welsh Secretary to intervene amid concerns that electricity grid connection problems could push the major green steel project months behind schedule
URGENT action is being demanded to prevent delays to the new electric arc furnace being built at Port Talbot steelworks.
Welsh Conservative leader Darren Millar has written to the newly appointed Secretary of State for Wales, Stephen Kinnock, following reports that problems delivering the necessary National Grid connection could delay the project by several months.
Mr Kinnock, who represents Aberafan Maesteg, was appointed Welsh Secretary on Monday, July 20.
The £1.25bn electric arc furnace is intended to form the centrepiece of Tata Steel’s transition to lower-carbon steel production in Wales. The UK Government is contributing £500m towards the project, with Tata Steel providing the remaining investment.
Tata had previously expected the furnace to be commissioned from the end of 2027. However, recent reports have suggested that delays in securing sufficient electricity access could push the timetable back by between six and eight months, with unions warning that the grid connection could be delayed by as much as a year.
National Grid’s Margam Connection Project involves expanding the existing electricity substation and connecting it to a new substation at the Tata Steel site through an underground cable.
Mr Millar said any delay would prolong the uncertainty already experienced by steelworkers, contractors, their families and businesses throughout the wider supply chain.
In his letter dated Thursday, July 23, he asked the Welsh Secretary to confirm what discussions had taken place with National Grid and Tata Steel and what action the UK Government was taking to accelerate the required infrastructure.
He also called for an assurance that the overall timetable for the electric arc furnace would be maintained.
Mr Millar said: “The people of Port Talbot have already put up with broken promises from Labour and years of uncertainty. They cannot afford another delay to a project that is vital to the future of steelmaking in Wales.
“Reports that National Grid may not deliver the electricity connection on time and therefore delay the whole project are deeply concerning.
“The UK Government must now demonstrate that it is doing everything possible to keep this project on track.”
The final blast furnace at Port Talbot was closed in September 2024 as Tata moved away from traditional coal-powered production, resulting in thousands of workers losing their jobs or facing changes to their employment.
The new furnace will use electricity to melt scrap steel and is expected to reduce carbon emissions from steelmaking at the site by around 90 per cent.
Mr Millar added: “Labour promised steelworkers it would secure the long-term future of Port Talbot. That promise has already been undermined by the closure of the blast furnaces.
“Ministers must now ensure there are no further failures that put the future of the electric arc furnace at risk.
“Steelworkers deserve confidence that this project is being treated with urgency. The UK Government must work with National Grid and Tata Steel to give steelworkers confidence that it is committed to securing the long-term future of steelmaking in Port Talbot.”
The letter also asks what support would be provided to steelworkers, contractors and supply-chain businesses should delays prove unavoidable.
Despite the concerns over the electricity connection, construction work is continuing at the Port Talbot site. Tata Steel said in June that major areas had been cleared and prepared, with key furnace equipment expected to arrive in South Wales later this year.
