No escape from energy project involvement

Scotland’s drive towards net zero has accelerated the rollout of renewable energy generation and, critically, the transmission infrastructure needed to move electricity from where it is produced to where it is used.

This has brought large-scale grid upgrades, substations, cable routes and access corridors increasingly onto agricultural and rural landholdings, often far beyond the footprint of the renewable generation itself. Key investments include £12 billion for 450km of upgraded circuits by 2030, subsea “green links” to England, and building more than 12 major substations to modernise the network. Much of this infrastructure must pass through land already in productive agricultural use, creating unavoidable interaction between national energy objectives and private land rights. As a result, engagement with energy projects is no longer optional for landowners across Scotland.

While renewable generation opportunities continue to attract interest from landowners considering diversification, it is grid capacity and connection requirements that are proving decisive. Major transmission operators are under statutory duties to expand and reinforce the network, and this often involves linear infrastructure crossing multiple estates and farms. Where voluntary agreements cannot be concluded at scale or pace, statutory powers are increasingly being relied upon to secure rights over land. This shift reflects the strategic importance now attached to energy security and network resilience, alongside growing pressure on developers to meet fixed delivery timetables.

Tom Gray is an expert on rural property matters

Electricity transmission licence holders under the Electricity Act in Scotland have long-standing powers to acquire land or rights compulsorily in the public interest, and these powers are now being used more frequently in support of strategic energy projects. Recent cases demonstrate that compulsory purchase is not confined to the acquisition of land outright, but can extend to rights for access, cable laying, oversail, overrun and future maintenance. In many instances, these rights may endure in perpetuity, fundamentally altering how land can be farmed, developed or transferred. At the same time, the Scottish government is actively reviewing and consulting on reform of the compulsory purchase framework, signalling potential further change. Early policy signals suggest reform is likely to focus on clearer statutory powers, faster decision‑making by the Scottish Ministers, earlier engagement with affected landowners and a more transparent compensation process.

For landowners and occupiers, the distinction between voluntary negotiation and compulsory process is an important one. In practice, many projects pursue both routes in parallel. Projects such as Berwick Bank, Neart na Gaoithe and Inch Cape Offshore Wind Farms have all followed such a parallel approach. Decisions taken early, around heads of terms, route options, land use compatibility, compensation structures and future land management, can materially impact the viability of a farming business and long-term value. Once a compulsory process has formally commenced, options narrow and timescales become fixed. The message is therefore clear, do not delay in approaching a suitable land agent and legal adviser who have the expertise to obtain the best outcome for your circumstances given each negotiation will be unique to the landowner affected.

For those actively considering renewable energy development on their land, understanding how generation, grid infrastructure and statutory powers interact is now essential. Projects should be approached as long-term land use decisions rather than standalone income opportunities, with careful consideration of title implications, future development constraints, interaction with agricultural support schemes, and cumulative infrastructure impacts. Coordinated advice across legal, surveying and technical disciplines is increasingly critical in navigating this evolving landscape.

Tom Gray is a partner, Harper Macleod