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Moyle Interconnector Financing plc

Restrictions on interconnector capacity from Northern Ireland to Great Britain

Since 6 September 2021 the Northern Ireland system operator, SONI Limited, have been periodically restricting the flows of power from Northern Ireland to Great Britain on the Moyle Interconnector, the main asset owned by Moyle Interconnector Financing plc's subsidiary, Moyle Interconnector Ltd.  

As stated in the March 2023 financial statements Moyle Interconnector Ltd contended that the commercial agreements in place require SONI to compensate Moyle for any associated lost revenue and set out how this should be calculated. This point was disputed by SONI and the matter went to arbitration with a hearing in January and February 2024. The Arbitrator has issued an Interim Award stating that Moyle is entitled to compensation.

By year end March 2024 the dispute was an amount of €23,666,000 (£20,241,000 Sterling equivalent) excluding VAT.

The future arrangements for compensation when interconnector flows are restricted by the system operator is also a point of dispute in separate proceedings.   

The existing protections under the transmission licence of Moyle Interconnector limited remain unaffected and should the regulatory decision cause an under-recovery of Moyle's allowed revenue, the deficit will be recovered from suppliers, and ultimately all customers in Northern Ireland via the existing mechanisms.