Proactive investors article14 Aug 2025 10:03
EnergyPathways PLC (AIM:EPP) has asked the UK government for a section 35 (s.35) direction under the Planning Act 2008 for key parts of its MESH integrated energy project.
This move could consolidate multiple permissions into a single Development Consent Order (DCO) and streamline the approval process.
If granted, the s.35 direction would bring together approvals for MESHās compressed air long-duration energy storage, low-carbon flexible power generation, hydrogen and ammonia production, and synthetic graphite facilities.
The DCO route is often used for nationally significant infrastructure, offering developers a single, coordinated approval instead of navigating multiple separate consents.
Chief executive Ben Clube said the s.35 submission could ācut through red tapeā and accelerate delivery of a project designed to provide backup power when wind output is low, support industrial decarbonisation and improve UK energy security.
"We're very pleased to submit this s.35 planning request to the government, which deals with the major elements of the integrated MESH project," he added.
"Our s.35 submission sets out what we believe to be the significant contribution that the MESH integrated energy project can make to delivering Britain's future ambitions in energy affordability, security and decarbonisation."
The request comes after the North Sea Transition Authority declined to award EnergyPathways a gas storage licence for the projectās natural gas and hydrogen storage elements, citing changed circumstances.
The company is now considering options, including a revised licence application.
It is unclear what the āchanged circumstancesā cited by the NSTA refer to.
However, analysts point out that the regulatory landscape has been in flux since the new Labour administration, armed with a fresh energy policy, took office, creating uncertainty for agencies such as the NSTA.
At the same time, the scope and ambition of the MESH project have evolved.
Against this backdrop, a revised application may, in fact, stand a better chance of winning approval when resubmitted.
Separately, it is understood that the process for awarding salt sequence licences, which permit gas storage, is already under way, indicating the NSTAās openness to the concept.
Crucially, the areas sought by EnergyPathways remain available.
EnergyPathways has blue-chip backing for its plans. Strategic partners in the MESH project include Siemens Energy, Hazer Group, Costain and Wood.