The UK has enacted new planning legislation intended to speed up approvals for reservoirs, electricity transmission and large-scale energy infrastructure, a move that could significantly affect hydropower developers, dam operators and utilities active in the country.

The Planning and Infrastructure Act received Royal Assent on 18 December, introducing reforms aimed at reducing consenting delays, limiting legal challenges and prioritising grid access for clean energy projects that are ready to proceed. The government says the changes are designed to accelerate nationally significant infrastructure projects while improving certainty for investors and developers.

Among the most consequential measures for the water and hydropower sector is a new provision allowing non-water sector companies to build reservoirs that are automatically classified as nationally significant infrastructure projects. This brings large reservoirs under a centralised approval regime, reducing reliance on local planning authorities and shortening development timelines. The government has cited long-standing water security concerns, noting that no major reservoirs have been built in England for decades.

The Planning and Infrastructure Act also reforms electricity grid connections by replacing the existing “first come, first served” system with a “first ready, first connected” approach. Under the new framework, clean energy projects that are technically and commercially advanced will be prioritised for grid access, a change intended to address long connection queues that have delayed renewable generation, including hydropower and pumped storage projects.

Developers of large infrastructure projects are expected to face fewer procedural delays under changes to consultation and legal review processes. The legislation limits repeated judicial review attempts for cases deemed by courts to be without merit and overhauls pre-application consultation requirements, which the government estimates could reduce average project timelines by around 12 months.

To support the expansion of transmission infrastructure, the Act gives the government new powers to provide electricity bill discounts to households located near new pylons and power lines. The measure is intended to increase public acceptance of grid expansion required to connect new generation capacity and strengthen energy security.

Environmental requirements are also being restructured through the creation of a Nature Restoration Fund, allowing developers to meet ecological obligations collectively rather than on a project-by-project basis. The government says this approach will enable faster approvals while supporting large-scale habitat restoration and river clean-up efforts.

Industry groups and infrastructure operators welcomed the legislation, saying streamlined planning and grid reforms would help unlock investment in electricity networks, renewable generation and water infrastructure. The government has published an implementation plan setting out how the measures will be phased in, with further reforms expected to come into force over the coming months.