At the same time, power has become a critical constraint. Grid capacity, connection delays and growing competition for supply mean that securing energy is now key to whether projects proceed.

Why power planning is a challenge

Uncertainty makes power planning particularly challenging within the industrial sector. Developers are required to make early-stage decisions about long-term energy provision without a clear understanding of future occupier requirements. As technology evolves and operations become more automated and electrified, energy demand can vary significantly between users and shift rapidly over time.

In response, a common approach has been to secure the largest available connection to futureproof assets. While logical, this approach is inefficient and reflects a broader lack of clarity across the sector. Without better forecasting tools or a clearer understanding of future demand patterns, developers are forced to make critical decisions within a constrained system, often without the necessary insight.

Delivery challenges

Even where power is theoretically available, delivering connections on the ground presents further complications. Legal challenges relating to cable routing and installation, along with difficulties in securing consents and road space bookings, can significantly delay progress. In addition, the reliability and coordination of contractors can introduce another layer of uncertainty to an already complex process.

These challenges mean that securing a connection is often only the beginning, with delivery becoming a prolonged, high risk and sometimes unpredictable phase of development.

What are the solutions?

More consistent engagement, clearer policy direction from central government, and a better understanding of planned infrastructure improvements would go a long way in supporting the sector. Without this, the gap between rising demand and available capacity risks continuing to widen.

However, despite the obstacles, there are examples of progress with industrial occupiers developing micro grids which demonstrates how alternative energy solutions can help unlock constrained sites, even if implementation is not straightforward. At the same time, there is growing recognition that the solution cannot rely solely on increasing supply.

Encouraging occupiers to adopt more flexible approaches to energy consumption is becoming an equally important part of the conversation. From demand management to on-site generation, a more adaptive approach to power usage could help ease pressure on the grid and support future growth.

A defining issue

Power is no longer a background concern; it is a central challenge for the future of development across energy-intensive sectors. Addressing the challenges will require a coordinated effort across planning, policy, delivery, and occupier behaviour if sites are to be successfully unlocked for the next generation of energy-intensive uses.

Further information

Contact Sam Nicole or Phil Pearson

Read more on EV and energy via our blog  'How to check if your property portfolio is suitable for EV charging deployment'