The link, which will consist of more than 100 miles of under ground and subsea cables, will transmit electricity from renewable sources in the north of Scotland. It is thought the project will provide an additional 1.2 gigawatts of new renewable energy to the network.
Construction work is expected to commence within the next few months, with a scheduled completion date of 2018. More than 600 jobs will be created over the construction process.
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Welcoming the news, Mark Mathieson, Managing Director, Networks, said: "As a responsible developer, we have worked with communities and other stakeholders to make sure that we have the best solution for connecting renewable energy to the transmission system.
"Ofgem has undertaken detailed and extensive consultations on this project in order to ensure the right project is delivered at the right time to minimise electricity grid constraints without incurring unnecessary costs for electricity consumers.
"I am very pleased that it has been given the green light and we will now work with Ofgem on the remaining details and focus on ensuring that the new link is constructed in a safe and responsible way so that the benefits it will bring in unlocking renewable sources of energy for decades to come are realised."
(JP/IT)
