Industrial and logistics sites have become the fastest-growing UK commercial real estate sector in recent years, driven by e-commerce growth, the shift of distribution closer to customers, and last-mile delivery networks. Utility connections for these sites are substantial but often underestimated in early feasibility.
This guide covers utility connections for UK industrial and logistics developments.
Site Types
Common typologies:
Big-box distribution: 200,000+ sq ft single units for regional distribution.
Mid-size warehousing: 20,000-100,000 sq ft for regional operators.
Small business units: 2,000-10,000 sq ft flexible multi-let.
Last-mile distribution: 30,000-80,000 sq ft for parcel sortation.
Specialist logistics: cold storage, bonded warehouses, automated fulfilment.
Each has different utility demands.
Demand Drivers
Electricity demand is driven by:
Lighting: LED has reduced this, but still significant on 10m+ ceiling heights.
Heating: varies dramatically by use. Distribution warehouses minimal; food storage significant.
Refrigeration: dominant in chilled and frozen storage.
Automated handling: robotics, conveyors, sortation systems.
EV charging: growing rapidly as fleets electrify.
Office components: typically a small fraction of the total.
Water demand is relatively modest except for food processing or unusual uses.
Drainage requirements driven by site size and rainfall catchment.
Typical Power Demand
Power demand varies widely.
Basic ambient warehouse: 5-15 kVA per 10,000 sq ft.
Automated fulfilment centre: 50-150 kVA per 10,000 sq ft.
Cold storage: 100-300 kVA per 10,000 sq ft.
EV fleet depot: 100-500 kVA per 10,000 sq ft depending on charger density.
For a 500,000 sq ft distribution centre, typical demand:
Passive warehouse: 2-3 MVA.
Automated fulfilment: 5-10 MVA.
Cold storage: 8-15 MVA.
HV Connection Requirement
Most medium-large industrial sites require HV connection.
LV connection: possible for small sites up to ~500 kVA.
11/33 kV customer substation: typical for 500 kVA to 5 MVA.
Dedicated 33 kV primary substation: for 5-25 MVA sites.
132 kV grid supply: for 25+ MVA sites.
Customer substations require:
Site area for the substation building.
Access for DNO vehicles.
Transformer space with bunding.
Switchgear and protection.
Metering equipment.
Typical substation cost: £200,000 to £800,000 depending on capacity.
EV Charging Revolution
Logistics sites are rapidly electrifying.
Van fleets: typical electric van needs 30-80 kWh overnight. A 50-van depot needs 2-4 MWh charging overnight.
HGV fleets: electric HGVs need 200-500 kWh overnight. A 20-truck depot needs 4-10 MWh overnight, as explored in our fleet EV charging depot guide.
Charger provision: typically 1 per vehicle for mission-critical fleets.
The impact on grid connection sizing is transformative. A site that historically needed 1 MVA may need 5-8 MVA once fully electrified.
Grid Constraint
Grid capacity is a binding constraint on many UK industrial sites.
Popular logistics locations (Midlands, South East) have limited HV capacity.
Connection queues for large loads can extend 1-4 years.
Network reinforcement costs can be substantial.
Site selection increasingly driven by grid availability.
For large operators, securing grid capacity is becoming a strategic priority.
Solar PV Opportunity
Large flat roof area makes solar PV attractive.
A 200,000 sq ft warehouse has roughly 150,000 sq ft of usable roof (after rooflights and plant).
This supports 1.5-2.5 MWp of solar PV.
Annual generation: 1.3-2.2 GWh, roughly 15-30 per cent of typical site consumption.
Embedded generation reduces grid demand and carbon.
Battery storage can shift generation to match demand and support EV charging.
Water and Drainage
Water connection:
Office and welfare facilities: 20-40 litres per staff member per day.
Sprinklers: static storage and pressurised supply.
Process water: varies by use.
Vehicle washing: can be substantial.
Most industrial sites have modest water demand compared with residential.
Drainage:
Foul water: from welfare facilities.
Trade effluent: if processes produce contaminated water.
Surface water: substantial due to large hardstanding areas.
Sustainable drainage often required on larger sites.
Gas Connection
Gas demand is variable.
Ambient warehouse: minimal gas demand.
Food processing or cold storage: modest for heating and process.
Commercial kitchens: small.
Heating: increasingly electric rather than gas.
New industrial sites in 2026 often have limited or no gas connection.
Drainage and Site Water Management
Large hardstanding areas require careful water management.
Permeable paving where feasible.
Attenuation tanks for peak rainfall.
Oil interceptors for vehicle areas.
Fuel contaminant interception.
Discharge consents with water authority.
Telecoms and IT
Industrial sites need:
High-bandwidth internet for operations.
Backup connection.
CCTV and security.
Wireless coverage across large buildings.
IT infrastructure for warehouse management systems.
Often two or more independent fibre feeds for resilience.
Typical Utility Cost
For a 200,000 sq ft medium-automation distribution centre:
HV connection and substation: £400k-1m.
Internal LV distribution: £300k-800k.
EV charging infrastructure: £100k-500k.
Water and drainage: £150k-400k.
Gas (if fitted): £50k-150k.
Telecoms: £50k-150k.
Solar PV (optional): £500k-1.5m.
Total utility-related cost: £1.1m-4m depending on specification.
Timescales
Utility provision timescales:
HV connection application to offer: 2-4 months.
Offer acceptance to connection: 6-18 months.
HV substation construction: 3-6 months.
EV charging installation: 2-6 months (often parallel).
LV distribution: parallel with building construction.
Grid connection is typically the critical path.
Environmental Compliance
Industrial sites face various environmental obligations:
Environmental permits for specific activities.
Emissions to air from boilers or processes.
Discharge consents for effluent.
Chemical storage requirements.
Noise limits at site boundary.
Waste management.
All should be factored into utility and site design.
Adoption and Ownership
Large industrial sites often:
Self-lay internal networks.
Adopt through IDNO or IGT for internal distribution.
Retain ownership of private networks for flexibility.
Connect to external networks at defined interface points.
Common Pitfalls
Several issues come up repeatedly.
Underestimating EV charging demand. Sites sized for current diesel fleet are often inadequate for electric.
Ignoring grid capacity. Buying a site without checking network headroom.
Under-specified office utilities. Operations need more than warehouse staff welfare.
Poor coordination. Multiple contractors not working together.
Single-supplier telecoms. Inadequate for modern operations.
Late solar PV consideration. Retrofitting is more expensive than integrating at design.
The Bottom Line
Industrial and logistics utility connections are becoming larger, more complex, and more critical as fleets electrify and automation grows. Grid capacity is often the binding constraint. EV charging transforms the load profile. Solar PV, battery storage, and smart management are becoming standard features. For developers, investors, and operators, investing in utility infrastructure that supports tomorrow’s operations, not just today’s, is essential. The sites that will perform best over the next 20 years are the ones built for the electrified, automated, data-intensive logistics of the future. The same grid-headroom principles apply to data centre utility connections.