Plans for new offshore wind farms in Scotland could create considerable opportunities for northern companies.
Crown Estate Scotland has announced the result of its application process for ScotWind leasing. This is the first Scottish offshore wind leasing round in over a decade and the first ever since management rights were devolved to Scotland.
A total of just under £700m, that is passed to the Scottish Government for public spending, will be paid by the 17 successful candidates. These developers have now been offered option agreements, which reserve the rights to over 7,000km2 of specific areas of seabed.
Once these agreements are officially signed, the details of the supply chain commitments made by the applicants as part of their Supply Chain Development Statements will be published.
It has the potential to continue the long-standing trading partnerships between Scottish energy developers and the wider UK supply chain, including companies in the North of England, which has been heavily involved in the oil and gas industry operating our of Aberdeen.
Commenting on the announcement by Crown Estate Scotland, Caroline Lofthouse, Cluster Manager for Energi Coast, North East England’s offshore wind cluster, said:
“This is a significant moment in Scotland’s energy transition, which will generate some exciting opportunities for an experienced UK-wide supply chain supporting the delivery and operation of new wind farms in Scottish waters.
“It can also build upon the legacy of collaboration between the Scottish energy industry and North East England’s supply chain. This positive relationship, which was established in the oil & gas industry, will be fundamental to the continuing expansion of offshore wind in the UK and will undoubtedly see offshore wind clusters in both areas working more closely.”
This is just the first stage of the long process these projects will have to go through before the first turbines are installed, as the offshore wind farms evolve through consenting, financing, and planning stages.