Scotland to Inject up to GBP 500 Million in Offshore Wind Supply Chain in Next Five Years

Business & Finance

October 18, 2023, by Adnan Memija

The Scottish Government will invest up to GBP 500 million (approximately EUR 576 million) in country’s offshore wind supply chain in the next five years, announced Scotland’s First Minister Humza Yousaf on 17 October.

Up to GBP 500 million will leverage private investment in ports, manufacturing, and assembly work to support major supply chain opportunities to Scotland, the First Minister has announced.

The strategic investment could help create thousands of green jobs and deliver the full economic potential of offshore renewables projects set to be delivered over the next five years.

Scotland’s offshore wind capabilities are anticipated to rapidly accelerate over the coming years, according to the Scottish Government, with ScotWind expected to deliver up to GBP 25 billion (around EUR 29 billion) of investment across the country’s supply chain.

“Scottish ports are the lynchpin for our offshore renewable ambitions and investing in this critical infrastructure will ensure the nation benefits from the fresh economic investment and regeneration opportunities a home-grown clean energy supply chain brings,” said the Prime Minister.

Investment is expected to be delivered through the Scottish National Investment Bank and enterprise agencies.

YOU MIGHT ALSO LIKE

“Market certainty is crucial for the supply chain and this strategic investment underlines our focus on supporting a highly productive, competitive economy,” according to the Prime Minister.

“This investment must now be met by addressing calls from industry for the next round of the Contract for Difference allocations to deliver Scottish projects at scale, and for grid infrastructure to meet the enormous potential Scotland’s energy transition holds.”

Recently, a report from the Offshore Wind Industry Council outlined that the UK offshore wind supply chain has the potential to deliver more than GBP 92 billion (about EUR 106 billion) of value to the UK economy by 2040.

The analysis outlines some key areas of advantage for the UK supply chain, as well as areas for potential improvement.

First Minister Humza Yousaf said, “Targeted interventions, like today’s announcement, will ensure Scotland maximises the economic benefits of our renewable energy projects, grow the renewable energy supply chain and ensure a just transition for suppliers across all green energy technologies.”

The UK has the world’s second-largest installed offshore wind capacity, with a government target to more than triple this capacity by 2030 to 50 GW, including 5 GW of floating offshore wind.