Inaction jeopardising islands’ renewables funding, say ministers

At least £1.3 billion of investment in renewable energy projects in the Scottish islands is being put at risk by the UK Government’s indecision over major funding decisions, say Scottish Government ministers.

Ministers and leaders of three Scottish island councils have written to Secretary of State for Business, Energy and Industrial Strategy, Greg Clark, expressing concern about the effects of continued uncertainty on support for large-scale renewable energy projects on the islands.

Scottish Government ministers also met council leaders from Orkney, Shetland and Comhairle nan Eilean Siar, at the Convention for Highlands and Islands (COHI) in Inverness today.

The delays are in announcing which technologies will be supported in the next round of auctions supporting the renewable energy sector. These, said the Scottish Government, are putting existing investments in developing renewable energy projects at risk.

John Swinney, Deputy First Minister And Cabinet Secretary For Education and Skills, said: “In the wake of the EU referendum, the UK can ill afford to miss the opportunity to unlock £1.3 billion of investments offered by the shovel-ready anchor projects on the Western Isles and Shetland and the associated benefits for the UK-wide supply chain.

“We urge that this period of uncertainty is brought to a swift conclusion and that the strong economic case for Remote Island Wind, developed in partnership between the UK Government and the wider Scottish Islands Delivery Forum membership, is duly acknowledged in a decision that allows island projects to compete in the next allocation round.

“We would urge the new Secretary of State to take immediate action to ensure that the UK Government re-engages with this process and delivers on the commitments to harness the renewables potential of the islands.”