The UK and Scottish governments have made a deal that will see Great British Energy work with the Crown Estate Scotland and other public bodies, including the Enterprise Agencies and the Scottish National Investment Bank, to help develop and deliver supply chains and infrastructure.
An agreement will be signed today in Aberdeen, with secretary of state for energy security and net zero Ed Miliband and GB Energy chair Juergen Maier visiting the city for the first time since it was announced as the headquarters for the publicly-owned energy company.
The government says the partnership will enable GB Energy to deliver on its goals quickly and effectively, avoid duplication, and deliver maximum impact and value for money from Scottish projects.
Talks will consider how the state-owned energy company’s £8.3 billion of funding, to be delivered over the course of the Labour government, can create new private sector jobs and drive projects in Scotland.
Secretary of state for Scotland, Ian Murray, said: “This is an area the UK government and Scottish government can and should work in partnership to deliver for Scotland and harness the potential we have to truly lead the world in renewables jobs. That’s why we have set out to reset the relationship between Scotland’s two governments to deliver better outcomes for Scots.”
The news comes the day after the Department for Energy Security and Net Zero (DESNZ) announced the appointment of Liz Ditchburn, former director general for economy for the Scottish government, as the new chair of the North Sea Transition Authority (NSTA). The body has been formed to oversee the UK’s offshore energy industries, including the licensing and regulating of the UK’s oil, gas, offshore hydrogen and carbon storage industries.
Great British Energy and North Sea industry
The NSTA also plays a key role in ensuring the UK maximises the expertise of its North Sea industries and workers to deliver the country’s clean energy transition. GB Energy is, according to DESNZ, in “prime position” to accelerate Scotland’s pipeline of opportunities by harnessing the nation’s existing knowledge in project development, investment and work with local communities.
In summer, a partnership between GB Energy and the Crown Estate was announced alongside the GB Energy bill in the King’s speech marking the beginning of Keir Starmer’s government. A similar scheme is being looked at for Wales, as the government looks at how GB Energy could work with the Welsh publicly-owned renewable energy developer Trydan Gwyrdd Cymru to deliver on shared priorities with the Welsh government.
Energy secretary Ed Miliband said: “Scottish energy workers will power the United Kingdon’s clean energy future—including in carbon capture and storage, in hydrogen, in wind, and with oil and gas for decades to come as part of a fair transition in the North Sea.”
General secretary of UK workers’ union Unite, Sharon Graham, called the government’s efforts a “positive first step” but that the announcement “in no way offsets the impending jobs disaster that workers in Grangemouth are facing”.
Graham continued: “It is essential that this month’s budget immediately unlocks real investment in renewable energy in Scotland, with a viable future for Grangemouth workers being the first priority and a workers’ transition for North Sea workers following swiftly after.”
To that end, the UK government has also expanded on its plans to deliver a ‘skills passport’, an initiative overseen by RenewableUK and Offshore EnergiesUK that will align standards, recognise transferable skills and qualifications and map out career pathways for suitable roles. It is intended to ease the transition away from oil and gas for North Sea communities. A digital tool for workers is set to be piloted by January 2025.
Unite Scotland secretary Derek Thompson said: “The development of a skills passport for North Sea workers is important and long overdue. However a skills passport is not sufficient on its own, it must be backed up by sufficient well paid, skilled jobs in the renewable sector for all workers who wish to transfer to the sector.”