Developers will get a late last chance to grab a further share of the action from the massive ScotWind offshore wind round when another leasing zone comes into play.
Seabed landlord Crown Estate Scotland has opened applications for a lease option on the NE1 zone east of the Shetland Islands, which was not allocated in January when 17 projects with a potential 25GW were lined up.
The most northerly of any of the areas up for grabs under ScotWind, the Shetland zone could add further floating wind to the 15GW already awarded in the main process, in what was hailed as a breakthrough for the sector.
Paul O’Brien, head of the DeepWind North of Scotland offshore wind cluster that counts many of the industry’s biggest names among its members, said the “site is expected to be hotly contested. It is also likely to involve the large-scale production of hydrogen due to its distance from the mainland grid,” he wrote on Linkedin.
Applicants involved in the initial ScotWind process but which failed to secure their chosen location can take part in the clearing process, which closes for expressions of interest on 10 May.
The clearing process opened as the Crown Estate Scotland confirmed that the 17 existing lease winners had submitted supply chain development statements (SCDS) detailing plans that could total an average of £1.5bn per project.
The statements are a key part of the process for the Scottish government, which has hailed ScotWind as a massive industrial opportunity for the nation and a chance to lay down a marker as a floating wind frontrunner, helped by its separate INTOG round to spur decarbonisation of offshore oil & gas installations.
As expected, the documents reflect some of the challenges facing ScotWind developers as they help build a supply chain in some cases almost from scratch and other obstacles such as grid availability.
Colin Palmer, director of marine for Crown Estate Scotland, said: “The breadth and scale of these initial commitments from ScotWind developers is encouraging, as is their ambition to help Scotland reach net zero.
“However, the challenges in delivering on these ambitions – which will evolve as project details become clearer – should not be underestimated. It will require a truly collaborative approach from all involved to ensure the huge potential for transformative economic development, job creation, and a just transition is realised.”
