Beatrice work begins with target of 2019

SSE loses domestic business

Energy giant SSE confirmed manufacturing and construction work on its £2.6billion Beatrice offshore wind farm has begun aheadofbecomingfullyoperational in 2019.

Beatrice, in which SSE has a 40% stake, was given the go-ahead in April with contracts to manufacture wind turbines and provide harbour facilities across the north.

SSE added: “Work at the operations and maintenance facility in Wick and the transmission works in Moray will commence this year.

“Offshore construction will begin in 2017. The 588MW, 84 turbine project, situated in theOuterMoray Firth, is expected to become fully operational in 2019.”

The firm’s largest capital project, a £1.2billion transmission cable between Caithness andMoray being built by SSE subsidiary Scottish Hydro Electric Transmission (SHET), is expected to be operational by the end of 2018, the firm said.

SSE also reported an increase in oil and gas production since start up from the £ 3.5billion LagganTormore gas development west of Shetland.

It reported a 37% increase in gas to 2.56million barrels of oil equivalent.

The firm’s SSE Exploration and Production ( E& P) UK division acquired a 20% stake in the field from operator Total in a £565million deal.

But the firm’s downstream operations were less successful.

SSE revealed it lost another 50,000 gas and electricity accounts as small suppliers continue to put their “big six” rivals under pressure.

The group said UK and Ireland electricity and gas customer accounts fell to 8.16million in the three months to the end of June, down from 8.21 million at the end of March.

But despite the customer losses, SSE insisted it had made a “solid start” to its new financial year.

Chief executive Alistair Phillips-Davies said: “SSE hasmadeasolid start tothe financial year with continued focus on operational efficiency, putting our customers at the heart of everything we do and prog r e s s i n g long-term investments in the UK's and Ireland's energy infrastructure, including significant progress with the Beatrice offshore Windfarm and the new CaithnessMoray electricity transmission link.”

It alsoconfirmedplans to sell up to a third of its 50% stake in regional gas distribution business SGN, with a sales process under way.

POWERING AHEAD: SSE has begun manufacturing and building work on the £2.6bn Beatrice offshore windfarm