Deal signed for floating wind nd turbine manufacturing base
Scotland has been chosen as the location for a new European manufacturing base for floating offshore wind energy technology in a move hailed as a “vote of confidence” for the country’s burgeoning renewables sector.
The announcement comes after South Korea’s HD Hyundai Heavy Industries, the world’s biggest shipbuilder and a major player in offshore energy tech, signed a memorandum of understanding (MOU) with Scottish Government bodies at a special meeting in Edinburgh yesterday.
The company sees scotland as an ideal place for the hub, due to the high anticipated demand for parts when offshore schemes commissioned under the S cot wind round of leases begin construction.
The MOU with HD Hyundai comes just days after it was revealed that China’s largest maker of wind turbines – Mingyang Smart Energy Group – is planning to set up its first European manufacturing beach head in scotland, in a bid to supply equipment to wind farms in the North Sea.
“Scotland is at the centre of floating offshore wind, with the world’s top floating projects,” said Hannae Choi, senior vicepresident of HD Hyundai’s corporate planning division and wind energy business, who flew in to formalise the agreement. “It is also the country with the greatest growth potential, with plans to expand offshore wind capacity to 50 gigawatts by 2030.”
Once e stablish ed,HDHyu nd a i’ s Scottish base could potentially also supply projects across the UK and further afield. Deputy First Minister Shona Robison, who witnessed the MOU signing with scottish enterprise and Highlands & Islands Enterprise, has welcomed the plans.
She said the move would “unlock expertise” in the design and manufacture of floating offshore wind sub structures, boost the economy and help Scotland achieve its climate targets.
“This partnership agreement is a vote of confidence in Scotland and our offshore wind industry, demonstrating our ability to develop the international relationships upon which investment that will help us reach our climate targets is founded,” she said.
“Scotland’s offshore wind sector is key to our transition to net zero and this partnership is the next step forward in realising the economic opportunities from our floating offshore wind potential.”
Ministers have previously been criticised for selling the seabed leases “on the cheap”, despite bringing in a £700 million windfall from the auction.
Ms Robison defended the S cot wind programme, insisting it had“put scotland on the global map” and brought“a huge opportunity” for the country. She said each of the 20 successful projects is expected to bring £1.5 billion of investment and thousands of jobs.
The HD Hyundai vice-president said it was too early to estimate how many jobs could be created through the new manufacturing facility or the overall scale of investment as plans were still in their early stages.
“We are currently exploring ways to collaborate with various partners to develop the offshore wind market, including establishing a manufacturing supply infrastructure,” Mr Choi said.
This partnership agreement is a vote of confidence in Scotland and our offshore wind industry