Allan Wilson MSP
Cunninghame North

Speeches - 2004

 

 

Speeches to the Scottish Parliament in 2004
As Deputy Minister for Enterprise and Lifelong Learning

 

Renewable Energy (Highlands and Islands) - Speech in the Debate on Motion S2M-1674,The Development & Manufacture of Renewable Energy - 3rd November 2004

 

Renewable Energy (Highlands and Islands)
A members' business debate on motion S2M-1674, in the name of Maureen Macmillan, on the development and manufacture of renewable energy.

The Deputy Presiding Officer (Trish Godman): The final item of business today is a members' business debate on motion S2M-1674, in the name of Maureen Macmillan, on the development and manufacture of renewable energy.

Motion debated,

That the Parliament congratulates Highlands and Islands Renewable Energy Group and the trade union Amicus on their initiative to promote the development and manufacture of renewable energy structures, whether for wind, wave or tidal power, in the Highlands and Islands; recognises that there is a skilled engineering workforce available locally; further recognises the considerable socio-economic benefits that would flow from this work to the nearby communities; believes that renewable energy infrastructure would be better supported by these communities if they perceived that it was bringing local economic benefit, and therefore believes that the Scottish Executive should do all it can to support Highland-based companies in bidding for renewables contracts in Scotland and elsewhere.

The Deputy Minister for Enterprise and Lifelong Learning (Allan Wilson): I join other members who have spoken tonight in congratulating Maureen Macmillan on securing the debate. As you know, Presiding Officer, I delight in debating this subject and I, too, commend the Highlands and Islands renewable energy group and Amicus for their initiative to promote the development of renewable energy in the Highlands and Islands. Such initiatives make an important contribution to the development of renewable energy and to the achievement of our fairly ambitious renewables targets.

As the motion says, it is very important that as much benefit as possible from renewables development comes to local communities. I assure Maureen Macmillan and Christine May, with whom I discussed the issue recently, that HIE is working with companies to bring new firms to Nigg, to Arnish in Stornoway and to other fabrication yards across the Highlands, so that we can maximise the local community benefit. Of course, it is not possible for us to prescribe that developers should use only components that are manufactured locally. I understood that that would bring us into conflict with competition law. However, I have discussed the matter with Christine May and it is something that I am taking up with ministerial colleagues at Westminster, to see precisely what we can and cannot do to stimulate local procurement in that context.

What we can do, and are doing, is to facilitate engagement between developers and potential local suppliers, so that suppliers can be informed about what exactly developers are looking for and so that developers in turn can be made aware of the products and services that are on offer locally. That work is being led by Renewables UK, which is based in Scotland, and fully involves our enterprise networks, including, of course, Highlands and Islands Enterprise.

The Executive is also working with Renewables UK, with Scottish Development International, and with Scottish Enterprise and Highlands and Islands Enterprise to persuade overseas manufacturers and companies to establish facilities here in Scotland. There is a specific opportunity for Scotland in the area of marine renewables. That, as we all know, is a new industry. We have some of the best wave and tidal resources in the world here in Scotland—that has been mentioned by most members—and we must pull out all the stops to ensure not only that developers bring their devices to Scotland for testing but that they subsequently manufacture them in Scotland, too. I was therefore delighted to note that Isleburn, Mackay & Macleod, based at Evanton, announced last week that it has signed a joint deal with a Netherlands company, AWS, and that it will develop marine energy technology at Nigg. I reassure Shiona Baird that although the first prototype of the AWS machine has been tested in Portugal, the second prototype will be built, tested and, I hope, manufactured here in Scotland. That will represent Scotland overtaking Portugal.

Shiona Baird: I will be the first to congratulate the minister.

Allan Wilson: I thank Shiona Baird.

Isleburn, Mackay & Macleod is a good example of a Scottish manufacturing company that is already engaged in renewable energy. It was successful in its bid for part of a Vestas contract to produce monopiles and platforms for the Scroby sands offshore wind development to which Maureen Macmillan and others referred.

Groups such as HIREG also have an important part to play in energising companies in their area and bringing them together with developers, as Christine May said. In many ways, HIREG is a model that can be replicated in other parts of Scotland. In that context, I was interested in Jim Mather's speech.

Mr McGrigor: On Vestas at Campbeltown, can the minister tell me whether there has been any progress in improving the pier facilities to allow more of the equipment to be carried by sea? Is anything happening regarding the Ballycastle to Campbeltown ferry, which could also be used by the industry?

Allan Wilson: I have of late been engaged with officials and with colleagues in other divisions—notably the transport division, which has an obvious interest in the matter—to ensure that the tendering process for the Ballycastle to Campbeltown ferry takes account of those factors. I look forward to commercial organisations that bid for that tender helping manufacturers such as Vestas in those areas.

We need to ensure that we make maximum use of the skilled engineering work force that is available in Scotland. That will bring with it the socio-economic benefits to which Maureen Macmillan referred, not only in the Highlands and Islands—I understand the interests of the audience—but throughout Scotland.

I firmly believe that the policy that we have in place can deliver the benefits that Maureen Macmillan and others have talked about today. Developers and investors alike have reacted positively to the targets that we have set, and I have no doubt that the industry is set to grow considerably in the years ahead. We granted consent last month for two new major wind developments, which I announced in a debate in the Parliament. That is a strong signal that the potential for development and manufacturing in Scotland remains strong.

As I made clear during that debate, we are determined to support the development of as wide a range of renewable sources as possible, including wave and tidal power. We are investing seriously in offshore wind power. We are investing £3 million in the proposed deepwater demonstration turbines in the Moray firth, the components for which will, I hope, be largely manufactured in Scotland. If that project is successful, it could create hundreds of jobs over the coming years.

Our forum for renewable energy development in Scotland underpins the drive for economic development. It continues to produce results. In FREDS, the Executive, the renewables industry and academia work side by side to promote the renewables agenda, particularly the emerging technologies that I have described, and we have begun to implement the recommendations of the FREDS marine energy report. The report on biomass, which is probably better left to another night, will be published before the end of the year. I give Jamie McGrigor my commitment that I will carry on the work that I did with the Forestry Commission, among others, to promote biomass as a sound renewable energy source and to exploit its potential for creating employment in Scotland. FREDS is also working on recommendations for the development of the hydrogen economy and what needs to be done to improve training and skills in the renewables sector.

This short debate has offered another valuable opportunity—which I always welcome—to underline the importance of renewables for economic prosperity not only in the Highlands and Islands but throughout Scotland. I remain committed—as must we all—to supporting renewables, not least because they help to protect our environment for future generations. With regard to my new job, they create new jobs and economic activity and opportunity and lead Scotland towards a much more sustainable energy future. I have great pleasure in supporting the motion.

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