‘Biggest deal in history of marine energy’ for Airtricity, prospective operator of Kintyre and Islay offshore windfarms

Danish Wind TurbinesEdinburgh-based Aquamarine Power has just completed a deal with Airtricity to develop 1GW of wave and tidal power off the Coast of the UK and Ireland by 2020. The deal is described as ‘the biggest deal in the history of marine energy’. Airtricity has recently been announced as the prospective operator of offshore windfarm developments at Machrihanish in Kintyre and Islay, with exclusivity development agreements offered by the Crown Estate.

Airtricity, now owned by Scottish and Southern Energy (itself of recent – but no longer – acquisition interest to Vattenfall, an early operator in carbon capture) and Aquamarine will enter into a 50:50 joint venture using devices and site identification software from Aquamarine and capital – undisclosed amount – from Airtricity.

Aquamarine says that work on the first two sites has already begun but is not disclosing the locations. Their CEO, Martin McAdam says: ‘Fully consented offshore windfarm sites are selling to owner-operators at between £150k and £400k per megawatt, giving a strong indication of the large potential of this deal if all 1,000MW of sites receive full consents and grid connections.

This is another move underlining the vital need for Argyll’s subsea grid upgrade interconnector from Hunterston to Carradale, if Argyll is  not to be left behind in an area of energe development where it should be in the vanguard.

Aquamarine has designed software to identify and evaluate marie energy sites anywhere in the world suitable for its Oyster hydro-electric wave power converter and its Neptune tidal energ device. It has identified several Gigawatts of potential power in sites around the UK and Ireland but the gaining of cosents will be a sensitive process.

Its Oyster wave power converter is to start testing later this year at the cutting edge European Marine Energy Centre at Stromness in Orkney.

The photograph above – of an offshore wind farm off Copenhagen – is reproduced here under the Creative Commons licence.

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Council’s Economy PPG has already carried out the Minister’s recommended actions on the Kintyre grid upgrade issue

HunterstonHere is yet more evidence of the on-the-ball operations of the current Argyll and Bute Council. Recently we saw the encouragingly collective acceptance of responsibility that produced this year’s agreed budget allocations. Today – Saturday 21st February – Councillors have responded immediately to Energy Minister, Jim Mather’s, recommended actions on the issue of the crucial Hunterston to Carradale subsea link being omitted from the  National Planning Framework document.

It was the watchfulness of the Council’s Economy Policy and Performance Group (PPG) that initially spotted the omission and led to the Leader, Dick Walsh’s letter to the First Minister, seeking reassurances on the matter.

The Economy PPG, with Councillor Ron Simon as Chair, has also already ensured that the Convener of the Local Government and Communities Committee has been made fully aware of the Council’s concern at this omission.

Councillor Simon says: ‘I hope this offers some reassurance that the Council are fully on top of the matter and will continue to press at all levels in the best interests of the economic and environmental future of Argyll and Bute’.

Councillors are waiting keenly for contact from officials for the talks to progress the Hunterston subsea cable issue.

The photograph above is of the Hunterston power station from which the subsea cable would run to Carradale in Kintyre. It is reproduced here under the Creative Commons licvcence.

Argyll’s MSP and Energy Minister, Jim Mather, responds to concerns over Kintyre grid upgrade

Jim Mather MSPAs For Argyll recently reported, Councillor Dick Walsh, Leader of Argyll and Bute Council, has written to the First Minister, Alex Salmond expressing anxiety about the exclusion of Argyll from the planned upgrade to the National Grid.

The National Planning Framework for Scotland (NPF2) is currently before the Scottish Parliament and is due to be debated on 5th March 2009. It sets out details of future plans for electricity grid reinforcements, including sub-sea cables. Councillor Walsh points out that, in spite of previous representations from Argyll and Bute Council, the crucial Hunterston to Carradale cable has not been included in the plan, while cables for Shetland, Orkney and the Western Isles are planned.

For Argyll contacted Mr Mather on the matter and the Minister has now sent this information for publication: ‘The issue of Grid connection has been getting the focus that the people of Argyll & Bute and the rest of Scotland would expect. This Scottish Government has always believed that subsea transmission options must be considered if we are to fully capitalise on our abundant renewable energy potential on the West Coast. We are therefore involved in a subsea grid study, in partnership with the administrations of Northern Ireland and the Republic of Ireland.

‘In 2007, the Scottish Government, along with the Department of Trade and Industry (Northern Ireland) and the Department of Communications, Marine and Natural Resources (Republic of Ireland), with full funding support from the EU Interreg IV programme, commissioned a pre-scoping grid study.

‘The aim of this study was to identify the requirements of a full feasibility study for capitalising on the natural resources of the west coast of Scotland, the north and east coasts of Northern Ireland, the Irish Sea and the west coast of the Republic of Ireland, to generate energy from offshore renewables.

‘The report outlines what would be required for a full feasibility study into the development of an offshore grid in the region. The Scottish Government hosted an industry workshop to discuss the findings of the pre-scoping study on 8th April 2008 and has applied for EU Interreg funding, along with our Irish partners, towards the cost of a full feasibility study.

‘This detailed study will explore the technological, economic, construction and regulatory challenges associated with the development of such an offshore transmission network.

‘The aim of this work is to help make the business case for long term commercial investment.

‘Meantime, Scottish Ministers are aware of concerns about grid connection to Hunterston and have asked officials to meet with Argyle and Bute Council to help develop their renewable ambitions, in the context of our national ambitions – and to strategically address barriers to achievement.

‘The Proposed National Planning Framework 2 (NPF2) is currently being considered by Parliament.  A report of the parliamentary consideration, with any recommendations for changes, is anticipated to be made available to Scottish Ministers on or after 6th March (the end of the consideration period).  We will consider that report in making any final changes to NPF 2.

‘Any concerns over the omission of a subsea cable from Hunterston to Carradale in the Proposed National Planning Framework (NPF) 2 should be made known to the Convenor of the Local Government and Communities Committee (the lead committee) as soon as possible in order that the committee is aware of the issue in finalising its report’.

This last is obviously an action for Argyll and Bute Council to take as a matter of urgency. The meeting promised here by the Minister between officials and the Council to pursue Argyll’s needs for the Hunterston – Carradale cable is another crucial opportunity.

In the field of renewable energy development – so critical for Scotland’s non-nuclear energy delivery strategy – Scotland needs Argyll as much as Argyll needs this grid upgrade. Argyll has very real and necessary resources across a wide spectrum of potential renewable energy sources. Having said that, it is important for the Council, as its Leader is doing, to keep Argyll in the forefront of the Scottish Government’s consciousness, automatically associated with renewable energy delivery.

Footnote: Underlining Scotland’s status in the field, the British-Irish Council meeting on Friday (20th February) gave the Scottish Government the lead role in developing renewable energy technology while the UK Government looks at proposals to renew the grid infrastructure.