Infrastructure Investment Plan 2021-22 to 2025-26: progress report 2022 to 2023

Building resilient and sustainable places

Better Local Places

Digital Planning

The delivery phase of the programme to Transform Digital Planning Services is underway. This includes a replacement system for applications and payments, a data strategy and tools for community engagement including 'Placebuilder' which is available for communities and local authorities to use to develop local level plans. We have now developed a first version of new single payment system for our current live service. We have progressed initial development work on the Planning Gateway and Smart Applications systems to improve payment, document submission, and notification for early adopters. This will deliver substantial efficiencies and enhance user experience. The roll out of the Placebuilder is also underway with licences now available for interested parties.

Land reform

The Scottish Land Fund enables community groups to purchase assets within their own community to support their aspirations for their local community. Whether it is bringing an unused asset back into productive use or ensuring that an existing one continues to be used and developed further, communities taking control of local assets helps to build local community wealth and wellbeing and contributes to the wider economic benefit as a result. Since the current fund opened in 2021, it has awarded a total of £12.8 million. The fund continued to have a budget of £10 million for the year 2022-23 and this will double to £20 million by 2026.

Regeneration

We are delivering the Place-Based Investment Programme backed with an initial £325 million capital over 5 years from 2021-22. The programme aims to make sure that all local investments understand the place in which they are made, how their contribution will help deliver the changes needed, how these will enable people to live well locally and how local communities shape their future.

The programme includes funding that is allocated directly to Scotland's local authorities to accelerate ambitions for place, 20-minute neighbourhoods, town centre action, community led regeneration and community wealth building. Local authorities received £38 million in 2021-22 and a further £33 million for 2022-23. It also includes continued delivery of the Regeneration Capital Grant Fund and support for Clyde Gateway over the 5-year period.

The Regeneration Capital Grant Fund (RCGF) delivered in partnership with COSLA (Convention of Scottish Local Authorities) and local government, supports locally developed place based regeneration projects that involve local communities. This is helping to tackle inequalities and support a wellbeing economy in deprived, disadvantaged and fragile remote communities across Scotland. The RCGF plays a key enabling role in terms of delivering overall ambitions for place, community led regeneration, community wealth building, town centre revitalisation, and 20 minute neighbourhoods.

Since 2014, the RCGF has supported over 220 projects across Scotland. 48 projects in disadvantaged and fragile rural communities received offers of grant for more than £50 million from the Regeneration Capital Grant Fund across 2021-22 and 2022-2023. Further investment of £25 million is planned for 2023-24 and 23 projects have received offers of grant.

Suitable, Warm, Affordable Homes

Affordable Housing

We are moving forward with the actions and commitments set out in Housing to 2040. Our aim is to deliver high quality, energy efficient, zero carbon affordable housing with access to outdoor space, sustainable transport links, digital connectivity and community services.

Having delivered the previous 50,000 affordable homes target one year later than planned due to delays caused by the COVID-19 pandemic and global issues around supply and labour which affected the pace at which homes could be delivered, we have now started to deliver against the 110,000 affordable homes target. To December 2022, a total of 7,493 homes have now been delivered, of which 6,172 (82%) are homes for social rent.

We are committed to delivering 110,000 affordable homes by 2032 of which at least 70% will be available for social rent and 10% will be in our remote, rural island communities. We are making £3.5 billion available in this Parliamentary term towards the delivery of more affordable and social homes, helping to create great places and continuing to ensure the right types of homes in the right places to support Local Housing Strategies and regional development priorities.

Delivering this ambitious 110,000 affordable homes target would support a total investment package of around £18 billion (in 2022 prices) and up to 15,000 full-time equivalent jobs each year in the construction and related sectors in the Scottish economy.

High Quality Social Infrastructure

National Treatment Centres

Since the Infrastructure Investment Plan was published, the investment required to deliver the National Treatment Centres (NTC) has increased to more than £600 million and the network of NTCs has expanded to 10 in total. As set out in the NHS Recovery Plan, published in August 2021, the NTC programme is the single biggest increase in planned care capacity ever created in NHS Scotland.

Three Centres have already opened; the Golden Jubilee Eye Centre in Clydebank opened in December 2020, the NTC Fife in Kirkcaldy opened in March 2023 and the NTC Highland in Inverness opened in April 2023. In addition to these three operational centres, there are two more under construction; the Phase 2 expansion of NHS Golden Jubilee and the NTC Forth Valley, which are both due to open by the end of 2023. The network of NTCs will ultimately include centres in Grampian, Tayside, Ayrshire, Lanarkshire and Lothian, and the replacement of the Edinburgh Eye Pavilion. The business cases for these Centres are currently in development. Once operational, the NTCs will deliver ring-fenced and additional capacity for elective surgeries and procedures.

The Golden Jubilee Eye Centre and the National Treatment Centres in NHS Highland and NHS Fife are already providing additional ophthalmology and orthopaedic capacity to support the NHS Scotland recovery plan. These centres provide access to patients across Scotland and not only aim to deliver treatment to a greater number of patients, but also to provide excellent quality care and patient experience and will be fundamental to the longer term sustainability and resilience of our heath service. The programme has also taken cognisance of the pressure that COVID-19 put on elective care and the need to have protected and resilient capacity to maintain access to key services.

The projects within the NTC programme are being designed and constructed to all current sustainability criteria and will play an important role in NHS Scotland's transition to Net Zero Carbon to combat Climate Change and address the wellbeing of all who work in and are treated in them. The Green Theatres principles are being adopted across the NTC programme including opportunities to introduce products and process' which contribute to greater circularity.

Fife College – Dunfermline Learning Campus

The Fife College element of the Dunfermline Learning Campus has been approved to progress to the construction and the new campus is expected to open in academic year 2024-25. The new college campus will provide a modern learning facility that is located in the centre of an area that is the fastest population growth in Scotland. The Full Business Case is for a new campus for West Fife as part of the wider Dunfermline Learning Campus development, working in partnership with Fife Council. The new state-of the-art campus has been planned to deliver against the needs of the local community and priority national skills needs and will contribute to the economy of the region as a whole. The proposed adoption of a Hybrid plus solution will enable the college to implement a range of energy saving measures, in particular to the building elements during construction, which would otherwise be unavailable once the building is completed and in use.

Learning Estate Investment Programme

In line with the Infrastructure Investment Plan (IIP) themes, the Learning Estate Investment Programme (LEIP) is seeking to enable the transition to net zero with ambitious operational energy targets across the programme and to support inclusive economic growth through the creation of jobs to deliver new or refurbished learning facilities. LEIP is also seeking to build resilient and sustainable places by delivering high quality facilities which are well designed and constructed; incentivising long-term maintenance in the condition of the learning estate; using Infrastructure Technology to support optimum use of these facilities through their lifecycle; future proofing facilities through high quality digital connectivity; and considering co-location of community facilities and public services in line with the place principle.

During 2021-22, the first LEIP projects started construction and the other announced projects progressed through their respective development phases. In 2022-23, further LEIP projects started construction and the first project opened to pupils, staff, and the wider community. The projects that will form the third phase of the programme will be announced in 2023-24. This collective programme activity will continue to contribute to and align with the IIP themes.

HMP Highland

Replacement of the current HMP (His Majesty's Prison) Inverness will expand provision of custodial services available within local community and reduce reliance on accommodation in other locations (principally Central Belt). The prison will be located near Inverness Retail Park and will have excellent transport connections. Its completion will allow the Scottish Prison Service (SPS) to better serve the local community, meet the needs of people in our care and support staff.

Enabling work commenced on site in 2021-2022 and further advance works have been carried out during 2022-23 and are to continue into 2023-24. Work has commenced on site with the archaeologists finding significant evidence of roundhouses. Site clearing and ground work has taken place and drilling is underway to prepare for the ground source heat pumps. A number of advance contracts have been awarded to secure the perimeter concrete panels and modular cells.

SPS continues to work with the contractor and their design team to finalise the design of the new facility which incorporates energy reducing measures, utilising a range of available low carbon energy sources and to facilitate future substitution with zero carbon energy sources. The design incorporates ground source heat pumps, vertical wind turbines and solar voltaic panels as well as improving the passive thermal efficiency of the building. The design will now be finalised in early 2023-24.

SPS and Balfour Beatty (the contractor) community benefits team continue to nurture strong relationships with our supply chain and community agencies. In particular they have been working in partnership with Barnardo's to support the local Construction Industry Training Board (CITB) funded 'Scottish Academy for Construction Opportunities' programme (SACO). A result of this work, there has been 2 work placements for 16+ candidates on mechanical and electrical with G&A Barnie group. The team also supported local school visits to the site, which allowed students to see some of the artefacts and witness the archaeological excavations. The project has also been working with Baker Hicks who have just started a University of Highlands and Islands (UHI) student on a 14-week industrial placement, student studying Architectural & technology.

The design has been developed to allow the future deployment of in-cell Information Technology (IT) services. The digital infrastructure proposed will assist SPS in advancing the digital transformation of its Estate and business and provide wider access to digital services for those in our care and their families.

It is intended that the main construction contract will be awarded in summer 2023 with construction complete in spring 2025. The design will be finalised, and work will continue on ensuring community benefits in 2023-24 and throughout the construction stage.

HMP Glasgow

The replacement of HMP Barlinnie with HMP Glasgow will significantly reduce carbon emissions with a 'NetZero' target for the new facility. It is currently calculated that this will reduce emissions by 3,722 tCO₂e tonnes of carbon dioxide equivalent) with emissions of 1,081 in HMP Glasgow in comparison to 4,803 in HMP Barlinnie in 2021-22.

SPS and the appointed contractor, who is providing pre-construction services including design, are working closely with the Scottish Futures Trust (SFT) to ensure that all the objectives set by their Net Zero Public Sector Buildings Standard are met and evidenced. This includes agreeing strategies and setting specific targets for achieving net zero carbon, reducing embodied carbon in the construction, measuring and reducing operational energy use, whole-life considerations in design and materials, indoor environmental quality and consideration of wider environmental aspects. Work with the pre-construction contractor will inform the Outline Business Case (OBC).

The pre-construction services contract requires the implementation and delivery of a Community Benefits Plan which will also continue throughout the construction stage. The SPS Project Delivery Team is working with the contractor to develop this plan and a number of the proposals identified in the contractor's tender submission have already been implemented. These include supporting employment workshops and programmes in HMP Barlinnie, engagement with a number of local community groups to identify specific needs and means of support and the setting up of processes to implement a Social Value Community Fund which will provide direct financial assistance to appropriate community groups.

The design of the new HMP Glasgow will incorporate a Community Café which will facilitate accessible drop-in supportive services and activities for the local community, support social enterprise and incorporate social spaces and resources which can be accessed by local community individuals and groups. The development will also deliver improvements to local cycling infrastructure and connectivity.

HMP Glasgow will help deliver the organisation's Digital Infrastructure aspirations, incorporating proposed benefits for internal user experience through in-cell digital engagement, improve access to digital systems for staff, partners and other service providers, benefits for visitors and local communities, and innovative digital inclusion opportunities. During 2023-24, community benefits will continue to be delivered as part of the pre-construction services and into the construction stage.

HMP & YOI Stirling (National Facility for Women Offenders)

The design of the new facility incorporated low carbon energy sources (ground source heating and PV (photovoltaic) arrays and energy use reduction measures which were installed in as part of the construction of the prison. The construction is due to complete in May 2023 with environmental benefits starting to be realised. HMP & YOI (Young Offender Institution) Cornton Vale is in the process of being decommissioned, which will further reduce energy use.

At contract award, Morrison's the construction contractor, anticipated that approximately 90% of the contract value would be spent within Scotland. Morrison's have worked with Stirling Council and their existing supply-chain to develop the local economic benefits by using suppliers within a 50-mile radius of the project. A major sub-contract (£13.3 million) for electrical and mechanical activity was awarded to Forth Engineering Service (FES) in Stirling and a further £16 million of sub-contracts have also been let to date to Scottish SMEs (Small and medium-sized enterprises).

The digital infrastructure installed will assist SPS in advancing the digital transformation of its Estate and business and provide wider access to digital services for those in our care and their families. To enhance digital inclusion, this will include having the digital infrastructure to enable the people in our care to access future digital services as they are enabled. Such services are being developed within SPS's Digital Strategy.

Morrison Construction Community Benefits Team continues to liaise with SPS on a monthly basis to implement their 'pathways to employment' programme in partnership with Wise Group to facilitate the women of Cornton Vale into employment. The contractor continues to make direct contributions to local community groups. Throughout 2022-23, the contractor continued to liaise directly with the women accommodated in the existing HMP Cornton Vale, to develop proposals for therapeutic gardens and landscaping which the women will themselves implement in the new establishment on completion.

During 2023-24, community benefits delivery will continue throughout Phase 2 of the project.

Dundee Community Custody Unit- 'The Bella Centre'

The design of the new facility incorporated low carbon energy sources (PV (photovoltaic) arrays) and energy use reduction measures. These were installed as part of the construction of the facility which concluded in May 2022. The facility opened in August 2022 with the environmental benefits starting to be realised. Innovative service provision with a number of local organisations and partners that provides greater integration into the community for people in custody has commenced.

The digital infrastructure installed will assist SPS in advancing the digital transformation of its Estate and business and provide wider access to digital services for those in our care and their families. To enhance digital inclusion, this includes having the digital infrastructure to enable the people in our care to access future digital services as they are enabled. Such services are being developed within SPS's Digital Strategy.

Throughout the construction of the facility, there has been very good liaison between the contractor, Ogilvie Construction Limited and Dundee City Council. The council has been proactive in providing details of local suppliers who could be used, promoting use of the Dundee City Council "skills bank" which matches individuals to project job requirements / vacancies and also the Dundee "shared apprentices" scheme. The contractor also employed the services of a locally based architectural company to develop the design of the facility

The development supports sustainable and resilient places by allowing delivery of custodial and support services at a local level, rather than reliance on remote or regional service provision, and provide access to community-based work and training opportunities. The Bella operational team will continue to develop close liaison and partnerships with the local community and local service providers.

Glasgow Community Custody Unit – The Lilias Centre

The design of the new facility incorporated low carbon energy sources (PV (photovoltaic) arrays) and energy use reduction measures. These were installed as part of the construction of the facility which concluded in August 2022. The facility opened in October 2022 with the environmental benefits starting to be realised. Innovative service provision with a number of local organisations and partners that provides greater integration into the community for people in custody has commenced.

The digital infrastructure installed will assist SPS in advancing the digital transformation of its Estate and business and provide wider access to digital services for those in our care and their families. To enhance digital inclusion, this includes having the digital infrastructure to enable the people in our care to access future digital services as they are enabled. Such services are being developed within SPS's Digital Strategy.

During 2022-23 the contractor continued to engage in the delivery of community benefits and liaison with local community groups. The development supports sustainable and resilient places by allowing delivery of custodial and support services at a local level, rather than reliance on remote or regional service provision, and provide access to community-based work and training opportunities. The Lilias operational team will continue to develop close liaison and partnerships with the local community and local service providers.

Scottish Water

In the second year of the charge control period 2021-27, Scottish Water had invested around £673 million by the end of December 2022 to maintain and improve services across Scotland, address the challenges of its aging asset base, and make progress towards the achievement of its commitment to net zero emissions by 2040. Scottish Water estimates it will deliver up to £880 million of investment by year-end.

Net zero journey

Scottish Water has made progress on its net zero journey and projects were delivered that reduced energy consumption, increased renewable energy generation, and started the transition of 800 of its diesel van fleet to EVs (electric vehicles). Monitors were installed at two sites in Glasgow to gain a better understanding of process emissions from waste water, and innovative technology is being tested at these sites to see if these emissions can be reduced. Progress is being made with Scottish Water's investment partners to reduce the use of high emissions construction materials or to substitute them with lower emission alternatives.

To address its residual emissions, Scottish Water has been working to gain a better understanding of the condition of peat on its land with the aim of restoring all peat found to be in poor condition. At two sites surveyed the peat was found to be in better condition than expected and did not require restoration. Scottish Water will continue to monitor peat condition and will address any deterioration. In collaboration with Forestry and Land Scotland, a 10-year land management plan for Scottish Water's Loch Katrine estate has been developed. This proposes the creation of some 4,600 hectares of woodland. The plan has been submitted to Scottish Forestry for approval.

Looking forward, Scottish Water will continue to develop, appraise and deliver opportunities particularly in energy efficiency, renewable energy and its vehicle fleet so that it can build momentum in reducing operational emissions in future years. The programme to monitor process emissions will be extended to more sites.

Scottish Water will also continue to build its understanding of the emissions driven by the investment and with its supply chain partners will trial alternative low carbon designs and materials to reduce these emissions.

Scottish Water will progress its work to increase carbon capture with further peatland restoration and woodland creation. As well as progressing its emissions reduction activities, Scottish Water is undertaking a climate change risk assessment to understand the impacts that climate change will have on its services in the future. This work will be used in the development of its Climate Change Adaptation Plan which is planned to be published later this year.

Development Services

Over the last year, Scottish Water has been working with developers and developing its plans for new network capacity and investing in water and wastewater assets to enable new housing and other economic development across the country. In 2022-23 the newly formed Development Delivery Team have seen the first projects completed on site since Scottish Water began to deliver strategic part 3 infrastructure on behalf of the development community. The first 3 projects, which were completed at a cost of £5.2 million, facilitate economic growth in these areas and have provided capacity for 5,647 new houses to be built in the future. As the programme gathers pace a larger number of projects will start on site in 2023-24 providing additional capacity for new build homes in targeted areas to match housing demand.

Surface Water management

Scottish Water's ambition to transform the management of surface water will continue to require long-term planning and cross-sector partnership working. The scale of opportunity and challenge around adapting our cities to the impacts of climate change was highlighted at the 'Creating Water Resilient Places' summit in September 2022, bringing together Chief Executives and senior leaders from Scotland's eight cities, Scottish Environment Protection Agency (SEPA), Scottish Water and the Scottish Government. The summit proposed that a Water Resilient Places theme should be included under the Scottish Cities Alliance climate change work, sitting alongside the Transition to Net Zero Action Plan, with key workstreams for incentivisation and financing of the management of surface water, as it is widely recognised that this will require action and funding from both the public and private sector.

An approach to city-scale planning of surface water has been developed under a Sustainable Growth Agreement between Scottish Water and SEPA, and in partnership with Aberdeen City Council, with agreement needed over the next year on the next steps and scale of ambition for the city to reduce the risk of sewer and surface water flooding and create multi-functional blue-green spaces. Collaboration has been ongoing with local authority partners in key areas of Edinburgh and Dundee, with a view to scaling the development and delivery of place-led, integrated drainage and surface water management plans at a city wide level over the next 2 years. The current project areas are focusing on developing and testing the practical implementation and policy approaches that could be utilised to support delivery on the ground on both retrofit of surface water management interventions at scale and creation of multi-beneficial blue-green places in new developments within the cities.

At a tactical level, Scottish Water has set out a commitment that every sewer network project is actively seeking to identify interventions that manage surface water as part of the project optioneering activities. Development of technical and planning guidance is ongoing to support these programmes of work, and collaboration with Local Authorities will be key to enable these solutions.

Projects completed within 2022-23, include flood prevention projects. An increase in flooding due to extreme weather events is one of the major challenges Scottish Water is currently facing and to address this it is delivering a number of flooding projects across Scotland. The £6.4 million investment to help protect homes from sewer flooding in Annan, in Dumfries and Galloway, was completed June 2022, with praise from residents for the project delivery team.

In North Lanarkshire, a £11.5 million project to help reduce sewer flooding in Craigneuk has been delivered. The giant underground storm tank measuring 25 metres across and 19 metres deep, has been installed in Craigneuk Park to help provide extra storage capacity for stormwater water during heavy rainfall.

A new £30 million water treatment works has started supplying water to Peebles to improve water quality and resilience. The works on Bonnington Road, Peebles, was built using low carbon construction techniques and can supply up to 4 million litres of fresh, clean drinking water each day thanks to the latest treatment technology.

The construction of a new Water Treatment Works at Loch Ness has finished and around 1,250 customers in the villages of Fort Augustus and Glenmoriston are now receiving their water from a single supply taken from Loch Ness.

Our £4.6 million investment in Oban's water network was completed in July 2022. The final part of the project saw nearly 2 miles of new pipes being laid - an operation which saw a tunnel bored under an important railway line.