Offshore Wind Focus

Outcome of the strategic assessment of market opportunities: ports & harboursand supply chain

The findings of the assessment suggest that the economic opportunities are greatest where a whole systems approach is taken, including through clustering and capturing large-scale and multi-faceted opportunities, and recognising the importance of building regional port clusters to realise the opportunities from floating offshore wind.

The ports & harbours assessment identified that strategic investments should be directed towards priority clusters in Cromarty/Moray and Forth & Tay aimed at building manufacturing and fabrication capacity to support the floating offshore wind supply chain. The assessment also recognised the need for supporting investments in the broader North East cluster (including the North East, Orkney and Caithness) the West Coast cluster (including North West, Hebrides, Clyde and Ayrshire), and the Shetland cluster, to build a wider ecosystem of ports, tapping into their unique strengths to support the build-out of projects and increase supply chain capacity and capability. While these investments are likely to have a specific geographical focus, the wider economic value will benefit all of Scotland.

The assessment highlighted the opportunities from the two Scottish Green Freeports: Inverness & Cromarty Firth and Firth of Forth Green Freeport. Green Freeports are a valuable tool for attracting manufacturing and supply chain inward investors; the Green Freeport was critical in attracting Sumitomo Electric Industries to the Cromarty Firth Freeport area.

The outcome of the supply chain assessment is consistent with other major industry studies. The Industrial Growth Plan, which was published in April 2024^[7] by RenewableUK, the Offshore Wind Industry Council, The Crown Estate and Crown Estate Scotland, identified five key technology areas in which the UK should prioritise investment. These areas align with our assessment. The five areas include the design and manufacture of blades and turbine towers, foundations, cables and other key components and services for the UK and for export. The alignment between our assessment and the Industrial Growth Plan reinforces the aim of securing OEMs (Original Equipment Manufacturers) to catalyse the Scottish / UK supply chain.

Our approach to investment into major opportunities in the north of Scotland is already generating benefits. Public sector investment in Sumitomo's High Voltage Direct Current (HVDC) cable factory will create hundreds of good, green jobs in the Highlands, and will be the first of its kind in the UK. The public sector funding for the facility supported significant private sector investment. In this case, public funding of £24.5m leveraged significant private investment, highlighting the catalytic effect of support for inward investment.

Additionally, earlier this year the Scottish National Investment Bank demonstrated the clear benefits of adopting a commercial-first approach, building upon a £300m capital commitment from Quantum Energy Partners to provide a £50m debt facility to Ardersier Port, alongside a further £50m from the UK Infrastructure Bank (UKIB). This investment will significantly increase Scotland's offshore wind port capability and will re-establish the port as a major local employer, with the potential to enable around 3,000 jobs and reskilling opportunities at full capacity. It also illustrates the way in which the public and private sector can work together to develop fully commercial investment models, enabling the infrastructure needed to capitalise on this opportunity for Scotland.