Projects across the North East and Moray will receive a share of over £50m to accelerate the energy transition and secure jobs in the region.
A total of 22 projects will receive funding, including investments in research and innovation, new green skills training facilities, pilots for emerging energy technologies and projects that will get businesses ready for the supply chain opportunities to come from the energy sector’s transition to net zero.
The awards are the first from the Scottish Government’s Just Transition Fund, which is investing £500m over 10 years in the North East and Moray to support the region’s transition away from fossil fuels and towards a low-carbon economy.
The First Minister Nicola Sturgeon said: “Aberdeen is the oil and gas capital of Europe, let us resolve today to make it the net zero capital of the world.
“These projects will support the production of green hydrogen, the development of wave and tidal technology, and even pioneer the use of waste from whisky to recycle EV batteries; and they will focus on the skills our existing workforce need to take advantage of the renewables revolution.“
Minister for Just Transition, Employment and Fair Work Richard Lochhead said: “The decades ahead must be a just transition and that means we must not leave anyone behind.
“We must ensure this economic transformation is managed fairly for workers in existing industries and the communities they support.”
A Just Transition Fund was a key commitment in the Bute House Agreement, the shared policy programme between the Scottish Government and the Scottish Green Party.
John McDonald, chief executive of OPITO, one of the successful recipients, said: “With UK offshore energy jobs forecast to grow to more than 211,000 by 2030, it's vital we prepare and empower a diverse, agile and adaptable workforce, nurturing the skills we need in oil and gas, offshore wind, carbon capture and storage, and hydrogen.
“With a third of the UK offshore energy workforce based in Scotland, this is both a challenge, and opportunity for Scotland to be a leader in the energy transition.
“This critical funding will help deliver the Energy Skills Passport, a digital solution that will transform how offshore energy workers transition between sectors, while also meeting the commitments of the North Sea Transition Deal and several of the Scottish Government’s Just Transition Outcomes.”
Pat Rafferty, Unite's Scottish secretary, speaking on behalf of the STUC, said: “It’s vital to deliver a system where workers can easily make the transition between onshore and offshore energy industries - the passport will also streamline onshore and offshore training programmes to further enable workers to move between companies and industries.
“An important aspect of the passport will be that it will help identify to all stakeholders where there are skills gaps and shortages which can shape appropriate policy responses so that we can deliver a Just Transition and net zero economy.”
A total of 22 projects have been announced in the first year of the fund, taking the total financial commitment to date to £51.6m.
Successful projects were selected following an invite to submit Expressions of Interest in May. Aberdeen City Council, Aberdeenshire Council and Moray Council, as well as Scottish Enterprise and Highlands and Islands Enterprise, provided local knowledge to assist the selection of the funded projects.
A £1 million Social Enterprise Just Transition Fund has also been established to provide direct support to social enterprises. A further £1.2m has been allocated to develop a participatory budgeting strand of the fund – which means communities in the North East and Moray will be able to design and vote on future just transition projects. £1m will be allocation to participatory budgeting for each year of the Fund.
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