Council welcomes funding boost for green energy vision

12 June 2020

Aberdeen City Council today welcomed the setting up of a multi-million pound fund to help the energy sector recover from the combined economic impact of COVID-19 and a drop in oil and gas prices.

The Scottish Government's £62 million Energy Transition Fund will support businesses, with a particular focus on renewable energy and tackling climate change.

Major projects to be considered include the Energy Transition Zone business park proposed for Aberdeen South Harbour; the Aberdeen Hydrogen Hub, which presents the opportunity to use green hydrogen in the transport sector; and a range of innovation projects led by the Oil and Gas Technology Centre’s Net Zero Solution Centre.

Council chiefs described the launch of the fund as a vote of confidence in its green energy policies and the city's ability to lead the country's economic revival.  

Co-Leader of Aberdeen City Council Councillor Jenny Laing said: “Today’s announcement is an important first step in delivering on our priority of ensuring Aberdeen is at the forefront of Scotland’s ‘green recovery’ whilst demonstrating the importance of the city region to the UK’s and Scotland’s success.

“A commitment to combating climate change was the central theme of this year’s Council budget and, building on that, the Council approved a Net Zero Vision and Strategic Infrastructure Plan for Energy Transition.

"To have secured funding so quickly to advance these projects is clear recognition that Aberdeen City Council is leading the way and a model for the drive towards net zero carbon emissions.”

The Energy Transition Zone is expected to accelerate the development of carbon capture technology and renewable energies, including capitalising on emerging opportunities in offshore wind, as well as greener oil and gas production.

The Aberdeen Hydrogen Hub will build on the Council’s previous hydrogen transport investment and take advantage of significant large-scale offshore wind resources, supply chain expertise, and hydrogen storage capability.

Council Co-Leader Councillor Douglas Lumsden said: “The inclusion of the Energy Transition Zone recognises its significance as a transformational project for the Scottish and UK economy.

“We anticipated its national importance in March with its inclusion and a policy for an energy transition zone in the proposed Local Development Plan. 

"Our Net Zero vision and Infrastructure Plan provides Aberdeen with significant opportunity to safeguard skills, jobs for our young people and retain and attract new talent and investment here in Aberdeen, as do our plans for a Hydrogen Hub.

"Our city has long been an economic powerhouse and now, these projects and the ringfencing of funding to support their delivery, helps us maintain that global position as a major energy city."