Energy / No government talks with offshore wind developer over supply chain

An illustration of a floating turbine. Image: Cerulean Winds

THE SCOTTISH Government says it has held no discussions with the developer behind plans for a floating wind farm west of Shetland about its supply chain.

It comes after United Arab Emirates based company Lamprell entered into a memorandum of understanding (MoU) last month with American service provider NOV to support the delivery of developer Cerulean Winds’ plans.

This would involve using Lamprell for the fabrication, assembly and outfitting parts to be used as floating foundations.

This led to concern that work would be lost to overseas – with the GMB union describing it as “sickening”.

Cerulean Winds has proposed to build 200 offshore turbines west of Shetland and in the central North Sea, each with a generating capacity of between 14 to 15 MW.

A key focus of the £10bn project – which would not connect to the national grid – would be to power oil platforms using wind energy, assisting the industry towards its goals of becoming net zero in the next couple of decades.


A hydrogen plant at Sullom Voe in Shetland has also been mooted.

In a parliamentary question, Labour MSP Katy Clark asked what discussions the government has had with both Cerulean Winds and NOV regarding “fair work and supporting domestic supply chains”.

But cabinet secretary for net zero, energy and transport Michael Matheson said in response that the government has not held any discussions with either party as they do not have consented developments under construction.

“It is therefore premature to discuss contracts for projects which do not yet exist,” he said.

“Developers will be required to submit a Supply Chain Development Statement with bids for the Innovation and Targeted Oil and Gas decarbonisation (INTOG) leasing rounds when it opens this year.

“Similarly to ScotWind, developers will need to outline the supply chain activity they commit to undertaking within Scotland, the UK and overseas.”

Become a supporter of Shetland News


Speaking to Shetland News last month, Cerulean Winds’ Dan Jackson said the MoU will lead to investment in fabrication capacity in Scotland.

Cerulean Winds hopes to be awarded exclusivity rights to develop the wind farms under the Scottish Government’s INTOG (Innovation and Targeted Oil and Gas) process.

This is a new offshore wind leasing round for small scale, innovative offshore wind projects of less than 100MW, as well as larger projects connected to oil and gas infrastructure to provide electricity and reduce their carbon emissions.

“Our basin-wide scheme for decarbonising oil and gas assets through offshore floating wind, which is going through the INTOG process, requires significant fabrication capacity and expertise,” Jackson previously said.

“We are pleased this capacity is currently being developed with substantial financial investment and Scottish government support in Scotland.”

Become a supporter of Shetland News

Shetland News is asking its many readers to consider start paying for their dose of the latest local news delivered straight to their PC, tablet or mobile phone.

Journalism comes at a price and because that price is not being paid in today’s rapidly changing media world, most publishers - national and local - struggle financially despite very healthy audience figures.

Most online publishers have started charging for access to their websites, others have chosen a different route. Shetland News currently has  over 600 supporters  who are all making small voluntary financial contributions. All funds go towards covering our cost and improving the service further.

Your contribution will ensure Shetland News can: -

  • Bring you the headlines as they happen;
  • Stay editorially independent;
  • Give a voice to the community;
  • Grow site traffic further;
  • Research and publish more in-depth news, including more Shetland Lives features.

If you appreciate what we do and feel strongly about impartial local journalism, then please become a supporter of Shetland News by either making a single payment or monthly subscription.

Support us from as little as £3 per month – it only takes a minute to sign up. Thank you.



Subscribe to a selection of different newsletters from Shetland News, varying from breaking news delivered on the minute, to a weekly round-up of the opinion posts. All delivered straight to your inbox.

Daily Briefing Newsletter Weekly Highlights Newsletter Opinion Newsletter Life in Shetland Newsletter

JavaScript Required

We're sorry, but Shetland News isn't fully functional without JavaScript enabled.
Head over to the help page for instructions on how to enable JavaScript on your browser.

Your Privacy

We use cookies on our site to improve your experience.
By using our service, you agree to our Privacy Policy and Cookie Policy.

Browser is out-of-date

Shetland News isn't fully functional with this version of .
Head over to the help page for instructions on updating your browser for more security, improved speed and the best overall experience on this site.

Interested in Notifications?

Get notifications from Shetland News for important and breaking news.
You can unsubscribe at any time.

Become a supporter of Shetland News

We're committed to ensuring everyone has equitable access to impartial, open and quality local journalism that benefits all residents.

By supporting Shetland News, you play a vital role in ensuring we remain a pivotal resource in supporting the community.

Support us from as little as £3 per month – it only takes a minute to sign up. Thank you.