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Energy / Statkraft secures £270k government funding for Scatsta project

The land at Scatsta which is set to be leased from the SIC by Statkraft. Photo: SIC

STATKRAFT has secured government funding for more than £270,000 for its proposed green hydrogen development at Scatsta.

The company has also confirmed that the plans are for an electrolytic hydrogen to green ammonia production facility of up to 350MW.

It is finalising a lease agreement for the land adjacent to the former Scatsta Airport with owner Shetland Islands Council.

Scatsta is one of 11 hydrogen projects set to receive a share of £3.4 million in funding from the Scottish Government.

Statkraft, which is state-owned by Norway, has been awarded £270,500.

The company’s Shetland hydrogen project manager Brie Foster said: “We’re pleased to have been successful in our Scottish Enterprise Green Hydrogen Development Fund application, which will help us progress our Scatsta Green Hydrogen project to the next stage.

“Scatsta offers an opportunity to combine Shetland’s renewable resources with innovative technology, and I’m looking forward to sharing further details of our plans soon.”

Councillors agreed in principle to lease the land to the energy firm during a meeting in private at the end of March.

However full details of the large project are still yet to be made public.

Opening a parliamentary debate on Scotland’s hydrogen future, acting net zero cabinet secretary Gillian Martin said: “Hydrogen stands as a critical pillar of Scotland’s route to net zero by 2045, but also, alongside the development of our offshore wind capacity, as one of Scotland’s greatest industrial opportunities since the discovery of oil and gas in the North Sea.”

Statkraft is also behind three planned wind farms in the isles, two on Yell and one outside Lerwick, as well as another hydrogen project for which the company has recently been shortlisted for possible UK Government funding.

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