Offshore wind collaboration moves forward

• Scotland’s INTOG projects are being invited to join the SIM process. This increases the volume of offshore wind projects working together to collaborate on port infrastructure and supply chain development.

• SOWEC’s Strategic Investment Model (SIM) Working Group has also set out its next phase of work to support supply chain and infrastructure investment into Scotland as it commences its Stage 2 programme.
• Of the 45 original projects which went into the SIM process in May 2023, 38 projects successfully completed Stage 1 review. These projects have a combined potential capital value of £6.5bn. Each now has a completed prospectus from the SIM process.
• An initial three projects have been invited to move into Stage 2 of the SIM. They represent a mix of local and inward investment into ports, port infrastructure and manufacturing.
• The wider SIM process is ongoing, with projects being assessed and supported to engage with offshore wind projects. The next step for all projects is to receive feedback from the SIM through sight of the expressions of interest submitted by offshore wind developers for further engagement.

• A full update on the SIM Stage 2 process and the results of Stage 1 will be provided by end February 2024.

The SIM Working Group has today published further information about next steps in the delivery of its Strategic Investment Model (SIM).

The SIM is now opening up participation in the SIM to Scotland’s INTOG projects. These projects are being invited to join the SIM and support collaborative efforts to move forward port and supply chain projects most relevant to their deployment. Doing this helps widen collaborative effort, plus increases the volume of wind capacity that can be supported and used to build out Scotland’s supply chain.

This notice also sets out next steps in the commencement of Stage 2 of the SIM process.

By June 2023, 45 proposals were received in the first SIM application process which was launched at All Energy in May 2023. The SIM Working Group and programme manager Arup then worked with these 45 proponents to review eligibility. 38 projects successfully concluded Stage 1. Arup supported each of these infrastructure and supply chain projects to develop a prospectus setting out its offer to the offshore wind market.

Between December 2023 and mid January 2024, offshore wind developers within the SIM reviewed each prospectus. These offshore wind projects have returned expressions of interest to the SIM identifying which of the infrastructure and supply chain projects they wish to meet with collectively to discuss their supply chain needs.

Following an initial review of these expressions of interest, three initial projects are being invited for exploratory meetings to look at how best they can be supported through the SIM in its Stage 2 process. The set of three three includes Scottish ports and manufacturing projects looking to invest into Scotland.

All projects completing Stage 1 will receive information showing what expressions of interest have been received from Scotti offshore wind developers, and the SIM will facilitate initial engagement between projects and offshore wind companies. In addition they now have completed prospectuses to support them in future market engagement.

In Stage 2 the focus will be on how to support infrastructure and supply chain projects in Scotland. Offshore wind developers, Enterprise Agencies, Scottish Government, Scottish National Investment Bank and other interested parties, will work collaboratively to help these projects gain the confidence and backing they need to move ahead. In testing its approach with the three initial projects, the SIM will be looking to better understand how different means of support can be brought together to help projects reach final investment decision.

On behalf of the SIM, SOWEC is planning a further update by end of February to update on: commencement of Stage 2; how it plans to engage the remaining 35 SIM projects, and; to announce which INTOG projects have joined with the SIM.

Notes

• The SIM Working Group is comprised of offshore wind developers (including all ScotWind developers), the Scottish Government, enterprise agencies and Crown Estate Scotland.
• The Scottish Offshore Wind Energy Council (SOWEC) is a collaboration between the Scottish public sector and the offshore wind industry. SOWEC has a clear vision and goals which is focused on growing the sector, ensuring the Scottish offshore wind industry is more sustainable, competitive, and commercially-attractive, both domestically and in the global offshore wind market. SOWEC supports the SIM Working Group in taking forwards the SIM.
• More information on the Strategic Investment Model can be found at: https://www.offshorewindscotland.org.uk/the-scottish-offshore-wind-industry/sowec/sim/
• More background on INTOG projects can be found at: https://www.crownestatescotland.com
• The SIM Programme Manager is sustainable development consultancy Arup. Arup was appointed to this role following a tender process run by Crown Estate Scotland on behalf of SOWEC. Arup is a collective of designers, consultants and experts working globally. Founded to be humane and excellent, we collaborate with our clients and partners, using imagination, technology and rigour to shape a better world.

To follow up on this notice please contact Maf Smith, Lumen Energy & Environment, maf.smith@lumenee.cc / 07768 531501