Sustaining Jobs and Creating New Ones (2023)

We will progress the Shetland Energy Hub concept through the ORION – Clean Energy Project

...helping to sustain employment at Sullom Voe Terminal and the Port of Sullom Voe, as well as ensuring Shetland is positioned to be able to benefit from the transition to alternative energy sources.

ORION activity (Orion Clean Energy Project | Providing clean affordable sustainable energy for our future) to date has helped facilitate:

•    EnQuest’s new business plan, under the subsidiary company Veri Energy, for Sullom Voe Terminal to become an energy transition zone involving renewable energy generation, green hydrogen production, derived e-fuels and Carbon Capture Utilisation and Storage.
•    Statkraft’s investment in a potential 246MW of onshore wind development on three sites.
•    The potential 2.3GW Arven (Mainstream RP and Ocean Winds) and 500MW Stoura (ESB) floating offshore wind development projects as part of the ScotWind NE1 site to the east of Shetland.
•    Lerwick Port Authority to progress the Dales Voe quays extension project.
•    The West of Shetland Electrification group to advance the power from shore project.  This work has been helped significantly by the three phases of the Power Study undertaken by Strathclyde University.
•    SSEN’s work to identify the most effective and efficient power transmission system in Shetland through their Holistic Power Transmission Study.
•    The Net Zero Technology Centre to run the first phases of the Net Zero Technology Transition Programme (NZTTP) research projects successfully with continuing strong links to the Shetland energy hub proposition.  Phase 2 research projects are getting underway and the LOHC phase 2 project has been published.  £2.8 million has been invested in the first phases of the NZTTP, half by the Scottish Government matched from the energy industry including Shetland Islands Council.
•    Two successful Shetland-based projects funded by the Emerging Energy Technologies Fund ‘Hydrogen Innovation Scheme’. One led by Nova Innovation (Green Hydrogen and Oxygen Supply from Tidal energy Project) and one led by EnQuest (Green Hydrogen Integration at Sullom Voe Project).  
•    Clean Maritime Demonstration Competition-funded NEPTUNE Project which developed a Decision Modelling & Support System digital tool to help analyse, scope and develop ORION marine opportunities.
•    A marine working group that meets to discuss ideas and hear presentations around marine decarbonisation, containing major stakeholders in the local marine industry.
•    Affordable Energy Programme investigating routes to fairer electricity prices in Shetland. 

The ORION project acts as a useful focal point for the Council’s efforts in ensuring the principles of ‘Just Transition’ are delivered in Shetland.  In May 2022, our Future Energy team prepared a response to the Scottish Government's Draft Energy Strategy and Just Transition Plan, which was agreed by Council.  In line with Our Ambition, the opportunity was taken to highlight the current high rate of fuel poverty in Shetland, the negative impacts of offshore wind development on fisheries; and the need to retain community benefit arrangements with developers at local rather than at national level. Now, with a number of active renewable energy projects being worked on in Shetland, the Future Energy Team are reviewing the future direction of the ORION project, with an emphasis on less promotional effort.