Carmichael welcomes boosted tidal stream investment in latest renewable auction

8 Sep 2023

Orkney and Shetland MP, Alistair Carmichael, has welcomed today’s news that 7 tidal stream projects have secured contracts in the UK Government’s latest renewable auction, including two in the Northern Isles. Over 50MW of tidal stream capacity has been contracted under the Contracts for Difference (CfD) scheme, building on the 40MW secured in the previous round.

Allocation Round 5 (AR5) support could see an additional 53MW, at £198/MWh, of tidal stream capacity deployed in British waters by 2028 across 7 projects, including three in Scotland:

  • SAE Renewables, secured 21.94MW of capacity (Pentland Firth, MeyGen)
  • Orbital Marine Power, secured 7.2MW (Orkney, EMEC)
  • Magallanes secured 1.5MW (Orkney, EMEC)

Mr Carmichael said:

“Today’s announcement is positive news for the isles and for the UK as a whole. It is a further vote of confidence in the potential of tidal stream to transform how we manage energy in this country – and a massive vote of confidence that two projects in the isles have secured contracts.

“Tidal stream renewables have become a vital part of the Contracts for Difference framework. These industries of the future have the potential to play a central role in delivering a green energy network– and green jobs to boot. That is particularly true for communities like the Northern Isles where we have been leading the way.

“I am glad that the government has not let up on support for this sector. Other countries recognise the potential of tidal stream – this is our chance to establish real leadership for years to come. We need to continue that big picture mentality from ministers and ramp up development further.”