The Scottish Government has announced a partnership with South Korea’s HD Hyundai Heavy Industries (HHI) for floating offshore wind manufacturing.
The Memorandum of Understanding (MoU) with Scottish Enterprise and Highlands & Islands Enterprise (HIE) in Edinburgh commits them to “pursue opportunities for floating offshore wind projects” in Scotland.
HHI is the world’s largest shipbuilding company and a major manufacturer of the equipment which forms a critical part of the global offshore wind supply chain.
The Scottish Government said the MoU is the company’s first agreement in Europe covering floating offshore wind manufacturing, which it said will “unlock expertise in the design and manufacture of floating offshore wind substructures”.
‘Vote of confidence’ in Scotland
Deputy First Minister Shona Robison said the partnership agreement is a “vote of confidence in Scotland and our offshore wind industry”.
“Scotland’s offshore wind sector is key to our transition to net zero and this partnership is the next step forward in realising the economic opportunities from our floating offshore wind potential,” Ms Robison said.
Ms Robison said collaborations between Scotland’s economic development agencies and global firms like HHI are “key to delivering” the Scottish Government’s ambitions to delivering a just transition for the energy sector as well as climate targets.
HHI senior vice president Hannae Choi said: “We are currently exploring ways to collaborate with various partners to develop the offshore wind market, including establishing a manufacturing supply infrastructure.
“We plan to expand the market by leveraging our world-class know-how in designing and manufacturing floating structures.”
Scotland offshore wind manufacturing
The announcement of the HHI floating wind partnership is the latest in a series of projects aiming to boost the Scottish offshore wind supply chain.
Japan’s Sumitomo recently committed to building a £350m cable factory in the Highlands after agreeing a £24.5m funding package from the Scottish Government.
Scottish Enterprise is also supporting the development of £1.4 billion project by XLCC to build a cable manufacturing facility in Ayrshire.
Meanwhile, earlier this year Scotland’s energy minister Gillian Martin said Danish wind turbine manufacturing giant Vestas is looking to establish a facility at the Port of Leith.
The Scottish Government is also advancing talks with nearly 30 projects focused on the offshore wind supply chain through its Strategic Investment Model (SIM), representing combined capital value of over £6 billion.
However, the Scottish Government’s support for a Chinese wind turbine manufacturer as part of the SIM process has drawn criticism, with commentators warning it could risk undermining Scotland’s energy security.