The Scottish company aiming to establish the world’s biggest tidal-power project in the Moray Firth has signed a multi-million pound contract to sell electricity generated by the scheme.
MeyGen’s 10-year deal with independent energy firm SmartestEnergy could be worth more than £50million over its lifetime, it was announced yesterday.
The agreement is also expected to secure the long-term revenues needed to prove the commercial viability of the project, while highlighting the potential of tidal energy.
It comes just weeks after Atlantis Resources, Edinburgh-based MeyGen’s parent, revealed it had secured a £51million-plus funding package to take the project forward.
Under a first phase, four 1.5 megawatt (MW) turbines will be installed on the seabed.
Eventually the scheme could have up to 269 turbines, generating enough power for an estimated 175,000 homes.
MeyGen chief executive Dan Pearson said the SmartestEnergy deal was an important step forward for the company and its backers.
He added: “SmartestEnergy is a key player in the independent generation sector in Scotland.
“We were delighted to be able to work with the company’s team here to finalise this agreement.”
Iain Robertson, Glasgow-based generation sales manager for SmartestEnergy, said: “This is a landmark deal for the marine renewables sector in Scotland and underlines the commercial potential of the industry that developers are now starting to exploit.”
Construction work for the scheme is expected to start before the end of this year.
First power to the grid and revenues are anticipated in the first half of 2016.
SmartestEnergy has offices in London, Ipswich and Glasgow. It buys electricity from more than 150 renewable-energy projects in Scotland.
These include the European Marine Energy Centre, in Orkney.
Welcoming the tie-up between MeyGen and SmartestEnergy, Energy Minister Fergus Ewing said it highlighted Scotland’s “huge energy potential”.
Recommended for you
