Building a second harbour in Aberdeen would generate an extra £1billion for the Scottish economy every year – and create 3,000 north-east jobs.
Scottish Enterprise said last night that Aberdeen Harbour Board’s £320million plan to expand into Nigg Bay had a “critical role” to play in the future of Scotland.
An independent study commissioned by the economic body reveals that the expansion – which has just been named one of 14 projects considered of national importance by the Scottish Government – would double the current £1billion economic contribution the port makes.
The huge scheme, which harbour bosses hope to complete by 2022, will be aimed at the subsea and decommissioning sectors, as well as the burgeoning renewables markets.
But it requires a huge amount of both public and private-sector investment. The harbour board is currently consulting on increasing charges for port users, a move that would both generate extra income and allow the harbour to borrow more money for the scheme.
Board chief executive Colin Parker admitted last night that the project was a risk – but said the huge financial prize on offer made it a risk worth taking.
He also warned that failure to expand the port could lead to millions of pounds’ worth of business migrating to Norway.
“The harbour at present is operating at near capacity,” he said.
“Over the past few years we have experienced increased demand from our customers and have developed, as far as possible, the existing infrastructure of the port.
“It is clear that additional capacity is required to retain this activity, and avoid losing this work to our overseas competitors, whilst also taking advantage of new opportunities in the subsea, cruise and renewable energy markets.
“That the development at Nigg Bay provides such benefits to the national economy only strengthens our belief in the far-reaching value of the project for all concerned”.
The independent report – Economic Impact of Aberdeen Harbour Nigg Bay Development, commissioned by Scottish Enterprise and produced by Biggar Economics – studies the impact of a potential second harbour being constructed in Nigg Bay.
It estimates that, under a full development scenario – which includes upgrading the road infrastructure around Nigg Bay and in particular an improved coastal road linking through to the Aberdeen Western Peripheral Route (AWPR) – Aberdeen harbour, as a whole, would contribute £2billion a year to the Scottish economy and support 15,000 jobs, an increase of 30% on the port’s current impact.
The port would contribute an additional £500million directly to Aberdeen city and shire out of this total.
The report says failure to expand the harbour would lead to a decrease of £500million a year to the Scottish economy by 2034, an outcome largely attributed to likely increased competition from abroad.
Mr Parker added: “We are delighted that our project is being recognised for its full worth, both independently and by the Scottish Government.”
Scottish Enterprise energy sector portfolio director Maggie McGinlay said: “Aberdeen harbour is one of Europe’s leading marine support centres for offshore energy and makes a significant contribution to the Scottish Economy. Aberdeen Harbour links with over 40 countries across the world and plays a critical role in supporting Scotland’s oil and gas sector.
“The results of this research show that any additional capacity at the port would further support the oil and gas industry supply chain, ensuring there is a long-term vibrant sector anchored in Scotland.”
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