Chinese firm's Highland port plans blocked by UK government

Chinese firm’s Highland port plans blocked by UK government

7 hours ago

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Steven McKenzie,Highlands and Islands reporterand

Iain Macinnes,BBC Scotland News

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HIE

Ardersier Port is a former oil and gas fabrication yard being redeveloped for the renewable industry

Chinese renewable energy company Ming Yang said its plans to open the UK’s largest wind turbine manufacturing plant in the Highlands have been blocked by the UK government.

Ming Yang had proposed its £1.5bn facility for Ardersier Port near Nairn.

In a statement it said it was disappointed by the decision but would continue to “engage constructively” with the UK government.

The UK government said the turbines from the facility would not be suitable for UK offshore wind projects and it could not support their use.

But the Scottish government criticised the time it took to reach a decision and warned it would have “far-reaching consequences”.

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In January, the UK government said it expected to decide “soon” whether to approve Ming Yang’s project.

Trade Minister Sir Chris Bryant said the government had to be sure the investment in the port was “safe and secure”.

Bryant told the BBC’s Radio Scotland Breakfast programme the UK had to be “clear eyed” about its relationship with China and challenge it on issues such as human rights.

Ming Yang announced its plans last year for the plant and creation of 1,500 jobs.

A company spokesperson told BBC Scotland News: “We are disappointed by the UK government’s decision not to allow Ming Yang’s world-leading technology to be used.”

They said the decision missed a “significant opportunity” to increase competition in the wind turbine market and the creation of up to 1,500 jobs.

The spokesperson also claimed the move risked energy prices staying higher for longer for British households and industry at a time of global energy shocks.

They added: "We will continue to engage constructively with the UK government, including on the important topic of national security, and remain committed to supporting the UK’s mission to become a clean energy superpower.

“We continue to believe in the long-term potential of the UK market, and our planned activities remain unchanged.”

‘We welcome investment from China’

The UK government said the renewable industry had sought is view on the use of the proposed turbines in British waters and energy system.

A spokesperson said: "After careful consideration, government’s view is that we cannot support the use of them in UK offshore wind projects.

“We will always act to protect our national security, and we are committed to strengthening and prioritising resilient and sustainable offshore wind supply chains.”

They added: "We welcome investment from China where it’s in our national interest - as demonstrated by significant inward investment during the prime minister’s recent visit to Beijing.

“We will continue to take a consistent, long term and strategic approach to our relationship with China - cooperating where we can, whilst never compromising on security and resilience.”

Scotland’s Deputy First Minister Kate Forbes said national security was important and must be respected.

But she added that it was “regrettable” the UK government had not explained precisely what the problem was with Ming Yang.

Forbes said: "This decision has been sitting on the desks of UK government ministers for over 18 months - their dithering will have far-reaching consequences that, once again, will be left for Scotland to deal with.

“That is simply sabotage of Scotland’s industrial future.”

Green freeport

Ardersier is a former oil and gas fabrication yard near Inverness.

In the 1970s the McDermott Yard opened at the location on the Moray Firth for the fabrication and construction of offshore platforms for the then newly-established North Sea gas and oil industry.

At its height the yard employed about 4,500 people but it closed in 2001 as demand dropped.

The 450-acre (182ha) site is being redeveloped and forms part of the Inverness and Cromarty Firth Green Freeport.

Earlier this week, public body Highlands and Islands Enterprise (HIE) approved more than £3m to support development of the site.

Highland port secures £100m loan from government-backed banks

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Ardersier

Nairn

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