Freeport bid win could see Highlands as base for green hydrogen hub

By Kara Kennedy

THE Highlands could be at the centre of large-scale production of green hydrogen if the Cromarty Firth wins Green Freeport status, operators have said.

ScottishPower and Storegga have expressed their support for the bid, which organisers say could attract more than £1 billion investment to the area and create thousands of jobs.

The status will also allow operators and businesses in the zone to benefit from a package of tax and other incentives.

Joint developers ScottishPower and Storegga recently announced plans to develop the UK’s largest green hydrogen electrolyser plant on the Cromarty Firth.

The project’s initial phase would see the facility produce up to 50 megawatts (MW) of green hydrogen to be used in heating processes in nearby whisky distilleries.

The green hydrogen developers said Green Freeport status would have the potential to bring forward more than £1 billion in investment through a larger-scale plant in up to 10 years, and would place the Highlands firmly at the centre of future large-scale production of green hydrogen.

The region’s enormous growth potential of offshore wind is critical to the industry’s development.

Andrew Brown, Head of Hydrogen at Storegga said: “Green Freeport status for Inverness and the Cromarty Firth could bring forward investment of more than £1billion and help secure the UK’s position as a global leader and leading exporter of this clean fuel alternative.”

“We have big ambitions for our planned green hydrogen facility on the Cromarty Firth and we welcome any developments that could help fast-track both the switch to this green fuel at home, and grow an export market that will help create a clean energy future.”

ScottishPower and Storegga’s first electrolyser plant on the Cromarty Firth, capable of producing up to 20 tonnes of green hydrogen a day, is expected to be operational in 2024 and will be the largest electrolyser in the UK.

It has been planned with a view to a series of modular expansions that would increase its output from 30MW to 300MW, and beyond, offering potential applications for local manufacturing, food production and industrial heating.

Port of Cromarty Firth chief executive, Bob Buskie, said: “These leading projects demonstrate the enormous potential of Scotland’s rapidly developing green hydrogen industry and place the Cromarty Firth and the Highlands at the heart of that clean energy revolution.”

The other four confirmed bidders include Clyde Green Freeport, promoted by Peel Ports, which takes in Glasgow Airport and the Mossend Railhead in North Lanarkshire. On the east coast, the Firth of Forth Green Freeport plan straddles three councils, taking in Grangemouth, Leith and Rosyth in Fife.

The other two bidders are the Aberdeen City and Peterhead Green Freeport and the Orkney Green Freeport.

The Scottish scheme is being backed by £52 million from the Treasury.

The SNP initially refused to work with Westminster on freeports, which they said had been “tarnished” by association with smuggling, tax dodging, and bad pay and conditions.

After the UK pushed ahead with eight freeports in England one in Wales, the Scottish Government relented in return for the sites being“green freeports”.

Extra safeguards in Scotland include all operators required to adopt fair work practices, including union recognition, the real living wage and no zero hour contracts. The sites must also contribute to Scotland’s pursuit of net zero carbon emissions.

CREDIT: Alan Simpson