Sturgeon grilled on stalled launch of public energy agency

Nicola Sturgeon has admitted that Scotland has not done “well enough” to harness the economic benefits of the country’s renewable energy boom after being pressed to deliver her party’s manifesto pledge to establish a public power company.

During First Minister’s Question Time in the Holyrood Parliament yesterday (3 June), Scottish Green Party co-leader Lorna Slater asked when the Scottish National Party (SNP) will implement its long-standing commitment to establish a public energy company north of the border.

Sturgeon announced in 2017 that the Scottish government would explore setting up a new publicly-owned company to provide low-cost renewable energy to customers. A strategic outline case for the company was published in April 2018.

However, in its manifesto for last month’s Scottish Parliament elections, the SNP revealed that work on the planned company had been ‘halted’ during the pandemic.

Instead, it said a SNP government will “re-focus” its efforts on establishing a public energy agency for Scotland with a remit to co-ordinate and accelerate the delivery of decarbonised heat and energy efficiency work.

While pointing to Scottish government efforts to maximise support for a post-pandemic green recovery, Sturgeon acknowledged that it could do more.

She said: “Scotland is a world leader in renewable energy. However, we need to do much more in terms of generating energy and ensuring that we properly seize the economic benefits that come from that. Candidly speaking, we have not done well enough in that area. There is a lot of work to be done here.”

Sturgeon added that the Scottish government’s scope to invest is constrained by spending decisions made in Whitehall.

Slater, who worked as an engineer in the renewable energy sector before entering the Scottish Parliament, said: “Tidal energy technology was developed in Scotland. We are the world experts in it but, if we do not act now, we will lose that industry to other countries.”

Earlier this week, the Scottish Parliament voted to back for a major increase in public investment in Scotland and across the UK to secure a green economic recovery.

The exchange in the Scottish Parliament follows the publication of an analysis by the TUC on Wednesday, which shows that the UK government is spending less on green recovery measures than any other G7 country, bar Japan.