Funding has been secured for a new £350 million manufacturing plant in the Highlands.
Japan-based Sumitomo has committed to building the high voltage cable plant after a cash injection of £24.5m was approved by the Scottish Government.
The new factory is expected to create around 330 jobs over the next 10 years. 265 of which will be in the Highlands, with 156 “well paid manufacturing jobs on site”.
Plans for the 57,000 sq m factory at Pitcalzean, adjacent to the Port of Nigg in the Cromarty Firth, were approved last month.
The facility will produce high voltage cables for offshore wind projects.
Boost for local economy
Being built by Sumitomo Electric, a subsidiary of the conglomerate, the project is expected to reduce lead times for the supply of those cables and strengthen energy security.
The company said it was looking forward to “actively contributing to the local economy”.
Plans were first agreed last year when former energy secretary Neil Gray met with Sumitomo Electric in Osaka.
The funding package has been agreed by Scottish Government, supplying £19.37m, Highlands and Islands Enterprise (£4.6m) and Scottish Enterprise (£530,000).
Mairi McAllan, energy secretary, said: “This major investment in the Highlands will support the delivery of the First Minister’s flagship commitment of up to £500m over five years to anchor our offshore wind supply chain and create good, green jobs.
“The Nigg project is a significant milestone in bringing the infrastructure and manufacturing facilities critical to the growth of our world-leading offshore wind sector – and an important step towards our vision for Scotland’s net zero economy.”
Move towards net zero ambitions
The Scottish Government wants to achieve “net zero” emissions by 2045 and needs to rely on natural resources such as wind to meet the target.
Yasuyuki Shibata, chairman of Sumitomo Electric UK Power Cables, said: “Establishment of a Sumitomo cable making facility, producing state of the art cable, in the United Kingdom, specifically Scotland and the Highlands, is testament to the support received from all stakeholders involved in the project.
“We are particularly thankful for the backing received from the UK and Scottish governments, Highlands and Islands Enterprise and Scottish Development International in this venture – Sumitomo’s first cable manufacturing facility located in the western hemisphere.
“We look forward to actively contributing to the local economy, through direct and indirect job creation, and to becoming an integral and active member of the Highland community.
“Product from our factory will not only be of the highest quality but will form a vital contribution to the supply chain, as Scotland and the UK deliver their net zero energy ambitions.”