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Danish fund manager gets behind Cromarty Firth green freeport bid

Port of Nigg.
Port of Nigg.

A Danish fund management company is the latest partner to get on board with the Opportunity Cromarty Firth (OCF) green freeport bid.

Copenhagen Infrastructure Partners (CIP), whose investments are focused on focused on green energy infrastructure, said it recognised the potential for a freeport in the Cromarty Firth to accelerate the roll out of fixed and floating offshore wind in the UK.

CIP partner Michael Hannibal said: “CIP also recognises the Cromarty Firth’s strategic position, as identified in the Scottish Offshore Wind Energy Council (Sowec) Strategic Investment Assessment.”

‘Prime location’

The industry-led Sowec assessment identified the firth as the prime location for the formation of an offshore wind port cluster to deliver a huge economic boost to Scotland.

Sowec cited the strategic location, current and future manufacturing capabilities, and marshalling and assembly capacity, saying the firth is best placed to absorb a massive increase in the volume of work created by rapid expansion in the offshore wind sector.

CIP is a former partner in the 588-megawatt (MW) Beatrice offshore wind farm in the outer Moray Firth. It sold its 35% stake in the 84-turbine development last year.

Current projects backed by the fund manager include the 100MW Pentland wind farm being built off the coast of Dounreay, in Caithness. On completion in 2026, Pentland be the world’s largest floating offshore wind farm.

CIP also secured rights in the ScotWind leasing round for a 2.8 gigawatt floating site in the E1 zone off the east coast in collaboration with SSE Renewables and Marubeni.

Port of Cromarty Firth.

Mr Hannibal said: “Projects such as Pentland and ScotWind, along with those from future leasing rounds are highly likely to use the facilities in the Cromarty Firth.

“The area hosts several leading supply chain companies, as well as a locally skilled workforce and world-class port facilities. Therefore, the location is ideally suited for supporting manufacturing, assembly, installation and operations, and maintenance activities for these projects.”

He added: “Establishment of a free trade zone in the area as proposed by Opportunity Cromarty Firth would encourage such projects to utilise these facilities to their highest potential.

“This in turn will provide significant benefit to accelerating the roll out of fixed and floating offshore wind in the UK, providing more encouragement to sustain and grow the local manufacturing base, along with safeguarding the success achieved to date in the assembly and marshalling of components.”

Port of Nigg.

The OCF consortium, launched in 2020, includes the ports of Cromarty Firth, Nigg and Inverness, as well as the Highlands’ main air terminal and Inverness Airport Business Park.

It is backed by Inverness Chamber of Commerce and more than a dozen businesses, along with public sector organisations including the Highland Council and the University of the Highlands and Islands.

The consortium submitted its bid for a green freeport to the Scottish and UK governments last month and the results are expected at the end of the summer.

The Port of Inverness is also a key player in the OCF consortium.

Who are the Scottish green freeport runners and riders?

Five areas have made bids to become green freeports under a scheme agreed by the Scottish and UK governments, but only two will win.

The North East Scotland Green Freeport (NESGF) group is backing a bid in Aberdeen and Peterhead. Led by Port of Aberdeen, Peterhead Port Authority and Aberdeen International Airport, with support from the region’s two local authorities, the consortium has estimated a successful bid will create 30,000 jobs in the north-east.

Orkney Council has also thrown its hat into the ring for an Orkney Green Freeport.

There are two further bids in the central belt, Firth of Forth Green Freeport and Clyde Green Freeport.

What is a green freeport?

A green freeport is a large zoned area within a defined boundary extending around 28 miles which includes rail, sea or an airport.

Operators and businesses in the zone can benefit from a package of tax and other incentives, with supporters saying these fuel economic growth.

The concept has attracted support from across the political spectrum – apart from Greens, who do not back green freeports.

Nort-east Green MSP Maggie Chapman has claimed it’s all just a “greenwashed Brexit project”.

READ: Why Green freeport for Inverness and Cromarty Firth would be pivotal for entire UK – Jim Smith

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