Energy North Summer 2013 Newsletter by Dyan Berry

.co.uk

ENERGYNORTH ISSUE 20, Summer 2013

Lochboisdale Regeneration Project Page 6

Caithness Chamber Funds Retraining for Subsea Sector at The Underwater Centre

Inverness College UHI Rises to Energy Skills Challenge

HWEnergy Praises Ofgem for Positive Response to Industry Issue

Caithness man Kevin Macleod (30) has secured a job in the subsea industry just weeks after completing his training at Fort William based facility, The Underwater Centre, thanks to funding from Caithness Chamber of Commerce. Page 3

Inverness College UHI’s engineering and technology department is entering an exciting period of growth and development as a result of the energy industry and supply chain’s ever increasing demand for skilled workers. Page 4

ENERGYNORTH

Summer 2013

This Issue... We’ve also held several successful events including a supply chain conference in Elgin during April and ‘Meet Energy North’ events in Aberdeen City and Shire. These events provided an excellent opportunity for attendees to find out more about our services, meet with major developers and hear about upcoming supply chain opportunities. We’ve also spent some time lining up future meetings with the National Grid as well as with ministers at both Holyrood and Westminster. These are now in the diary for May and November. We will be discussing members’ concerns with all parties and we look forward to sharing outcomes with you in due course. Looking at the pages in front of me, this latest edition of the Energy North newsletter is yet again packed with success stories, advice, project updates and case studies from our members, highlighting the breadth of services, skills and experience that exists within the North of Scotland’s energy industry and supply chain.

Chief Executive Ian Couper At long last summer is on our doorstep, creating the perfect opportunity for us all to enjoy the sunshine and reflect on the cold spring months which are now behind us. So far 2013 has been a very busy year for Energy North. We’ve already completed the first round of regional members meetings, and these have provided a vital platform for us to hear about the major issues affecting our members as they pursue opportunities to develop their services and grow their businesses.

I would like to take this opportunity to urge you to share your copy with colleagues, clients and visitors - we have so much to celebrate, so it’s about time we started spreading the good news! All members are welcome to submit stories to the newsletter, so please take advantage of this quarterly opportunity. Finally, I would also like to remind all members to ensure they make the most of their membership by remembering to update their profiles and keep an eye on the latest news in the IGNITE project database. It is, after all, where opportunity knocks.

Contents 3 3 3 4 4 5 5

Caithness Chamber Funds Retraining for Subsea Sector at The Underwater Centre Strong Start to 2013 for Subsea UK Aiken Group Growth Continues With £9 Million Deal Inverness College UHI Rises to Energy Skills Challenge North Highland College UHI Apprentices Gain Maritime Qualification HWEnergy Praises Ofgem for Positive Response to Industry Issue Opus Celebrates 20 Years by Launching New Global Expansion Plan

6 7 7 7 8 9 9

Lochboisdale Regeneration Project Lerwick Harbour’s Continuing Hub Role In Project Support Update on Stornoway Wind Farm from AMEC Pelamis Selected for £1.4M Eti Wave Power Project Industry Leaders – David Bone, Harper Macleod Local Children’s Charity Benefits from Safe work Practices Energy Institute to Collaborate With G9 on Health and Safety Programme

Scottish Training Providers Launch Global Portal

10 Data Capture: The Key to Successful 10 11 11 12 12

Supply Chain Development in Scotland Atmos Reinforces Message About Taking Early Advice Orion Group Appoints Gary Benson Harper Macleod Lawyers Named Energy Team of the Year Wanted: Employers Passionate About Skills Political News Headlines

Issue 20

Caithness Chamber Funds Retraining for Subsea Sector at The Underwater Centre Caithness man Kevin Macleod (30) has secured a job in the subsea industry just weeks after completing his training at Fort William based facility, The Underwater Centre, thanks to funding from Caithness Chamber of Commerce. Kevin, who worked with Johnson Controls at Dounreay until recently, has been taken on as an apprentice ROV pilot technician with Fugro, one of the world’s largest ROV operators, after completing the Centre’s three week ROV pilot technician course. His career change was facilitated by the ‘Make the Right Connections’ project, which aims to assist local individuals and businesses to make the transition into new and emerging jobs and markets, boosting skills and retaining jobs in the local area. Led by Caithness Chamber of Commerce, the scheme is jointly funded by the European Social Fund (ESF), the Nuclear Decommissioning Authority (NDA), Dounreay Site Restoration Ltd (DSRL) and Skills Development Scotland (SDS).

Strong Start to 2013 for Subsea UK In just three months Subsea UK has supported over 100 UK members to promote their business across three major continents as part of its goal to help more UK companies increase their share of the fast growing global subsea market.

Kevin said: “With the rundown and decommissioning of the Dounreay nuclear site and the offshore energy sector on the way up, it seemed like a natural progression for me to pursue a career which would involve some of the skills which I had learned in my time working at Dounreay.

employees have been sent to the Centre for ROV pilot and technician training since 2007.

“Moving from the nuclear industry into the oil and gas sector was a big decision as it is a completely new role, but I am hopeful that I can adapt to the new scope of work and make the most of this opportunity.”

available for re-training will come as a welcome bonus for many who may not have had the financial backing to make it possible otherwise.

Steve Ham, general manager at The Underwater Centre, added: “The Dounreay nuclear site has been an incredibly important employer in the area and the ongoing “The training offered at The Underwater decommissioning will lead to a lot Centre was of a very high standard and of skilled personnel looking for alternative careers. I hope that my time spent there will help me in my new career. “The funding which is being made

Fugro and The Underwater Centre have a long-standing partnership in place and more than 200 Fugro In February, Subsea UK accompanied members BPP-TECH, OMS, Inspectahire, Bibby Offshore and JDR Cables to Perth, Western Australia, for the annual Australasia Oil & Gas (AOG) exhibition. The largest of its kind in the region, AOG attracted over 450 exhibitors from 20 countries, providing the perfect platform for the British-based firms to engage with international delegates.

Between January and April the organisation arranged several high profile trade delegations to North and South America and Australia, all coinciding with major industry exhibitions and conferences.

Strengthening the case for utilising British skills and experience in the global market, Subsea UK also took the opportunity to meet with the Chamber of Commerce in Western Australia to look at “match-making” UK companies with a local partner to improve access to the Australian market.

Aiken Group Growth Continues With £9 Million Deal

upgrades, refurbishments and newbuilds worldwide, the company employs more than 70 staff at its Aberdeen headquarters, plus more than 120 contractors worldwide.

Aberdeen-based Aiken Group is on track to report record turnover after securing several contracts amounting to £9 million over the last six months.

With all divisions of the business continuing to experience increased demand for their products and services, the company has also added seven new staff to the team in recent months with further new faces expected to join the ranks during 2013.

A leading multi-disciplined company specialising in accommodation

“Kevin is a great example of how this type of scheme is working, having already started in his new job in the industry as a result of the training provided here at The Underwater Centre.” In addition, Subsea UK led a UKTI supported delegation to Subsea Tieback in Texas in March. The group comprised Bowtech Products, Bibby Offshore, Teijin Aramid, Cansco Subsea and Litremeter, alongside a further 35 international members. Later that month, Subsea UK partnered again with UKTI on a 50-member strong trade mission to Brazil, leading visits to international companies operating in the region including Statoil, FMC, Subsea 7, Aker Solutions and Oceaneering. Accompanying the delegation was Secretary of State for Scotland, Michael Moore MP who addressed delegates alongside Brazilian Energy Minister Edison Lobao.

Managing director Danny Donald, the driving force behind Aiken Group’s recent growth, said: “Having the right people working with us has been a key factor in creating the right formula to meet the needs of our growing client base. However, it is of the utmost important to us that quality does not suffer due to growth and we remain committed to providing a quality service”.

ENERGYNORTH

Inverness College UHI Rises to Energy Skills Challenge Inverness College UHI’s engineering and technology department is entering an exciting period of growth and development as a result of the energy industry and supply chain’s ever increasing demand for skilled workers. With increasing admissions at both HNC and HND level for civil, electrical and mechanical engineering as well as architectural technology and quantity surveying, the department is building an excellent reputation as a leading industry training provider. Employers have commended the College’s BEng in electrical and mechanical engineering in particular, for its breadth of training and relevance. Building on its status, the department intends to add to its already extensive course offering. Currently available as a one year foundation degree programme, the College plans to develop its electrical power engineering course into a full-time three year degree programme delivered for employees and full time students. As part of its development the department is asking employers to share their views on whether the degree course and its delivery model is of interest to them. The College is also considering how it can develop further training models and programmes following the successful completion of its award winning Transmission Construction Programme with SSE in December 2012. SSE approached the College in February last year about setting up and running a bespoke 12 week training programme aimed at 16-19 year olds not in education or employment.

Upon completion, over 85% of course candidates went on to find employment with SSE and other businesses. With the skills requirements of the energy industry and its supply chain growing in complexity, Inverness College UHI’s engineering and technology department is ideally placed to collaborate with employers in this way to provide both general and specialist training for their workforce. By working together, the employer, the College and ultimately the industry benefits, as students and trainees gain knowledge, skills and experience that is current, relevant and fit for purpose as well as being accredited by a respected academic institution. Such benefits are already apparent to the employers of the College’s many engineering and technology apprentices. Course leaders build strong relationships with employers to ensure their needs are met, and this has translated into growing apprentice numbers. Moreover, as talent becomes more and more valuable in an industry which depends on innovation and invention, the department is ambitious to develop more advanced training and degree programmes for more experienced tradespeople and engineers. With this ambition in mind, the department has recently secured

significant funding for a new centre for engineering and technology skills. The funding will facilitate the purchase of new state-of-the-art engineering apparatus which will significantly enhance the current curriculum. It will also fund the employment of an educational technologist who will support College staff with the development and delivery of advanced teaching methods. The centre will complement the College’s well established SEAM Centre, an award winning training, information and research facility for sustainable energy and micro-renewables. It is experiencing a strong demand for courses in micro-renewables from businesses, tradespeople and homeowners as interest and investment in domestic renewable technologies continues to grow. This year the Centre will be offering upgraded solar and heat pump installation courses, which will incorporate more system design aspects. Furthermore, the SEAM Centre is linking with a number of local renewable energy businesses to progress several research projects which will provide the independent data required to fill gaps in the information currently available on small-scale renewable energy systems.

North Highland College UHI Apprentices Gain Maritime Qualification A group of engineering apprentices from North Highland College UHI’s new ETEC facility in Thurso visited Orkney College UHI’s Maritime Studies department recently to undertake marine renewables safety training. The weeklong course formed part of a suite of training designed to give non-sea faring engineers marine renewables safety knowledge and qualifications. Mark Shiner, maritime studies lecturer at Orkney College UHI, said: “There is an increasing demand in the renewables sector for technicians and engineers to be readily equipped with marine renewables knowledge and qualifications. As a result there is a growing need for specialist training courses.

“These North Highland College UHI students will benefit by having a qualification in Marine Renewables under their belts when they complete their apprenticeships.” Alan Ogg, assistant director at North Highland College UHI, said “The importance of the Pentland Firth and the growing renewable energy industry to both Orkney and Caithness means a highly skilled workforce with the relevant engineering and safety qualifications is imperative. Forging links between the two colleges is important to ensure that this workforce is available to meet needs of this industry. This collaborative arrangement also means that we keep both the training and workforce local.”

Issue 20

HWEnergy Praises Ofgem for Positive Response to Industry Issue

Opus Celebrates 20 Years by Launching New Global Expansion Plan Specialist oil and gas firm Opus has embarked on an ambitious global expansion programme as it celebrates 20 years of operation this month (May 2013).

Fort William-based HWEnergy, Scotland’s first biomass heating specialist, has praised Ofgem for its response to concerns raised by the regulator’s interpretation of the Renewable Heat Incentive (RHI) Tier 1 calculation for complex district heating schemes Issues surrounding Ofgem’s interpretation came to HWEnergy’s attention when the company noted that the calculation of the small to medium biomass Tier 1 threshold was at odds with the information circulated by the Department of Energy and Climate Change (DECC) in 2011. Stuart Reid, Head of Marketing and Business Development at HWEnergy, said: “We quickly realised that the Ofgem interpretation differed from what the industry was expecting and that under this calculation RHI income could be significantly lower than expected, in some cases equating to more than 15% less than anticipated. “This naturally raised concerns for our customer about the viability of biomass heating projects already underway and about their ability to meet the financial commitments they had taken on. Because of this we felt was our duty to communicate their concerns back to Ofgem as part of an industry wide campaign to get this changed. “As a result, the organisation has now updated its interpretation to reflect that the biomass Tier 1 threshold will only be crossed when eligible heat output, rather than heat generated by the installation, has exceeded the threshold. “This is extremely good news, not only for our customers but for the biomass heating industry as

a whole and instils a great deal of confidence for the future. Ofgem is to be praised for its responsiveness and positive approach to addressing this issue.” 2013 marks the 10th year in business for biomass heating specialist HWEnergy. In this time the company has grown from just two members of staff to 50, covering all aspects of biomass heating from design and installation through to ongoing operation and fuel supply. This includes the establishment of a highly skilled inhouse engineering design team – the largest of its kind in Scotland – who are solely focused on delivering biomass heating solutions. The company has also recently expanded its offering geographically through a partnership with Pennine Biomass Ltd. This will see customers across Northern England benefit from HWEnergy’s experience in delivering complete biomass heat solutions covering financing, design, build, operation and fuel supply for non-domestic properties. Since setting up in 2003 HWEnergy has also made a significant environmental impact - with an impressive 200 commercial scale projects completed, the company has been responsible for saving more than 18,600 tonnes of CO2 per year.

Currently adding a clutch of new jobs to meet burgeoning demand and underpin the growth strategy, Opus is aiming to double turnover from its oil and water separation activity and environmental services. With a newly-created network of agents in key markets from Australia to the Middle and Far East, the company is also targeting consultancy opportunities among American companies eyeing North Sea opportunities. To further boost its competitive strength, it is now adding nine more engineering, chemistry, managerial and other posts to its Orkney test facility and Surrey headquarters, bringing total employment to around 50. Opus specialises in separation processes and equipment for produced water, a by-product of offshore oil production, as well as value-adding solutions for the industry, including fluids analysis, process upgrades and specialist environmental testing and monitoring. Opus will now build on recent consultancy and technology supply contracts won from leading firms including Apache, Talisman, Enquest, and Maersk Oil for projects in Australia, Qatar and the North Sea. This includes harnessing its reputation for ecotoxicology excellence to address interest from American companies in environmental compliance testing required to enter the North Sea market. Orkney-based Director of Strategic Operations Glen McLellan said: “Opus is building up an enviable reputation for its specialist expertise and technologies and we want to capitalise on that and expand the workforce and our global reach to keep pace with our ambitions.”

HWEnergy has regional installation teams and service engineers based throughout Scotland.

ENERGYNORTH

Lochboisdale Regeneration Project A key project in terms of the economic, social and community benefit it could generate for the Outer Hebrides, the Lochboisdale regeneration project aims to remove barriers to economic growth, increase economic activity, grow the population and strengthen unity within the community. This will in turn lead to raised GDP, increased average wages and reduced out-migration.

With construction now underway, the Lochboisdale regeneration project is expected to reach completion by January 2015, ready to accept leisure sailing and fishing boats the following month. Kirsty Campbell, development manager at Storas Uibhist, said: “Work began in earnest back in 2009 to secure the permissions, funding and designs required to realise this ambitious project, so we’re delighted to have a completion date in sight. The project will deliver a new road and causeways linking Lochboisdale village to Gasay Island, which will become a commercial development site benefiting from internal access roads within the harbour area, on site parking and a toilet/shower facility to serve the pontoons. A fisheries pier will also be created with 50 berths for leisure sailing and fishing boats, as well as a 60 metre long quay for unloading, complete with an eight metre wide slipway. “The pontoons will serve vessels of various sizes. The plans include nine 15m yacht berths, twelve 12 metre yacht berths, 10 small boat berths and 20 fishing berths with illuminated bollards and power and water outlets. “The project also includes the installation of two new breakwaters which are required to protect the harbour area from the external wave environment.” To capitalise on the community benefits associated with the

Lochboisdale regeneration project, allowances have been made for 24 residential properties at Rubha Bhuilt. To attract economic activity and employment opportunities, industrial and commercial units at Gasaidh have also been included in the plans as well as the excavation of an additional slot in the seabed, which will enable access for future boat lift accepting vessels up to 15m in length. In addition, the project has secured funding for a business development manager, who will work with the community and local businesses to secure tenants for the commercial development, encourage the establishment of new businesses, grow visitor numbers, and improve the look and attraction of the village. The project has secured finance from several partners including Highlands and Islands Enterprise, the Big Lottery Fund, European Regional Development Funds, and Comhairle nan Eilean Siar. Lochboisdale Development Limited (LDL) is contributing £800k by way of a long term loan agreement with Comhairle nan Eilean siar. Working closely with LDL, representatives from HIE and Comhairle nan Eilean siar form part of the project team to oversee its progress and provide additional resources and support with activities such as procurement. Kirsty Campbell added: “This strategic investment project is a deeply rooted aspiration of the whole community

and we believe it will deliver real and lasting impact and improvement to the lives of all those within it. “First of all, the working age population will prosper as a result of increased access to jobs and wider diversity in job opportunities. There is clear potential for at least six new local businesses as both access to market and footfall increase, and new and existing businesses will become more sustainable and attractive as environmental improvements progress. “This will also encourage more people to settle in the area, and the provision of plots for more than 20 new homes is key to making this happen. “Secondly, local fisheries boat owners will have safer working conditions as a result of the new sheltered berthing facilities. They will also benefit from improved productivity, the ability to add value to catches and the potential to develop additional services such as boat decontamination. Safer and improved access to enhanced shore side services will also help to attract more leisure boat users. “And finally, there is huge potential and scope to further expand the facility in the future to support commercial traffic from large cruise liners, cargo vessels and other users such as the offshore renewables industry”. For more information about the project, please contact Kirsty Campbell at kirsty.campbell@storasuibhist.com.

Issue 20

Lerwick Harbour’s Continuing Hub Role In Project Support Lerwick Harbour is continuing to fulfil a key hub role in servicing major onshore and offshore gas developments by operator Total E&P UK Limited. Various contractors are using the facility, including its extensive laydown areas and deep-water quays and anchorages, to support subsea installation work on the Laggan-Tormore fields, West of Shetland, as well as construction of the associated Shetland Gas Plant next to the Sullom Voe oil terminal. Lerwick Harbour is currently the location for Bibby Maritime’s refurbished 213-room floating accommodation coastel, Bibby Stockholm, Gas Plant modules due for shipment to Sullom Voe over coming months, and Subsea 7 vessels which are currently installing infrastructure for Laggan-Tormore. In addition, modules from Northern Ireland were delivered by the Arklow Moor for discharge at Dales Voe and onward

Update on Stornoway Wind Farm from AMEC The Stornoway Wind Farm 1.5km west of Stornoway on the Isle of Lewis will comprise 36 wind turbines built on land belonging to the Stornoway Trust. The project is critically important for the future of renewable energy in the Western Isles, supporting the delivery of a HVDC interconnector, which will

Pelamis selected for £1.4m ETI wave power project Pelamis Wave Power has been awarded a £1.4m by the Energy Technologies Institute (ETI) to deliver a project aimed at enhancing the cost-effectiveness of wave energy converter arrays in UK waters. The project will support the development of Pelamis Wave Power’s current design for offshore wave energy converters, which use the motion of waves to generate electricity. Pelamis was named project partner following an open call from ETI in September 2011 for developers

transportation to Brae where the new 100-bedroom Moorfield Hotel is being constructed. Developed by BDL Management, it will be partly occupied by workers at the new Shetland Gas Plant. Captain Calum Grains, Harbourmaster at Lerwick Port Authority, said: “Around 40 years after the harbour first supported field developments in the Northern North Sea, is it not only still servicing new projects like Total’s, it is looking forward to playing a growing and long-term contribution to a buoyant industry. “The involvement with Total and their contractors demonstrates the value of our proactive investment in deep-water infrastructure, a strategy we continue to follow and evolve to meet the industry’s changing requirements.” The Authority’s latest investment, a 75-metre deep-water quay extension at Greenhead, will be built this year, extending a 100-metre-plus quay which was brought into use ahead of schedule in early 2012 to support an offshore project.

enable future generations of wave and tidal projects to be realised. The proposed development is being undertaken by Lewis Wind Power Limited (LWP), a joint venture between engineering firm AMEC and EDF Energy. In September last year the Scottish Government granted planning permission to LWP for the £200 million wind farm which will generate up to 129.6MW (enough to power 60,000 homes) and have a lifespan of approximately 25 years.

with the experience and expertise to deliver cost improvements in wave power technology. Richard Yemm, commercial director at Pelamis Wave Power, said: “This wave power demonstration project will play a pivotal role in enabling the UK wave energy industry to prove its potential to be a major contributor in the UK’s future energy mix. The pedigree and track record of Pelamis’ technology provides an excellent foundation for this comprehensive and informed study. “The Pelamis team has been working with utility customers since 2005 to develop and prove the cornerstones of early commercial arrays. The ETI project will enable us to accelerate our technology and commercialisation

Photograph shows the Bibby Stockholm arriving at Lerwick Harbour. Photograph – John McMeechan

The project team is now working on discharging the planning conditions and waiting for National Grid to commit to the sub-sea interconnector, the case for which has been strengthened by the decision of the Scottish Government to give the wind farm its planning consent. The AMEC development team will be attending the All Energy Conference in Aberdeen in May and would be pleased to meet suppliers and interested parties to our stand in the AREG Pavillion (stand AB12).

programme to underpin investment in demonstration at commercial scale. The project will also define a clear and efficient route to cost convergence of the sector with other low carbon technologies. It will also give us the chance to look further ahead and will provide new and exciting insight into even more advanced Pelamis machines of the future”. The funding will support the first phase of work ahead of a larger demonstration programme should the results prove encouraging. During the first phase of the project, Pelamis will pursue a number of technology innovations to rapidly drive the costs of wave energy to a level that is equivalent to other more mature low carbon technologies. 7

ENERGYNORTH

Industry leaders – David Bone, Harper Macleod In this quarterly feature, Energy North speaks to the leaders of some of the region’s success stories to learn more about how the organisations have developed and the people behind them. We’ll also gain valuable insight into the highs and lows of doing business across the north of Scotland and give people the opportunity to stand on their soapbox. In this edition we hear from David Bone, Head of Harper Macleod’s Energy & Natural Resources team and one of Scotland’s leading renewable energy lawyers. David has worked in the energy sector for 20 years and advised on renewable projects totalling more than 1.8GW of installed generating capacity. Harper Macleod is one of Scotland’s leading law firms with offices in Inverness, Thurso, Glasgow and Edinburgh and was named Energy Team of the Year at the Scottish Legal Awards in 2011 and 2013.

What is the secret to your success?

What frustrates you about doing business in the North of Scotland?

I don’t think you can be successful at anything over a long period of time unless you are truly passionate about it, work very, very hard and have a great team working with you. Our team’s two main aims are to help Scotland achieve its renewable energy targets and to provide the best level of service we possibly can to the energy clients who entrust us with their transactions. We’re constantly driven to try harder and to really understand our clients’ businesses. I am constantly trying to grow our team, bringing in talented individuals with the right attitude and fit to continually make us better.

Planning still takes too long (not peculiar to the north), grid installation takes far too long (there are times when decision by consensus is useful and others when you just have to say, this is what we are going to do for the sake of a better future for our country and we’re going to get on with it; you cannot please all of the people all of the time) and grid transmission charging for the islands remains unfair.

What are the benefits of being based in the North of Scotland?

We will continue to be at the forefront of the ongoing energy revolution in Scotland. We work with many fantastic clients - including Forestry Commission Scotland, Community Energy Scotland, Fred. Olsen Renewables, E.ON Renewables, many community groups and individual landowners - and we see this continuing. Our team of 24 lawyers allow us to advise on every aspect of energy projects. Last year, specialist banking and crofting expertise was added and in March the firm added wave and tidal power expertise by bringing in Partner Steven Brown. Our search for talent will continue.

We have had an office in Inverness, where we host our annual Scottish Highland Renewable Energy Conference, since 2004 and recently opened an office in Thurso. These place us close to many of the major developments in renewable energy, not least the Pentland Firth with its wave and tidal capacity. Being part of the community lets us understand the issues which are important to the people and businesses of the North of Scotland. For instance, the planning and siting of wind farms poses different questions in the Highlands than in more densely populated areas. We work with major developers, community groups, farms, estates and crofters who are diversifying into renewables. People know and trust us.

What do you believe is key to growing the energy sector in the North of Scotland? Continued support from HIE, who have helped enormously over the last few years. An expansion of the off-shore wind and wave and tidal sectors, which will require continued government subsidy and private sector investment, coupled with a reduction in costs. Vibrant supply chain and manufacturing bases in the north of Scotland. And keeping the public on side – a recent YouGov poll showed the people in the Highlands were still strongly in favour of renewable energy but there is so 8

much mis-information that it is a constant campaign to get the positive messages across. Scotland has met every renewables’ target and it is now contributing significantly to our energy mix and yet some reports suggest we’d all be a lot better off if we had empty landscapes with no development, no manufacturing and all our energy being imported from overseas.

Where do you see Harper Macleod in the future?

What could the Scottish/UK government do better to support you? At no time have renewables been more important to Scotland and at no time has it been more important that the correct decisions are taken going forward. The Scottish Government has been resolute in its support of renewable energy policies, while strong opposition from within the Conservative Party and that party’s support for nuclear means there is a now much more of a differential between Holyrood and Westminster. The Scottish Government’s 2020 target of generating the equivalent of 100% of our electricity requirements from renewables will require support from both Westminster and Holyrood unless, of course, the Scottish people decide next year that they only require one of them. Harper Macleod will be exhibiting at stand L68 of the All Energy Conference in Aberdeen on 22&23 May.

Issue 20

Local Children’s Charity Benefits From Safe Work Practices Evanton based Serimax has raised almost £12,000 for a Highland children’s charity, the Crocus Child Bereavement Group, after meeting the requirements of a unique safety incentive scheme. Under the scheme, Serimax clients donated money each time Serimax achieved certain goals on a recent fabrication project in Norway. These included a range of Health, Safety, Environmental and Quality targets and project tasks which had to be completed efficiently and to a very high standard within a pre-determined timescale.

The Crocus Child Bereavement Group was formed in 1999 by professionals who identified that there was little support available for bereaved children in the Highlands.

The money Serimax raises throughout the year for local charities is controlled by staff through its social and charities committee. Mary Murray from the committee Kevin Kydd, Serimax’s Project Manager, said: “In addition to said: “This magnificent donation was only possible due to the standard of work and participation from the whole performing 75000+ man hours with no Health and Safety Serimax project team. Following the success of this incidents, an additional bonus was paid for achieving scheme, we are looking to engage more clients in similar a repair rate of less than 1%. This figure is a tight worthwhile initiatives in which our HSEQ performance can requirement on any project but we recorded a 0% repair have a positive impact on our local community.” rate throughout the entire project. The welding quality level was second to none and the focus on maximising the cash reward was taken very seriously by all staff.”

Energy Institute to Collaborate With G9 on Health and Safety Programme The Energy Institute (EI) and the G9 Offshore Wind Health and Safety Association have announced plans to collaborate on developing a programme of good practice and guidance on health and safety issues in the offshore wind industry. At the Renewables UK Health and Safety Conference in Sheffield, Iwan Tukalo, General Manager at Greater Gabbard Offshore Wind, spoke on behalf of Paul Smith, chairman of the G9 Board, and outlined its vision to create an offshore wind industry which delivers a world class health and safety performance across all of its activities. Mr Tukalo said: “G9 members aim to use their position as major operators to provide health and safety leadership and direction

across the offshore renewables sector. We will establish a network of company leaders, safety and health professionals and other major stakeholders to promote a strong, sustainable and continually improving health and safety culture resulting in cost effective solutions. “The G9 is delighted to be working with the Energy Institute to deliver these objectives. The Energy Institute’s independence and experience in this area will be essential to developing industry good practice for the benefit of wider society. The initial focus of our activity will be on four themes – marine operations, lifting operations, competency and training, and working at height.”

Martin Maeso CEnv MEI, Knowledge Director at the Energy Institute, said: “This new partnership brings together all relevant stakeholders to ensure a common approach and understanding of health and safety standards and good practice. Our role as an honest broker means we can engage with our broad membership and other interested parties to provide the most comprehensive guidance to support this growing industry.” Formed in 2012, the G9 Steering Group provides leadership on health and safety issues in the offshore wind industry. The G9 founding members are Centrica, DONG Energy, E.ON, RWE Innogy, Scottish Power Renewables, SSE, Statkraft, Statoil and Vattenfall.

Scottish Training Providers Launch Global Portal International Energy Skills and Training Alliance – iesta – has launched its new website www.iesta. co.uk, providing a global portal to the hub of Scottish energy training expertise.

Iesta is an alliance of specialist training providers collaboratively working to meet the specific needs of an ever changing dynamic industry, innovating to meet individual client requirements in the UK and abroad.

Building a global reputation for Scottish training and standards, iesta looks to increase its international activity and global brand awareness through its new online offering.

ENERGYNORTH

Data Capture: The Key to Successful Supply Chain Development in Scotland In 2012 RWE npower renewables (RWE NRL) received a top accolade for its contribution to supply chain development at the Scottish Green Energy Awards. The award recognises the company which has contributed most to the growth of Scotland’s renewables supply chain. In this article, Andrew Wrightson, Head of Procurement at RWE NRL, talks about its approach to supply chain development and how it could benefit local businesses in Scotland. “Since early 2010 RWE npower renewables has placed contracts in Scotland totalling around £125 million that have directly benefitted local companies. Our commitment to developing the ”local supply chain” saw over 75% of the civil works contract spend for the recently operational Novar 2 Wind Farm in Ross-shire go to businesses within 60 miles of the site. “During 2012, working collaboratively with Highlands & Islands Enterprise and Scottish Enterprise, we organised a programme of ‘Meet the Buyer’ events, targeting geographical areas rather than specific projects. A variety of companies, incorporating a wide range of skills, including development, construction, maintenance and operations, products and services, attended and discussed with our procurement and project teams how they could capitalise on, and position themselves effectively in, the overall supply chain for renewable energy construction projects. “Around 75-80% of attendees at these events went on to submit detailed information to us. While we have captured all of this data, it is not simply a directory of potential contractors that we keep on file. To enable us to capitalise

Atmos reinforces message about taking early advice Inverness-based environmental consultancy, Atmos Consulting, has strongly advised developers and contractors to plan ahead prior to the construction phase of any development. This follows recent news that two contractors’ attempts to build green energy projects caused massive pollution in a Scottish river. The two contractors caused irreversible damage to a large population of protected freshwater pearl mussels whilst working on a hydro-scheme in Perthshire. After receiving a fine totalling £11,000, the business is now in liquidation. Atmos Consulting has also called for developers and contractors to be mindful of the seasonal constraints relating to protected species and habitat.

on this information, RWE NRL’s Procurement Team has created an end-to-end Data Capture System. “Instead of just waiting for businesses to approach us when we have a job out to tender we are proactively identifying who is out there with appropriate skills. We are creating ‘localised’ databases of contractors who can tender for work either direct to RWE NRL or to our appointed main contractors during the operations phase of a project. “We will provide the appropriate database to our main contractors so they can readily identify local businesses which have the skills they need within the area where work is to be done. Clearly we cannot claim that being logged on our Data Capture System guarantees future work; but RWE NRL encourages the appointment of local companies to work on development projects wherever possible and where skills are appropriate. “The Data Capture System also serves another purpose. For our Novar 2 project we set about collecting data which helps us understand exactly how the money we spend flows into and down the local supply chain. The data captured at this stage will be used by RWE NRL to establish exactly how successful our principal contractors are in attracting local suppliers to bid for sub-contracts, how successful those businesses are in winning work and, in turn, exactly how much value flows into the regional supply chain. “For the first time we have hard evidence of the high percentage spend with local businesses during the construction of Novar 2, and RWE NRL is committed to similar data collection on all its future projects and to working with the main contractors on each project to ensure that the local supply chain benefits to the greatest extent possible.” If you would like to discuss how your business can position itself on RWE npower renewables’ supply chain please email renewablessuppliers@rwe.com

These often restrict survey windows, so work must be planned in advance to avoid potential prosecution, bad press, lengthy delays, and further expense. Matthew Hopkins, ecologist and regional director at Atmos, said: “This story highlights the importance of employing the services of a professional ecologist. By doing this, developers and contractors can be sure that habitats and species protected under UK and EU Legislation are taken into consideration prior to construction and that timely pre-construction surveys and legal compliance checks can be factored into the programme of works. “In addition, by having an ecologist on site prior to and during construction, they can implement and monitor any required mitigation measures, safeguarding the developer from infringement of wildlife legislation and potential prosecution.”

Issue 20

Orion Group Appoints Gary Benson as Chief Operating Officer for Americas & West Africa Orion Group, the UK’s leading independent manpower provider in the oil and gas sector, has named Gary Benson as its chief operating officer for the Americas and West Africa. Originally hailing from Invergordon, Gary is pleased to be returning to his home city where he is set to assume a dual role. As well as heading up a team of 25 people, Gary will maintain the company’s relationship with Exxon Mobil, as client account director. Past experience includes 14 years working overseas as a consultant for both Chevron and Exxon Mobil, based in North America, Australia and Asia. The North American and West African markets are of integral importance to the oil and gas sector and Orion Group. Orion’s offices in the respective regions turned over £105m in 2012 which amounted to 28% of the company’s annual turnover. Gary had this to say of his appointment: “The main thing that attracted me to Orion Group is its exemplary reputation within the industry. The company is known to have a happy and productive workforce so when I was offered the position I was delighted to accept.

“Orion is already well established in both regions so I’m looking forward to continuing the good work carried out by my predecessor. I’m particularly interested in the development potential of Brazil, one of the world’s fastest growing economies.” Orion Group chairman, Alan Savage, added: “We’re pleased to count Gary as one of our own. His considerable overseas experience will be a great asset to the company. “Orion Group is an international business and as we continue to grow we have to consolidate our position within the market. Appointing someone like Gary as COO in key regions like the Americas and West Africa is exactly the way to do that.”

Harper Macleod Lawyers Named Energy Team of the Year Harper Macleod’s energy and natural resources team has been named Energy Team of the Year at the Scottish Legal Awards for the second time in three years. The accolade reflects the firm’s status as Scotland’s leading energy specialists, providing innovative legal services across the sector and on all aspects of the energy supply chain. Head Partner David Bone and fellow Partners Anne Macdonald and David Steel accepted the award at a glittering ceremony hosted by Dougie Vipond and Louise White in Edinburgh. David Bone said: “Our two main aims are to help Scotland achieve its renewable energy targets and to provide the best level of service we possibly can to all the energy clients who entrust us with their transactions. “However, if a by-product of this is that we win awards, that’s great, particularly when client testimonials on our work form part of our submission. Our submission for this award allowed us to showcase some of the impressive transactions we have been involved in over the last year for clients such as Forestry Commission Scotland, Scottish Water, Scottish Coal, Fred, Olsen Renewables, E.ON Renewables and SSE Renewables.” In March, the firm boosted its expertise by bringing in the renewable energy team from rival law firm McClure Naismith to facilitate a significant move into the marine energy sector.

Partner Steven Brown, an expert in emerging wave power technologies, and associate Michael Johnston, act for some of the biggest players in the rapidly developing area of wave and tidal power. The increased focus on marine energy comes shortly after Harper Macleod, legal advisers to the Glasgow 2014 Commonwealth Games, added a new Thurso office to its existing bases in Inverness, Glasgow and Edinburgh. The new office places the firm at the heart of exciting wave and tidal developments taking place in the Pentland Firth, which has the potential to host up to 25% of Europe’s tidal power capacity. With an energy team of 24 lawyers, Harper Macleod can advise on every aspect of an energy project, including planning, construction, energy, commercial and rural property (including crofting), grid and finance.

Wanted: Employers Passionate About Skills Employers are being urged to help shape the skills agenda in Scotland. The Forum for Advanced Manufacturing, Engineering and Skills (FAMES) is on the hunt for new members to increase investment in skills to support growth and improve productivity in Scotland. Co-ordinated by skills body Semta, FAMES was set up last year aiming to significantly increase the number of apprentices recruited in the sector, while also taking on more graduates and upskilling existing workforces. The group is made up of representatives from champion employers, business membership organisations, training providers and key stakeholders, who have joined forces to speak with one voice on the issue. Employer members are currently working on the action plan and shaping the Engineering Skills Investment Plan. Brian Humphrey, national manager at Semta Scotland, said: “The ultimate goal of FAMES is to improve skills within the

advanced manufacturing and engineering sector, represent the needs and views of businesses, influence policy, provide guidance, attract young talent and implement a national strategy for improving skills and skills utilisation in the AME sector. “The North of Scotland is currently represented through organisations such as LifeScan and Siemens Subsea, but we need to engage more employers in the sector.” If you are interested or want to find out more please contact Brian Humphrey, national manager, Semta Scotland on bhumphrey@semta.org.uk or via customer services on 0845 643 9001.

Political Round Up SCOTTISH GOVERNMENT

POLITICAL NEWS HEADLINES

Fund to develop off-shore wind turbines announced

Campaign to give oil and gas focus

A £15 million fund to develop deep-water foundations for wind turbines was announced by Energy Minister Fergus Ewing in April. Mr Ewing said the award will help maintain Scotland’s position as an attractive place for renewable energy investment. The Scottish Innovative Foundation Technologies Fund will support the development of prototype foundations for offshore wind turbines sited in water more than 30 metres deep. It will operate over a two-year period and is now open for applications from projects meeting the criteria. More information is available at: http://www.scottish-enterprise.com/yoursector/energy/energy-how-we-can-help/energy-funding/ innovative-foundations-fund.aspx

Community renewables Energy Minister Fergus Ewing announced at the end of April that the Scottish Government was ahead of schedule in delivering its targets in community and local ownership of renewable energy projects. In the Scottish Government’s 2020 Routemap for Renewable Energy, a target of generating 500 MW from community renewables by 2020 was set. Fergus Ewing was able to reveal that by June 2012, more than 200 MW of renewable generating capacity came from community and locally owned projects – 40% of the target.

Britain’s oil and gas industry is launching a major campaign to highlight the North Sea’s vital contribution to the nation’s economy. Oil & Gas UK, the pan industry trade body, announced the launch of the nationwide awareness campaign - “Energising the Nation’s Future” at an event in Aberdeen attended by leading figures from the oil and gas sector.

Wind-farms Scotland is reportedly seen as the ‘land of the wind turbine’. A study by universities across the UK has suggested that the SNP has been more willing to approve the building of turbines than other devolved governments. It also suggests that the SNP has been more forthright in overturning local council rulings against wind turbines.

Scottish Tories and wind farms The Scottish Conservative Party has called for local authorities to be given new powers to suspend wind farm schemes for a year in a bid to cut the number being built. They have also called for subsidies for renewables to be reduced and for wind farms to be built a minimum of 2,000km away from homes.

Renewable energy industry delegates vote yes for independence Over 51% of delegates at The Scottish Highland Renewable Energy conference held in Inverness earlier in April agreed that independence would assist Scotland’s renewable energy ambitions, with a further 11.43% undecided and only 37% disagreeing.