Next phase of MeyGen project could provide 'an incredibly exciting opportunity' for the far north, says Caithness business boss
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A CAITHNESS business boss has said the next phase of the MeyGen tidal energy project could provide "an incredibly exciting opportunity" for the far north.
Trudy Morris, the chief executive of the Caithness Chamber of Commerce, said Phase 2 of the pioneering development in the Pentland Firth would consolidate the area's position "firmly at the centre of the nation’s ambitious drive towards net zero."
She was speaking after Simec Atlantis Energy (SAE) – the company behind the initiative – announced that its revenue from electricity sales increased last year by £2. 3 million to £3.9 million. The figure in 2021 was £1.6 million.
Ms Morris said: "The MeyGen tidal stream array has made significant achievements in the field of tidal power particularly as the first tidal array in the world to generate 50GWh of electricity and has overcome many challenges since beginning operations in 2017.
"It is very positive to hear news of its electricity sales rise, reflecting the successful deployment of its four turbines. A Contract for Difference (CfD) award last year will enable the company to deploy additional turbines as part of its Phase 2 development solidifying the North Highlands position firmly at the centre of the nation’s ambitious drive towards net zero - an incredibly exciting opportunity for our region."
The rise in electricity revenue from the MeyGen site – situated between the island of Stroma and the Caithness coast – was highlighted in the financial statement issued by SAE for the year ending December, 2022.
It pointed out that the increase reflects the successful re-deployment of two of the four turbines in the demonstration tidal array in March and September last year. Significant upgrades were made to the turbines to improve their performance and reliability.The turbines feed into the onshore power conversion building at the Ness of Quoys.
As reported in Wednesday's Caithness Courier, the statement said group losses for the year fell to £11.1 million compared to £74.1 million in 2021 although revenue dropped from £9.3 million in 2021 to £8.5 million.
Total expenses for the year were £11.6 million, down from £16.6 million in 2021. Group total equity was £5.7 million while the figure in 2021 was £16.7 million.
Duncan Black, the chairman of SAE Renewables, said: "Following the significant restructuring of the business in the first part of 2022, I am pleased to report that during 2022 and into the current year we have seen the group make solid progress on its key projects. Key highlights have been the strong operating performance at MeyGen Phase 1A, and the award of a 28 megawatt Contract for Difference for MeyGen Phase 2."
Simec Atlantis Energy chief executive, Graham Reid, commented: "The business has made significant progress since the beginning of 2022, and I am incredibly proud to have led the committed and dedicated team who delivered this change, ensuring that we are in a strong position to deliver an exciting future for our company and our shareholders."
