SNP's nuclear stance costing Scotland jobs, says UK minister

The Herald Scotland

8 hours ago

While energy is largely reserved to the UK Government, the Scottish Government effectively has a veto on new nuclear power developments through planning regulations.
Last week, in her Spending Review, Rachel Reeves unveiled a multi-billion-pound investment programme in new nuclear energy.
The Chancellor said £2.5 billion of the £8.3bn set aside for Great British Energy would be redirected to support new nuclear technologies, including small modular reactors, and a new plant in the south of England.
READ MORE:
In an interview with BBC Scotland's Sunday Show, Mr Shanks was asked about why the money had been redirected, particularly given the party's manifesto made no mention of nuclear, but instead focussed on onshore wind, solar, and hydro power.
'Well, it's not an exclusive list, because there's a lot of other clean energy technologies,' Mr Shanks said.
'Nuclear is part of our energy mix.
'I'm not going to make any apologies for the government investing in nuclear where thousands of highly skilled jobs can be delivered, including in Scotland if it wasn't for the ideological position of the SNP to block new nuclear, could be delivering those well paid skilled jobs here in Scotland.
'They turned their face against that, and they will have to answer for that.'
He added: 'The broader point here is Great British Energy is all about harnessing the power of the public purse to invest not just in clean power projects directly but supply chains that drive them.
'Because unlike the previous government, we want to see those well paid, industrialised jobs coming alongside us, not towing in offshore wind and switching it on, but building it in this country and getting the manufacturing jobs that go with it.
"That's how we deliver the jobs of the future.'
The Herald revealed at the weekend that unions are calling on the Scottish Government to end its longstanding resistance to new nuclear power.
Louise Gilmour, from GMB Scotland, has written to Energy Minister Gillian Martin calling for an urgent rethink.
She said: 'Amidst broken promises on a green jobs revolution, the Scottish Government cannot afford to scoff at the offering of nuclear energy on the table. An offer that would in large part be funded by the UK Government. The ban against new nuclear – especially SMRs – must be lifted.'
Responding to Ms Gilmour's comments, a Scottish Government spokesperson told The Herald: 'The Scottish Government is focused on supporting growth and creating jobs by capitalising on Scotland's immense renewable energy capacity rather than expensive new nuclear energy which takes decades to build, creates toxic waste which is difficult and costly to dispose of and does not generate power at a cost that will bring down energy bills.'
READ MORE:
Meanwhile, during the interview with the BBC, Mr Shanks was pressed on the impact of oil and gas job losses in Aberdeen.
Companies in the north east have blamed the UK Government's Energy Profits Levy, which means the effective rate of tax on oil and gas companies is 78%.
Mr Shanks said: 'Every single job loss is hugely distressing for the individuals and for their families and communities.
'I do not for a second discount the impact that job losses have, but I do not think that is an entirely fair assessment, because yes, there have been job losses recently announced, but there have also been thousands of jobs created.'
He argued that transition involved movement from one part of the energy sector to another, and that support for workers was crucial.
'That is why we announced incredibly quickly that passporting support—where if you are an offshore oil and gas worker doing a particular job and you could do the same job in offshore wind, you should not have to requalify or have your skills reassessed.
'You should be able to move straight into that job. That is something the previous government talked about for a long time. We delivered it.'
READ MORE:
The Labour Energy Minister also said he was 'hopeful' that an announcement on investment in Grangemouth will be made soon.
Mr Shanks said more than 80 potential investors had come forward since the UK Government pledged £200 million for the site.
The Government is seeking a further £600m in private investment in the area, following the closure of Scotland's last oil refinery.
Mr Shanks said the investment would help provide a 'long-term, sustainable future' for the site.
Petroineos, the joint venture between INEOS and PetroChina, which owns the 100-year-old refinery, first announced plans to close in November 2023.
They said the plant's future as an import terminal would 'require significantly fewer people to operate' and that there would need to be a 'net reduction of approximately 400 roles over the next two years.'
Mr Shanks said the Government was engaging with businesses on new projects for the area.
'We have had some really positive meetings around potential investors,' he said. 'In fact, more than 80 potential investors have come forward. Scottish Enterprise is driving forward due diligence on that. There are a number of really credible projects that we are developing at the moment.
'We hope we will have some really positive announcements to make soon.'
Mr Shanks said the 'unprecedented' £200m investment from the National Wealth Fund would help 'create the jobs of the future' while ensuring long-term investment security.
He added: 'I am not involved in the due diligence, as you would not expect, but there are some really exciting, viable projects coming forward that will deliver jobs in Grangemouth long into the future.'
Last week, Jan Robertson, Grangemouth director for Scottish Enterprise, said she had received a 'mixture of inquiries' from businesses—some interested in the site itself and others with 'a good opportunity to become projects in the relatively near term.'
'What I mean by that is the next three to four years,' she told Holyrood's Economy and Fair Work Committee.
'Our approach at the moment is very much working with those and working as closely and quickly as we can to make the progress that we want to see in Grangemouth.'
Ms Martin told the committee the 'door is not closed' to companies looking to work at the site, and said Petroineos had also received approaches.
'We could look back five years and start pointing fingers, but the most important thing is that in the last year—actually the last six months—Project Willow and the taskforce have moved things along in a way that has been swift, agile and focused,' she said.
'I am feeling so much more confident than I did this time last year in the prospects for that site.'