Plans for 'integrated' low carbon energy strategy for Scotland published

Unlike previous targets, the 50% figure is an 'all-energy' target, covering heat, transport and electricity consumption. The draft strategy sets out the Scottish Government's plans to reach this target via the further development of offshore wind, energy storage and subsidy-free onshore wind generation, along with a renewed focus on energy efficiency.

Other potential policies explored by the paper include the development of 'smart' local energy systems and the potential establishment of a Scottish Government-owned energy company; as well as the possible creation of a Scottish Renewable Energy Bond to finance low-carbon projects.

"The renewables sector has been and continues to be an important sector for Scotland's economy and climate change agenda and the commitment to further expanding this through it further development, new technologies and services is helpful for the industry," said energy expert Kate Turner of Pinsent Masons, the law firm behind Out-Law.com.

"The recognition also that the energy system needs to be looked at as a whole means that areas such as low carbon heat, transport and further energy efficiency measures to help facilitate industrial decarbonisation through the proposed introduction of Scotland's Energy Efficiency Programme (SEEP) are critical to the successful delivery of the ambitions or targets to be set out in the final energy strategy," she said.

"The draft strategy raises many important considerations that need to be addressed and it is important that the industry provides constructive responses to the consultation so that important issues such as funding, including the potential for a government-owned energy company and exploring the creation of a 'green bond', and barriers to delivery of projects can be addressed and whether regulation in areas such as district heating can help further development. The commitment to the renewables sector and a low carbon economy in the draft also demonstrates the need for the importance of this sector and wider energy infrastructure investment in Scotland to be recognised in the UK government's Modern Industrial Strategy, which was published for consultation this week," she said.

The document sets out the Scottish Government's vision of an integrated low carbon Scottish energy system which is reliable, affordable and covers every part of the country by 2050. It follows the publication last week of the government's draft climate change plan, which set out its plans for cutting Scotland's greenhouse gas emissions by 66% when compared to 1990 levels by 2032.

The draft sets out plans to make Scotland a "world centre for energy innovation", particularly in offshore wind and energy storage technologies. It also considers how best to develop and use emerging energy sources and technologies, for example the use of hydrogen as a transport fuel source and the commercialisation of carbon capture and storage. On the "now well-established" onshore wind, the strategy sets out an ambition to make Scotland the first area in the UK where the technology thrives without subsidies.

The strategy sets out a renewed focus on energy efficiency, pledging to make Scotland's buildings near zero carbon by 2050. The SEEP, which is the subject of a separate consultation paper, is a long-term programme designed to improve the energy efficiency of both domestic and non-domestic buildings.

The consultations on the draft strategy and SEEP close on 30 May, along with a number of other consultations published by the Scottish Government in support of the strategy. These include an onshore wind policy statement, and a proposed regulatory framework for district heating. This framework incorporates area-based zoning of district heating, new concessions for district heating networks, licencing, connecting supply, surplus industrial heat and consumer protection.

As part of the strategy, the Scottish Government will allocate up to £50 million in funding to 13 projects at sites across Scotland under its Low Carbon Infrastructure Transition Programme. These projects will demonstrate low carbon or renewable electricity, heating or storage solutions. Details of the successful projects will be announced next month.