The Scottish Government has announced £17.5 million in fresh funding aimed at speeding the north-east’s shift from oil and gas toward clean energy. First Minister John Swinney set out the package, which is drawn from the Just Transition Fund, a 10-year, £500 million commitment focused on the north-east and Moray. Ministers said the money would support more than 500 jobs and provide training for up to 350 people each year across the region.
The latest round covers 22 projects. Seven are commercial ventures tied directly to the energy transition, while the remaining 15 are community efforts addressing fuel poverty, child poverty, nature restoration and climate resilience. The government framed the mix as an attempt to pair industrial investment with local benefit, so that the gains from offshore wind, hydrogen and related industries reach households as well as large employers.
Among the commercial awards, Aberdeen-based Hydrasun received £1.9 million to help establish what the company describes as Scotland’s first electrolyser assembly and integration facility. “Establishing Scotland’s first electrolyser assembly and integration facility is a proud milestone for the company,” said chief executive James Gaskell. Electrolysers are central to producing green hydrogen, a fuel many in the sector expect to play a role in cutting emissions from heavy industry and transport.
Swinney said the region was well placed to lead the change. “This funding will create and support hundreds of jobs in the north-east of Scotland, helping to ensure they are at the forefront of the transition to clean energy,” he said. He added: “Scotland is an energy superpower and the workers, businesses and communities of the north-east will be vital in ensuring we capitalise on our remarkable renewable energy resources.”
The north-east has long been the centre of the UK’s offshore oil and gas industry, and questions over how quickly its workforce can move into lower-carbon roles have shaped debate about the region’s future. Supporters of the fund argue that targeted public money can smooth that shift and keep skilled workers in the area. The government said the current awards form part of the wider Just Transition programme running to the middle of the next decade.
