Sea energy contracts for two Ireland-based firms

TWO IRISH renewable energy firms have been awarded lucrative licences as part of the first commercial wave and tidal energy licensing round globally.

SSE Renewables, the Dublin-based unit of Scottish and Southern Energy, has been awarded four separate contracts out of 10 projects on the Scottish coast allocated yesterday by the British Crown estate, which owns the seabed around the UK.

One of those four is a joint venture with another Irish firm, OpenHydro, which designs and manufactures tidal turbines.

Sources in the renewables business said the four projects would involve investment of close to €2 billion by the Irish companies. They will deliver a maximum of 80 megawatts to the UK grid.

James Ives, chief executive of OpenHydro, said the development marked a “major step” both for the companies concerned and the marine renewables industry. “I have no doubt that this decision will provide a major first step in delivering tidal energy at utility scale on to the UK national grid.”

Scottish first minister Alex Salmond said: “These waters have been described as the Saudi Arabia of marine power . . .”