A UK Government auction that attracted no bids for offshore wind contracts last year remains a worrying sign

Keir Starmer may be keeping us waiting about the precise location of the new publicly owned company GB Energy – to be based somewhere in Scotland – but progress is being made with legislation to be introduced at Westminster today, just three weeks after the election.

The company will get some £8.3 billion over the course of this parliament and a partnership with the Crown Estate is expected to ‘leverage’ an extra £60 billion in private investment. If anything like that amount can be mobilised, the effect should be considerable. However, there is a big difference between optimistic expectations and reality.

Today we also report on energy giant Shell’s denial that it is turning its back on the green energy revolution following suggestions it may sell its stake in floating offshore wind projects off Scotland. This comes after a UK Government auction last year for the rights to offshore wind contracts attracted no bids from developers because the government-guaranteed price for the electricity produced was viewed as too low, although there were deals for solar, tidal and onshore wind schemes.

Offshore wind is particularly important, given the amount of energy available to be harnessed and the chance for Scotland to develop a world-leading industry which could provide many good jobs for marine engineers and others as the North Sea oil industry declines.

Speaking ahead of the GB Energy Bill’s introduction, Starmer said: “Scotland will lead the clean energy revolution in the United Kingdom, fuelled by the skills, knowledge, and talented workforce the energy sector here contains.” However, the problems with the offshore wind auction and Shell’s reported second thoughts – which they have not denied – show that this particular revolution is currently turning rather slowly.

I've literally written the book on how Labour wins or loses power, and Starmer is off to a good start

And while GB Energy may sound exciting, energy minister Michael Shanks points out in an article for The Scotsman today that “our European neighbours have been doing this for decades, recognising the benefits of a dynamic state partnering with the private sector to deliver for families and businesses”.

The UK is playing catch-up but the prize for winning the race is still up for grabs.

Despite £68bn boost from GB Energy, there are worrying signs for 'renewable revolution'

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