SNP Government claims that Scotland will become a renewables powerhouse undermined as Iran war fallout fuels interest in North Sea oil firms

An energy giant has poured more cold water on SNP Government hopes of an offshore wind boom even as the turmoil in the Middle East underlines the value of the North Sea’s oil and gas reserves.

While the SNP manifesto for the Scottish Parliament elections boasted about the country’s world leading renewables industry, Vattenfall has provided a reality check after cooling on a key project.

The Swedish firm has offloaded its 50% stake in the Muir Mhòr floating windfarm around 40 miles east of Aberdeen, which it had claimed would be one of the largest developments of its kind in the UK.

The floating windfarm industry is in its infancy but has generated much excitement among SNP ministers who are desperate to come up with a Scottish economic success story. The country has enjoyed little economic benefit from the development of windfarms featuring turbines fixed to the seabed.

Following clear signs that oil giants have lost interest in offshore wind projects in Scotland, Vattenfall’s move provides further evidence that SNP Government claims about the industry’s potential were wildly overblown.

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When Vattenfall won the Muir Mhòr licence in the landmark ScotWind round in 2021, it said the windfarm would generate enough power for 1.2 million homes and a near £300m boost for Scottish supply chain.

The SNP Government boasted that ScotWind projects would provide a multi-billion pound boost to the Scottish economy.

However, the reality has proved to be much more complicated than expected by ministers, who have made repeated claims about a green jobs boom in Scotland based on hopes rather than evidence.

Muir Mhòr was soon facing challenges as the cost of key materials spiralled........

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