As part of the Sustainable Marine Energy Limited’s (SME) latest funding round, which closed at £3.46 million, the Scottish Investment Bank (SIB) has committed £1 million on behalf of the Scottish Government through its Energy Investment Fund (EIF).
The EIF provides flexible investment and debt funding for energy projects in Scotland that will encourage, catalyse and accelerate Scotland’s planned transition to a low carbon economy.
In addition, investment marine propulsion and renewable energy firm, SCHOTTEL HYDRO GmbH, has contributed £2.46 million to the funding round.
Initial testing of SME’s PLAT-I system got underway in 2018 near Connel, Argyll and Bute. In February this year, the system was transported to Grand Passage, Nova Scotia, where it generated first power.
In preparation for the build out of a larger project at the Fundy Ocean Research Centre for Energy (FORCE), located in the Minas Passage of the Bay of Fund, SME’s testing and demonstration programme continues apace.
Jason Hayman, Managing Director, SME said: “It is fantastic, and a great testament to the team for all their hard work to close this funding round. Securing new investment from the Scottish Investment Bank and commitment from SCHOTTEL for our work in Nova Scotia will enable us to take a significant step forward on our renewable energy journey.”
SIB Director Kerry Sharp said: “SME has repeatedly proved its resourcefulness, culminating in the successful testing of its innovative PLAT-I platform and generation of first power. We’ve supported the company every step of the way since it relocated to Scotland in 2016 and have underlined our continued backing by contributing to its latest fund-raise.
“This investment could ultimately see SME further its commercial activity, placing the company at the forefront of the development of tidal energy technologies and further cementing Scotland’s position as a leading player in the global transition to a low-carbon economy.”
A 2019 report by the Highlands and Islands Enterprise (HIE) estimates that wave and tidal energy could be worth up to £800m to the UK by 2035, with a quarter of Europe’s potential tidal stream energy based in Scotland.