2020 ROUTEMAP FOR RENEWABLE ENERGY IN SCOTLAND UPDATE. 17 September 2015

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1 2020 ROUTEMAP FOR RENEWABLE ENERGY IN SCOTLAND UPDATE 17 September

2 Contents Ministerial Foreword 1. Deployment Update 2. Sectoral Updates Onshore Wind Offshore Wind Renewable Heat Bioenergy and Energy from Waste Hydro Solar Marine Renewables Community Renewables Sustainable Transport Energy Storage Hydrogen and Fuel Cells Geothermal 3. Equalities Update Annexes A. List of Onshore wind sites (>1 MW) in Scotland, March 2015 B. Equality impact assessment (EqIA) of skills, community benefits, and supply chain and infrastructure policy in 2020 Routemap for Renewable Energy in Scotland. Published separately on Scottish Government website. 2

3 MINISTERIAL FOREWORD Renewable energy is one of Scotland s most important industries, providing jobs, economic growth, and a way to play our part in tackling climate change. Our 2020 Routemap for Renewable Energy in Scotland, published in 2011, set out the collective actions needed to achieve the industry s potential. This latest update proves we have made significant progress. In the first half of 2014, renewables overtook nuclear as Scotland s single largest source of electricity for the first time. Provisional figures show renewable sources generated a record 49.8% of Scotland s gross electricity consumption in 2014, ensuring we are well on course to meet our interim target of 50% by However, we must not underestimate the challenges ahead. The announcement that the UK government will close the Renewable Obligation one year early was extremely disappointing for all involved in the onshore wind sector. We do of course agree on providing the best value for consumers, but onshore wind is the cheapest way of producing large scale renewable electricity in the UK. Moreover, we must maintain investor certainty, and allow communities to share the potentially huge benefits of renewable developments. The Scottish Government will continue to support the industry, and, given the pipeline of onshore wind projects here, seek to ensure that Scotland is not disproportionately impacted by recent announcements. There is also considerable uncertainty surrounding the Contracts for Difference scheme. It is crucial that the UK Government provide the industry with clarity on the future of Contracts for Difference including the details of the next allocation round and the level of budget, and to make any decisions with appropriate consultation. Finally, growth of the renewable industry requires a workforce that truly embraces equal opportunities. Doing so not only allows women and minority groups to make the most of their talents; it also provides the diversity of ideas and skills needed for the industry to stay globally competitive. For that reason, I welcome the inclusion in this update of the Equalities section and accompanying EqIA. Despite recent developments, a globally competitive renewable energy industry remains our ambition. We will continue to work with industry to support its growth in Scotland, and ensure renewables fulfil their potential for tackling climate change. Fergus Ewing 3

4 Minister for Business, Energy and Tourism 1. Renewable Deployment Update Renewable Electricity Generation Figure 1: Renewable Electricity generated (GWh), Scotland, p 2014p = 49.8% Provisional figures show that renewable electricity generation in Scotland was 19,067 GWh in 2014 a record high level, up 12.4% on 2013, the previous record year for renewables. Renewable electricity generation in Scotland made up approximately 30% of total UK renewable electricity generation in Our target for renewable electricity generation is for renewables to generate the equivalent of 100% of gross annual consumption by 2020, with an interim target of 50% by Using 2013 s gross consumption as a proxy for 2014, around 49.8% of Scotland s electricity consumption came from renewables in 2014, up from 44.4% in This (provisionally) means that the 50% renewable electricity target for 2015 has almost been met one year ahead of schedule. 4

5 Renewable Electricity Capacity Figure 2: Renewable Capacity Installed (MW), Scotland, 2000 Q1 2015p 2014 saw record levels of renewable capacity in Scotland, with 7,316 MW of renewable capacity installed and operational (see Figure 2). Provisional data for Q point towards another strong quarter for renewable generation in Scotland, with an additional 592 MW of capacity (7,383 MW total) becoming operational compared with the end of Q As at March 2015, Scotland had 7.4 GW of installed renewable electricity generation capacity, with an additional 8.9 GW of capacity either under construction or consented, the majority of which is expected from wind generation, particularly offshore. Taking into account pipeline projects in planning, this figure totals 20.7 GW (see Figure 3). Figure 3: Renewable Capacity in Scotland by Planning Stage (GW), Scotland, March

6 Looking at the breakdown by technology type (see Table 1), in terms of capacity, the majority of projects that are either under construction or have been consented and awaiting construction are split between either offshore or onshore wind (approximately 4.2 GW for each category). Table 1: Pipeline Renewable Projects in Scotland, by Technology and Status, March 2015 Consented - Consented - In Planning Awaiting Construction Under Construction Technology No. of Projects Capacity (MW) No. of Projects Capacity (MW) No. of Projects Capacity (MW) Biomass - Co-firing Biomass - Dedicated Geothermal Hydro Landfill Gas Municipal and Industrial Waste Solar Sewage Gas Tidal and Tidal Stream Wave Wind Offshore , Wind Onshore 126 4, , TOTAL 138 4, , Source DECC, Renewable Energy Planning Database, April 2015, Renewable Heat In 2012, renewable heat generation equated to 3.0% of Scotland s non-electrical heat demand. This is up from 2.7% in Over the year to 2012, renewable heat generation increased by 9.6% to 2,481 GWh, while non-electrical heat demand decreased by 3.1% to 82,700 GWh. Following consultation with stakeholders, the Scottish Government improved the way it measures progress towards the renewable heat target. Using this improved methodology allows an estimate of progress based on the current level of heat demand as opposed to a projection for is the latest available estimate due to a lag in the final energy consumption data for Scotland published by the Department of Energy and Climate Change (DECC). Figures published for 2013 show that an estimated GW of renewable heat capacity was operational in Scotland, producing an estimated 2,904 GWh of useful renewable heat. This represents an 18% increase in renewable heat capacity, and a 17% increase in heat generated from renewable sources compared with

7 GWh Figure 4: Renewable heat output to 2013 Note: Data was not gathered for calendar year The estimate for 2008/09 is on a financial year basis. 3,500 3,000 2,500 2,000 2,263 2,481 2,904 1,500 1,696 1, / As Figure 5 shows, biomass accounted for around 83% of total renewable heat capacity in Heat pumps, solar thermal, and energy from waste accounted for the remaining 17% of renewable heat capacity. Figure 5: Renewable heat capacity by technology (MW), Scotland, 2013 Biomass primary combustion 290 Biomass CHP 261 Heat Pump 64 Solar Thermal 30 Energy from waste Capacity (MW) In 2013, there were an estimated 8,270 renewable heat installations in Scotland. Of these, the 36 large (1 MW or more) installations accounted for 62% of renewable heat capacity and 81% of annual output. Since January 2014, 180 MW of renewable heat capacity has been accredited under the non-domestic RHI in Scotland. There are also a number of new installations which are in the process of applying for non-domestic RHI funding which together amount to a further 128 MW of capacity. Currently the equivalent data is not available for the domestic scheme, but we know that uptake of domestic RHI has been relatively high in Scotland, with 19% of UK accredited installations based in Scotland. 7

8 Community and Locally Owned Renewables The following assessment is based on the last estimated Energy Saving Trust assessment of deployment progress up to the end of June A detailed report on the deployment of community and locally owned renewable projects will follow. Up to June 2015, an estimated minimum of 492 MW of community and locally owned renewable energy capacity was operational in Scotland. This is 36% higher than the estimate for the previous year. It should be noted that some of the increase in estimated capacity is likely to be due to an increase in the amount of data collected and being provided by the different owners of renewable installations. These figures for 2015 represent a total of approximately 11,910 individual renewable energy installations. 1 Development pipeline As Figure 6 shows, a further 620 MW of community or locally owned renewable energy capacity is estimated to be in different stages of development (under construction, consented but not built, in planning, or in scoping). Figure 6: Community and locally owned renewable energy capacity in different stages of development (MW), Scotland, June Based on 492 MW of capacity in operation at the end of June 2015, and the further 620 MW identified as in development, it would appear that Scotland is on-track to more than meet its target of 500 MW of community and locally owned renewable energy by However this situation will need to be monitored with regard to the conversion rate of installations from developmental stages to operational capacity. Categories of ownership A breakdown of operational capacity by type of owner is shown in Figure 7. The largest proportion of operational capacity is on Scottish farms and estates (200 MW, or 41%). Local Authorities own 18% of total operational capacity (87 MW). 1 This number of installations includes the total number of individual wind turbines in any multi-turbine development. 2 Figures may not sum due to rounding 8

9 Figure 7: Estimated capacity of operational community and locally owned renewable installations at by ownership category (MW), Scotland, June 2015 Installed technologies The majority of capacity in operation at June 2015 was from wind turbines, at 234 MW, and energy from biomass primary combustion, at 135 MW. These two technologies account for about 75% of operational capacity at June A breakdown by technology type is shown in Figure 8. Figure 8: Capacity of operational community and locally owned renewable installations by technology (MW), Scotland, June 2015 Data availability including for mapping Renewable energy is a key component of the Scottish Government s strategic priority to move to a low carbon economy and meet our obligations under the Climate Change (Scotland) Act. Further development of planning and consenting data will help to monitor the deployment of renewable projects and enable the publication of more comprehensive analysis regarding the progress towards meeting Scotland s renewable targets. 9

10 The Economy, Energy and Tourism Committee report published in November 2012 highlighted the importance of assessing progress at local levels towards the National renewable energy targets. The report said it is critical that we can establish a baseline and trend data for the numbers of projects either operating, in development or at the planning stage in each of the 32 local authority areas. The Scottish Government worked with various bodies including the Department of Energy and Climate Change (DECC), Scottish Renewables, and Scottish Natural Heritage (SNH), to develop a consistent, reliable, and publically available renewable planning database for Scotland. DECC tracks the progress of new renewable energy projects as they move through the planning system, from inception, to construction and to generation. Each month an extract of the Renewable Energy Planning Database (REPD) is provided at the link below: The database shows all projects that have applied for planning permission and only data on renewable electricity projects with a capacity of 1MW and greater are collected, tracked and published. Using Scottish extracts from the Renewable Energy Planning Database (REPD), the Scottish Government has been publishing quarterly reports since March 2013 providing a breakdown of renewables capacity by stage of development (for example, in planning, consented, under construction, or operational) and local authority area in Scotland. For the latest information please see: As outlined in the Onshore Wind section below, more information on community renewable projects, and those sites with a capacity of less than 1 MW, are published here: Local Energy Scotland, in association with Scene Consulting and the Energy Saving Trust, are developing a live map of all operational projects over 50kW which contribute to the 500 MW target. This interactive tool will show details on project stage and ownership, and where appropriate, background details on projects and further information on Scottish Government financial support received. Users will be able to filter the information by technology, local authority region, project name, funding source, and ownership type. The map will be live by the end of October. The Scottish Government continues to engage with key partners regularly to enhance the depth and quality of this data, primarily to ensure that there is a comprehensive and robust database for all key stakeholders to access information at 10

11 a national and local level. For example, exploring options for improving the presentation of renewable project data through mapping tools and linking with other relevant datasets to enhance the coverage and range of information we can provide quarterly. The Scottish Government also provide access to other useful renewable energy project data through the Scotland Heat Map. It is a powerful tool used to help Scotland meet its renewable heat, low carbon and fuel poverty targets. The Heat Map contains many other useful datasets besides heat demand. It has data on Energy Supply points - both heat generation and electricity generation have been mapped on an individual site basis (where available), and includes the most up to date and comprehensive data available on existing and planned district heating networks. The publically accessible online version of the Heat Map is available here: It is designed for everyone to use so business and communities can find out more about the heat demand and energy opportunities in their area. All Scottish local authorities have access to the Heat Map dataset for their area. Certain public sector organisations such as Scottish Enterprise and NHS Boards also have access to the Scotland Heat Map data. The data used to create the heat map was provided by many different organisations from both the public and private sector and all local authorities. The full list of data layers is available in the heat map methodology documentation accessible through: 11

12 2. Sectoral Updates Progress relies on developments across the full spectrum of Scotland s diverse renewables industry. With initiatives ranging from the Community and Renewable Energy Scheme (CARES) to the District Heating Loan Fund and Wave Energy Scotland, the Scottish Government and its partners are helping to initiate and support a wide variety of renewables projects, and to encourage innovation and technology development. This support is also helping to stimulate private sector investment in renewables. For example, the Renewable Energy Investment Fund (REIF), delivered by the Scottish Investment Bank (SIB), achieved total leverage of around 65 million in 2014/15-55 million of which was from the private sector from investment of around 32.4 million in marine energy, community renewable and district heating projects. In addition, approvals for investment of around 7.4 million by Highlands and Islands Enterprise (HIE) in a wide range of renewable energy projects and activity had a private sector equivalent investment of around 14.7 million in 2014/15. As recommended by Audit Scotland in its Renewable Energy report of September 2013, the Scottish Government will continue to work with the economic development agencies to collate and report further details of private sector investment in renewable energy projects that have received public funding. The following section provides an outline of some of the key developments for individual technologies and sectors. 12

13 1. Onshore wind Headline Figures 5,015MW generating capacity of Scottish onshore wind by the end of 2014, enough to power over 2.5 million homes price per megawatt hour offered by onshore wind projects in 2015 UK auctions, and significantly cheaper than nuclear Onshore wind has a pivotal role in delivering our 2020 renewable targets, and also ensuring that communities have the opportunity to benefit from the huge economic potential of renewable energy. In 2014, generation increased by 4%, and total installed capacity reached 5GW. There have been 74 Section 36 onshore wind applications concluded since Of these, 48 (59.5%) have been consented, 17 (23%) rejected and 9 (12%) withdrawn. In 2015, eight section 36 onshore wind applications have been concluded, with five consented totalling 209.4MW. There are currently 45 onshore wind applications under consideration, and 47 pre-application proposals. As of the end of June 2015, pre-application proposals and applications together total 1492MW of capacity. One of the biggest challenges the industry faces is responding to the early closure of the Renewables Obligation, and uncertainty surrounding remaining subsidies for onshore wind developments. The sector has proved its capacity to reduce costs, and now can compete with thermal and nuclear, but continued investment relies on a clear, well-defined structure of support. Where we can, the Scottish Government uses its powers to mitigate additional challenges. On planning, we have developed policies which help identify the best places for wind farms, and seek to balance their impact on the landscape with their energy potential. That includes planning policy to make clear that wind farms are not appropriate in National Parks or National Scenic Areas an area that covers a fifth of Scotland. It also strengthens protection for wild land areas outwith National Parks and National Scenic Areas, which cover a further tenth of the country. As with all our planning policies, we aim to offer clarity and consistency to developers, as well as members of the public. We welcome the publication in early July by ClimateXChange of the Wind Farm Impacts Study report, which is the first of its kind in the world, and presents the findings of a two-year study involving a wide-range of interest groups. The report shows improvements have already been made in our planning system, which is rigorous and ensures appropriate siting of wind farms. Studies like this will make sure this improvement continues, and we will consider the recommendations carefully. Our policy on wind farm applications strikes a careful balance between maximising Scotland s huge green energy potential and protecting environmental interests and residential amenity. 13

14 We are aware that there is some public interest in the accurate mapping of onshore wind farms in Scotland, and we have committed to ensure that data is publicly available for this purpose. The Deployment section above provides information on publicly available data which could be used to compile maps of renewables deployment, including onshore wind, and this is supplemented by a table of operating onshore wind sites above 1 MW which is attached to this update as an Annex. We have looked carefully at data available for sites under 1 MW compiled by Energy Saving Trust for our annual reports on Locally and Community Owned Renewable Energy. However, where schemes are sited on domestic properties, these will be data-protected and therefore we cannot make the data publicly available for mapping purposes. Hence for transparency we have published an additional map of locally and community owned onshore wind sites in our finalised Community Energy Policy Statement (published 14 September). However, as mentioned above, for the longer term, Local Energy Scotland, in association with Scene Consulting and the Energy Saving Trust, are developing an interactive map of all operational projects over 50kW, including onshore wind, which contribute to the 500 MW community and locally-owned target, which will be very helpful. An important area of policy development over the next months will be around repowering of onshore wind farms. The first tranche of 25-year planning permissions for onshore wind in Scotland is reaching expiry at a time of increasing pressure on land use, including cumulative pressures through onshore wind development. The potential to repower such sites represents an opportunity for Scotland to continue to work towards our renewable energy targets through maximising site availability and enhancing cost competitiveness, and thereby to maintain investment levels at a time of decreasing subsidies. Repowering also offers an opportunity to pursue further Scottish Government policy aims in the context of energy policy development. In particular, the (current Programme for Government) aims to promote community energy empowerment and local energy through community stakes in commercial energy schemes could be incorporated into repowering policy as best practice. Additionally, the scope to encourage local content could be explored. Repowering may take several forms from an extension of duration of the original planning permission (where there are no site changes), the replacement of early smaller-scale turbines with modern larger ones in a revised site lay-out, or the replacement of existing large-scale turbines with slightly larger ones, with a possible revised lay-out. Permutations have grown enormously in the past 20 years owing to a greater range of turbine and blade combinations. In each case, a new consent will need to be applied for, notwithstanding the steer in Scottish Planning Policy (para 170) that areas identified for wind farms should be suitable for use in perpetuity. Consents are time-limited, and new wind farms, including on repowered sites, need to continue to be sited and designed to ensure impacts are minimised and to protect residential amenity. 14

15 The Scottish Government will look to develop a policy statement on repowering which will take into account wider energy policy drivers and planning policy. Technical guidance will also be drafted to facilitate good practice and lower deployment barriers, and will need to include recommendations for restoration and aftercare, including how to handle legacy issues that may arise. There will be full public consultation, and the scope for a strategic environmental assessment will need to be considered. 15

16 2. Offshore wind Headline figures Over 4GW of offshore wind consented in 2014, enough to power around 2.5 million Scottish homes. Beatrice Offshore Wind site secured a Final Investment Decision (FID) Enabling contract for 664MW at a strike price of 140/MWh Neart na Gaoithe Offshore Wind Site secure a CfD from the first allocation round for 448MW at a strike price of 114/MWh Offshore wind is showing increasing promise as a source of renewable energy, and huge economic value. In 2014, four significant projects were approved by the Scottish Government: Beatrice Offshore Wind; Moray Offshore Renewables; The Seagreen Alpha, and Seagreen Bravo, Neart na Gaoithe and Inch Cape. Between them, these projects have potential to create between 6,167 and 18,212 jobs during construction, and save 135 million tonnes of CO2 over their lifetime. The Beatrice offshore wind site was one of five FID Enabling contracts awarded in the UK in April The outcome of the first Contracts for Difference allocation round in March 2015 saw two offshore wind projects securing a contract, one of which was in Scotland, Neart na Gaoithe. The budget for the 2015/16 and future CfD allocation rounds is still to be announced, and the lack of clarity increases the risk to project development. This is exacerbated by a lack of long-term clarity about the size of the UK offshore wind market beyond The UK s binding renewable energy target for 2020 has helped to drive forward UK offshore wind farm development; however, there are no equivalent UK level targets beyond this date. Forecasts to 2030 vary considerably, and the UK Government has not confirmed the budgets for the Levy Control Framework which used to pay for the RO, CfD and FiT subsidies beyond This on-going uncertainty in the long term UK market may make it difficult to secure investment in manufacturing in Scotland. The Scottish Government will continue to press for clarity around these issues, and remains committed to using its devolved powers to help the sector fulfil its promise. Scotland s Offshore Wind Route Map 3 sets out recommendations for action to make sure this happens, and the Scottish development agencies will continue to work very closely with developers and component manufacturers to promote Scotland as a home for both manufacturing and development

17 3. Renewable heat Headline figures 11% -- ambitious target that by 2020, 11% of non-electrical heat demand should be met by renewable sources. 3% - renewable heat generated in Scotland in 2012, up from 1% in ,600 - domestic RHI accreditations in Scotland (including legacy applications) 19% - share of GB wide domestic RHI accreditation in Scotland 86% - domestic RHI accreditations in Scotland from properties off the gas grid 28 million - paid to Scottish installations under the non-domestic RHI 18% - renewable heat capacity under GB wide non-domestic RHI in Scotland 4 Heat accounts for over half of all the energy we use. Addressing all parts of the heat hierarchy reducing the need for heat; supplying heat efficiently and at least cost; and generating renewable and low carbon heat can deliver an affordable low carbon heat system to benefit households and businesses. We are committed to maximising the economic benefits from largely decarbonising the heat system by This is a challenging exercise. We set out in our Heat Policy Statement 5, published in June 2015, the steps we are taking on a number of fronts to change how we use, supply and produce heat. This includes: Designating energy efficiency as a National Infrastructure Priority. The cornerstone of this will be Scotland s Energy Efficiency Programme (SEEP) which will provide an offer of support to all buildings in Scotland domestic and non-domestic to improve their energy efficiency rating. Retaining our level of ambition to achieve 1.5 TWh of Scotland s heat demand to be delivered by district or communal heating and to have 40,000 homes connected by Creating a support programme for local authorities, delivered by our Heat Network Partnership 6, to provide a structured process to help local authorities to use the Scotland Heat Map 7 and develop district heating strategies. The Low Carbon Infrastructure Transition Programme (LCITP), launched in March 2015, with 76 million over the first 3 years, to provide tailored project development support for established and start-up infrastructure projects, including heat, across the private, public and community sectors. Financial incentives are an important tool to drive uptake of renewable technologies. We will continue to press the UK Government to commit to the long term sustainability of the RHI beyond 2015/16 and to provision of tariff guarantees for large scale projects to provide confidence for funders and stimulate investment in renewable heat technologies. 4 RHI Data, May 2015; See:

18 The Scottish Government has put in place a number of supporting measures, including significant project development and finance resource such as through the Low Carbon Infrastructure Transition Programme, Resource Efficient Scotland, our Community and Renewable Energy Scheme (CARES) and the Local Energy Challenge Fund to support the development of low carbon and renewable projects including heat, and to maximise investment in those projects. Alongside the launch of the UK domestic Renewable Heat Incentive (RHI) 8, the Home Renewables Loan scheme 9 was boosted with a further 5 million in 2014/15 and a further 3 million this year. We continue to supplement financial support with national advice and support programmes which support uptake of the RHI by households and businesses. For example, in Home Energy Scotland promoted renewable heat technologies and the domestic RHI as part of the support available at about 90 local events, many involving local authorities, housing associations or community groups. Uptake of both the domestic and non-domestic RHI in Scotland has been well above pro-rata across Great Britain. In the case of non-domestic RHI, the majority of these installations are biomass projects, with large scale biomass accounting for almost half the RHI eligible heat generated. However in recent months we have seen increased interest in other technologies such as water and ground source heat pumps, with 22 ground source heat pumps accredited in Scotland under the nondomestic RHI. For the domestic RHI, ground and air source heat pumps (when combined) are the most popular technologies accounting for 55% of accredited installations. Biomass is also proving popular accounting for 33% of uptake under the scheme in Scotland. Solar thermal represents 11% of uptake in Scotland 10. Additionally the support we provide on the development of district heating is key to the use of large scale renewable heat sources. We have committed 8 million to the District Heating Loan scheme between 2014 and 2016, bringing the total commitment to over 11 million. The District Heating Action Plan identified that the main opportunity for largescale heat networks is in our towns and cities where there is concentrated high heat demand, as demonstrated by Aberdeen Heat & Power and Cube Housing in Glasgow. It also recognised the significant contribution smaller rural schemes, mainly renewable, are making to reduce carbon emissions and fuel poverty. Housing associations, such as West Highland Housing Association and Albyn Homes, have led the way in installing biomass district heating in new build properties. Developing a heat market has led to the creation of new businesses offering complete energy services packages, such as the 10 energy services 8 Launched in April 2014 the GB wide domestic RHI covers individual domestic dwellings and is open to homeowners, private landlords, social landlords and self-builders. Financial support is paid to the owner of the system at a set rate per unit of heat produced for seven years. 9 Loans of up to 10,000 up to a maximum of 75% of the capital cost are available for the installation of eligible technologies. 10 RHI Deployment Data May 2015; 18

19 companies on the Scottish Government s Biomass Procurement Framework. Other technologies such as heat pumps, geothermal and recovered heat also supply heat networks, for example the Water Source Heat Pumps (WSHPs) at Loch Ness Shores, supported by the District Heating Loan Fund. In , we announced funding for 12 projects under the District Heating Loan Fund, totalling 2.7 million, bringing the total awarded since 2011 to 7 million in loans to 33 projects. As the above shows, achieving our ambitions for district heating will take a coordinated approach, and collaboration between industry and public sector. We have established a Heat Network Partnership for Scotland 11 which brings agencies together to promote and support the rollout of district heating projects. Additionally, we launched the Scotland Heat Map 12, a powerful tool for local authorities to visualise opportunities; assess who needs heat; where sources of heat might come from; and how these can be connected to reduce the cost of heat supply and the carbon intensity of heat generation. Our Scottish Planning Policy, published in June 2014, lays the groundwork for this by stipulating that development plans: should work to make the most of an area s potential for electricity and heat from renewable sources; use heat mapping to identify potential matches of developments with high heat demand and sources of heat supply; support the development of heat networks in as many locations as possible; and identify where heat networks, heat storage and energy centres would be appropriate and include policies to support their implementation. The Heat Policy Statement also represents a further component in the establishment of a fully integrated energy approach in Scotland. The Scottish Government recognises the importance of a comprehensive, holistic approach to the whole energy system that addresses the heat challenges and acknowledges the interactions and complementarities between electricity generation and supply

20 4. Bioenergy and Energy from Waste Headline Figures In almost 3% of Scotland s non-electrical heat generation came from installations which used biomass primary combustion or biomass combined heat and power. The first gas to grid anaerobic digestion plant in Scotland to produce green biomethane to inject into the gas grid was completed in Coupar Angus, Perthshire at the end of It processes raw biogas produced by anaerobic digestion of energy crops and some vegetable wastes. A second gas to grid plant is under construction near Melrose in the Scottish Borders and is expected to come into operation later this year. The Scottish Government continues to support Celtic Renewables who are using waste from the whisky industry to make biobutanol, a fuel which could be widely used in transport. This has moved out of the laboratory and they are now planning to begin a commercial demonstration stage at Grangemouth. We have commissioned SRUC to undertake a study looking at potential feedstock crops for anaerobic digestion. This study is due to complete this year and will take account of soil and climate conditions at 6 situated around Scotland. The trials are of cereal, root and forage crops typically cultivated throughout Scotland. Biomass continues to have a popular uptake from both the RHI, in particular the nondomestic RHI with large-scale biomass accounting for almost half the RHI eligible heat generated. The challenge we continue to face in bioenergy is ensuring resources which are used in this type of energy cannot be used more efficiently elsewhere. Efficiency is the reason Scotland has a 15MW cap on support for electricity only biomass plants, while supporting the use of biomass for CHP or heat-only plants larger than 15MW. 13 Most recent year for which DECC statistics are available. 20

21 5. Hydro-Electricity Headline Figures 5,455 GWh amount of electricity generated from hydro in GW capacity of hydro in Scotland as of Q4 2014, which is 89% of total UK hydro capacity 900,000 number of homes our hydro capacity could power. Hydro makes up around a fifth of Scotland s renewable output, with large scale projects, such as Glendoe near Loch Ness, and small scale developments that can transform local communities. One such example is the Callander Community Hydro Ltd, a pioneering project in the heart of Loch Lomond, which is Scotland s first community developed and wholly owned hydro scheme. In 2014, the project secured finance of 1.9 million. The plant is now generating renewable energy that is sold into the national grid to generate income for the local community. Similar opportunities for communities to develop and benefit from hydro power resources are being taken by many local groups. The industry remains deeply concerned about reducing levels of support for hydro power through FIT, and a much larger number of applications for pre-accreditation of hydro schemes for the FIT was received in 2014 than in previous years. This high rate has caused degression triggers to be met and a 20% reduction in the Hydro FIT rate will apply for applications received after December The increase in preaccreditation applications was likely driven by a rush to accredit before the tariff reduced. This has been further compounded by the announcement on 21 July by the UK Government of a short consultation to remove preaccreditation from the FIT and to indicate that the comprehensive review of the FIT will be delayed under later in the summer. A key action of the Scottish Government is to ensure Scottish stakeholders views are considered fully by the UK Government as part of the consultation processes. In addition, continued action is being taken by SNH and SEPA supporting hydro development through; Practical Guidance Pre-application support Prompt decision making - on a licence or planning application Commitment to continuous improvement 21

22 6. Solar PV Headline Figures 166MW amount of installed PV at end of March 2015, an increase of 21% compared to the previous year. Despite the Scottish climate, solar still plays an important role in our renewable energy mix. Indeed, a report by KPMG on behalf of the Renewable Energy Association found that solar PV could be the first renewable technology to achieve grid parity in the UK as PV costs reduce. The report notes that the transition from a subsidised technology to a mainstream technology will need continued innovation to take place over several years. The Scottish Government is committed to encouraging and promoting solar within the limits of our devolved powers. We help to create a supportive environment for solar principally through our legal powers on planning and building standards, and through funding home energy advice centres and measures delivered through them. Solar has potential to allow under-represented urban communities in particular to access energy ownership and benefits. This potential has started to be realised with some solar projects successfully bidding for CARES funding, including the Edinburgh Community Solar Co-operative, which has been approved for a 133k CARES loan to develop solar PV on Edinburgh Council buildings. Solar energy faces some key challenges including ensuring timely and affordable grid access, increasing innovation required to reduce costs, enabling financial predictability and building community and industry confidence. The UK Government closed the Renewable Obligation (RO) scheme for larger solar projects as of April 2015 and has announced a consultation on further changes to the RO, including closing the scheme for smaller projects as of April While the early closure of the RO would apply across the UK, proposed changes to grandfathering and re-banding apply only in England and Wales. Therefore grandfathering remains in place for solar PV projects applying for RO in Scotland. A Scottish arm of the Solar Trade Association was set up this year, along with a Scottish Renewables solar network, which bodes well for the future of the sector in Scotland. This is reflected by the publication, in 2014, by the solar industry and academia of a vision document entitled, Solar Energy A Viable Contributor to Renewables in Scotland 14. The Scottish Government is engaging with industry groups, academia and others on how to take forward suggestions from the vision document and address the main barriers to solar deployment in Scotland. Stakeholder engagement on this is ongoing with a view to developing a collaborative action plan to attempt to make the most of the opportunities for solar in Scotland otland.pdf 22

23 7. Marine renewables Despite the challenges of the last year Pelamis Wave Power entered into administration after failing to secure enough funding to develop its technology, and Aquamarine Power announced plans to significantly downsize its business marine renewables still has huge potential as an energy source. In late 2014, we renewed our determination to support wave energy technology development by establishing Wave Energy Scotland (WES). This new body is unique in its approach in that its focus is on developing low cost, efficient and reliable components and subsystems that can be shared by wave energy technology developers. Interested parties can apply for up to 100% financial support for their technology development projects. Most recently, we were delighted to award 7m to developers of innovative power take-off systems. The quality of applications showed that there are game-changing ideas out there that will help move the wave energy towards commercial reality. We will also continue to provide support through the Marine Renewables Commercialisation Fund (MRCF) which is helping reduce the costs and risks of marine tidal array development. WES will build on the progress we ve already seen this year: Albatern successfully installed a trial device at one of Marine Harvest s fish farms off the coast of Muck, with the aim of providing power for fish farm operation in place of diesel-powered generators. Aquamarine and Bosch Rexroth joined forces to develop a standardised offshore power take off system. The WavePOD will provide a commercial solution for the problem most wave energy developers face in transforming linear motion into electrical energy. MeyGen was awarded over 20.5 million funding from the Renewable Energy Investment Fund (REIF) and Highlands & Islands Enterprise (HIE) in a groundbreaking deal. The funds are part of a 51 million funding package for the four turbine first phase of the project. A further 7.5 million was awarded from the Energy Technologies Institute (ETI) to create a multi-turbine foundation structure which will support a further two turbines. Construction commenced in January 2015 at the onshore site. Nova Innovation secured an investment of 1.85 million from Belgian green energy company ELSA, to build the Shetland Array (Five x 100kW tidal turbines) in the Bluemill Sound site. A further 1.9 million of grant and loan support was provided by Scottish Enterprise and REIF. 23

24 8. Community and locally owned renewables Headline Figures 500MW the level of renewables capacity in community and local ownership the Scottish Government wants to see by MW the level of renewables capacity currently in local or community ownership as at June million the amount paid by developers to communities in community benefit payments. 136 the number of renewables projects currently registered on our Register of Community Benefits. Locally owned renewable energy can be transformative for Scotland s communities often in areas where fuel poverty is highest, and regeneration is most needed. Whether through fully owned community projects, shared ownership with commercial developers, or receiving community benefit payments from locally installed projects, communities can earn income to spend on local projects to support local people. In the last year, three major community energy projects have come to fruition Point and Sandwick, which is the UK s largest community owned wind turbine; Stewart Energy Ltd, which is an exemplar joint venture between a local farming family and a community trust; and the Garmony Hydro Scheme, which is a fully owned project on Mull. All three are expected to generate substantial income for their communities. We are committed to ensuring that more communities have the chance to take the same opportunities, as we have outlined in our Community Energy Policy Statement (CEPS) which has just been finalised. The CEPS profiles current activity and policy mechanisms, and sets a clear statement of SG ambition for this sector, including the benefits which we want to see accrue to communities from commercially-owned renewables schemes and our vision for a shift to local energy economies. Our Community Empowerment programme, launched in November 2014, is playing a key part in this. It aligns our existing support under the Community and Renewable Energy Scheme (CARES), and the Renewable Energy Investment Fund, (REIF) with new support including: piloting a Local Energy Investment Fund (LEIF) under REIF which will make early investment in energy projects on behalf of communities, who will then have time and support to consider buying in; and running the CARES Local Energy Challenge Fund (LECF), with up to 20m for major demonstrator projects providing transformative innovative local energy solutions. Five projects were successful in the first round. A second round was announced on 17 March and 500,000 was awarded to support 23 projects at the early development stage. In particular, we are working to help developers and communities take advantage of sharing ownership in renewables projects. We are mindful that the recent changes announced to the Renewables Obligation for onshore wind developments may adversely affect the numbers of projects taken forward and that this may reduce 24

25 potential for shared ownership, but we will aim to ensure that community investment remains a viable option for projects that do happen. Through CARES, communities are given advice, support and financial assistance for community projects whether they are developing the project themselves; taking shared ownership in an existing scheme, or obtaining community benefits from a commercial developer. REIF can offer stopgap financing, and was instrumental in the Point and Sandwick and Garmony projects (see above). LEIF is a 10 million pilot to invest on behalf of communities to give them more time to buy a stake themselves. The Scottish Government has published Good Practice Principles for developers designed to maximise community benefit from onshore renewable energy developments. On 7 September 2015 this was complemented by the publication of our new Good Practice Principles for Community Benefits from Offshore Renewable Energy Developments. On 15 September this was again supplemented by new Good Practice Principles for Shared Ownership of Onshore Renewable Energy Developments. All are now available at: The latest figures from Energy Saving Trust show that we are on the cusp of reaching our 500 MW target for local and community renewables, with 492 MW deployed in nearly 12,000 schemes across Scotland, including 61 MW directly owned by community groups and 43 projects in shared ownership. The momentum gained is in danger of being lost given the recent announcements by the UK Government on renewable subsides. In particular the uncertainty around onshore wind is a deep concern for community groups who have been developing projects over a period of time and now find these projects under threat: Recent UK Govt announcements impacting on community energy sector Uncertainty over future onshore wind support: may damage confidence of commercial developers and investors to consider shared ownership just as it is taking off (over 40 jointly owned schemes now in Scotland, nearly quadrupling last year s figure) Sale of UK Govt stake in the Green Investment Bank: may inhibit the GIB s ability to support community energy schemes Removal of the ClimateChange Levy (CCL) exemption for renewables: will turn what was a measure to encourage green electricity into a simple tax on electricity generation Removal of pre-accreditation for FITS from 1 st Oct: may affect communities disproportionately as they take longer to develop. Communities may find it difficult to raise funds as their projects rely on project finance with limited security, and they have less development experience than commercial developers and fewer opportunities to spread risk with a portfolio approach. 25

26 Review of Feed in Tariff Scheme signalling reduced tariffs and more stringent degression: could again impact disproportionately on community developers. It is crucial that the UK Government provides communities with clarity as a matter of urgency. Following the equalities assessment of the Renewables Routemap (see Section 3), the Scottish Government has committed to develop a CARES Equalities Charter. 26

27 9. Sustainable Transport Headline Figures 600 number of charge points available to members of the public with electric vehicles across Scotland Over 12 million total Awards from the Scottish Green Bus Fund since 2010 for low carbon busses 269 number of low carbon busses that will have joined the Scottish fleet since The Scottish Government has committed to almost complete decarbonisation of the road transport sector by That means a transformation in moving people and goods around and moving away from current dependence on fossil-fuelled vehicles. This transformation will not be easy, but it is a vital part of tackling climate change, improving our air quality, and ensuring that our economy supports cutting edge green technologies. Switched On Scotland 15 is our roadmap to widespread adoption of Plug-in Vehicles, and sets out our vision for widespread adoption of electric vehicles. To realise this, we are increasing the number of charge points for electric vehicles, and in Dundee, Electric have launched a fleet of 30 electric taxis, an ambitious project supported by the Scottish Government. However, we are investing in a range of low carbon vehicles. Aberdeen is the first hydrogen transport hub outwith London, supporting four types of hydrogen-fuelled vehicles from mid hydrogen-powered buses Europe s largest fleet now run on two routes within the city, and an integrated hydrogen system produces and stores green hydrogen to fuel the bus fleet, generating electricity at times of peak demand. This is the first large scale facility of its kind in the UK. Construction of a second green hydrogen production and refuelling station in the city is being supported by transport Scotland, along with the purchase of additional hydrogen vehicles

28 Looking to the future The progress outlined in this update suggests that, with the right support, renewable energy technologies have the potential to transform our energy system, and become a cornerstone of Scotland s economy. However, the UK s electricity grid, particularly in rural Scotland, does not have the capacity to support new renewable electricity generation, and it was not designed for an abundance of small installations that export electricity. Significant infrastructure upgrades are planned, but in the meantime, the Scottish Government continues to work with industry, communities and the UK government to find solutions to ensure our renewables sector keeps moving forward. This includes programmes like our Local Energy Challenge Fund, which is piloting ways to transform energy use in local communities; our Low Carbon Infrastructure Transition Programme, which will work with innovative technologies and projects to help make them market ready; and our work with the UK Government to overcome the barriers of connecting renewables projects in the Highlands and Islands. Our drive for a more holistic energy system, in which a variety of technologies are combined in local energy systems, will also play a part in addressing these challenges. Even so, we recognise that these are long term projects, and they can only happen with continued innovation innovation that will only be possible with targeted support from government, and a highly skilled, competitive workforce. Enabling and Emerging technologies 10. Energy Storage With increased deployment of renewables and increased demand for electricity for heat and transport, energy storage and conversion technologies will increasingly enable renewables integration, balance supply and demand, and enhance security of supply. A wide range of electrical and thermal energy storage technologies, at varying stages of development and applicable at various scales, offer options for storage. Currently, there are a number of barriers to a significant increase in energy storage capacity across the UK, including current market and regulatory arrangements, and uncertainty over the value of energy storage in the future energy system. Pumped hydro is the most mature and extensively deployed large scale energy storage technology. The opportunity to increase Scotland s pumped storage capacity is hindered by the lack of support in current UK market arrangements. We support Scottish Renewables call to establish an inter-governmental panel with key organisations, including National Grid and Ofgem, to consider how pumped hydro storage could be supported for the benefit of the UK s future energy system. The Scottish Government is pursuing options to pinpoint the system benefits that pumped storage can deliver, identify the issues that are holding back deployment and encourage the installation of further pumped hydro storage capacity where appropriate. 28

29 Scotland has both world leading energy storage R&D activities spearheaded by the Energy Technology Partnership and its member organisations and an increasing number of demonstration and commercial activities which include storage technologies combined with active network management in Shetland; vanadium redox flow batteries in Gigha; and a large-scale lithium ion battery in Orkney. Our Infrastructure and Innovation Fund (IIF), which is part of the Community and Renewable Energy Scheme (CARES), supports innovative solutions to unlocking local renewable energy potential. It has supported a number of projects which include energy storage as an option. Our Local Energy Challenge Fund (LECF), also delivered under CARES, is supporting major demonstrations of innovative, joined-up approaches to local renewable energy generation and use. One of the five projects being supported under the first round of LECF will implement heat storage solutions which will help alleviate fuel poverty for over 1000 tenants of Castle Rock Edinvar Housing Association and East Lothian Housing Association in Falkirk and the Lothians. Among the technologies deployed will be heat storage batteries developed by Scottish company, Sunamp. These projects are contributing to a growing body of evidence on the benefits of energy storage technologies and the practical considerations in their deployment, and they have come about as a result of a strong policy focus on community energy solutions to alleviate fuel poverty and empower communities. The emerging strong trend towards distributed energy generation lends itself well to local energy storage solutions, especially in the context of heat and electricity distribution network constraints. The Scottish Government and its agencies see energy storage as a major strategic factor in the evolving energy mix, and are participating in a number of pieces of work which will increase our understanding of the range of technologies that are being developed, the system benefits of energy storage, and the key opportunities, barriers, and policy and regulatory considerations. 11. Hydrogen and Fuel Cells The development of fuel cells (as an efficient conversion technology) and hydrogen (as an energy carrier) is in keeping with the emergence of a more holistic view of the energy system, and the Scottish Government s support for local energy economies. Globally, the industry continues to develop in markets as diverse as residential combined heat and power (CHP), large scale stationary power, electrolysers, fuel cell electric vehicles, hydrogen refuelling stations, and portable products such chargers for consumer electronics The European Commission is supporting the technology through both its Strategic Energy Technologies (SET) Plan and the renewed Fuel Cell and Hydrogen Joint Undertaking (FCH JU), which has a combined public-private budget of around 1.33 billion until 2020 to support research, development and demonstration activities. 29

30 The Scottish Hydrogen and Fuel Cell Association (SHFCA) brings together companies, public bodies and researchers to promote and develop Scottish expertise in fuel cells and hydrogen technologies. With over 75 members, it is one of the largest hydrogen and fuel cell associations in the world. The Scottish Government is determined to build on this momentum, and is supporting fuel cell and hydrogen projects across Scotland. As well as the use of hydrogen transport highlighted in the sustainable transport section, the Scottish Government s Community and Renewable Energy Scheme (CARES) is supporting hydrogen under two different programmes: The Infrastructure and Innovation Fund (IIF), which works to overcome barriers to community renewables in areas of grid constraint, is funding a number of studies investigating hydrogen as an option for local energy projects. The Local Energy Challenge Fund (LECF) is supporting two projects which will demonstrate hydrogen s potential to support local, low carbon energy economies. In Fife, Bright Green Hydrogen, together with a number of public and private partners, including Toshiba, is leading a project to show innovative local uses for renewably generated hydrogen. In Orkney, the Surf n Turf project will combine electricity from two tidal turbines and a wind turbine on Eday, which often produce more power than can be used in the area. The excess electricity will produce compressed hydrogen and be transported to Kirkwall harbour, where a fuel cell will convert the hydrogen to electrical power for buildings and berthed ferries. The Hyseas project aims to develop and build a world leading, hydrogen powered, zero emission ferry. Following completion of the proposed vessel design study, the next phase will involve system optimisation of the hydrid propulsion system to de-risk the manufacturing processes involved. The Scottish Government, SE and HIE will work together with an industrial consortium to enable the Hyseas project objectives to be realised. Scottish Enterprise is leading a project to explore the potential for mobile hydrogen refuelling in Scotland, with a focus on indigenous supply chain development and encouraging inward investment opportunities. The Scottish Government and its agencies are keen to develop a more strategic approach to hydrogen and fuel cells to underpin future investment and policy decisions, and provide a co-ordinated approach to the sector. We will work closely with industry and other partners, including Innovate UK and the UK government in the year ahead to develop this approach. 12. Geothermal Energy In 2013, the study into the Potential for Deep Geothermal Energy in Scotland was published. The Scottish Government s Heat Generation Policy Statement indicated the intention to build on those findings by focusing on three of the report s recommendations: 30

31 support the development of demonstration projects; tackle legal and ownership issues; ant develop our vision and strategy for geothermal energy. A short-life geothermal energy expert group, consisting of a range of experts, has been convened to assist with the first of the recommendations. The group has already submitted practical proposals, which led to the launch of the Geothermal Energy Challenge Fund to support feasibility studies into the degree to which Scotland's geothermal resource can meet the energy needs of local communities. The Challenge Fund is the first project being delivered as part of the Low Carbon Infrastructure Transition Programme, the first strategic intervention established under the new European Structural Funds Programme. A total of 234,025 has been awarded to 5 projects: Aberdeen Exhibition and Conference Centre to explore the feasibility of the installation of a deep geothermal single well system to provide heat to the new Centre and associated buildings. Guardbridge, Fife to explore the geothermal potential under a brownfield site to provide heat to on-site industries and the local community. Polkemmet, West Lothian to establish the feasibility of the geothermal resource from mineworkings heating proposed new social housing in the area. Hartwood, North Lanarkshire to design a fully operational minewater geothermal district heating system which could act as an exemplar of how to transform farm economics and transfer benefits to local communities. Hill of Banchory, Aberdeenshire to explore the viability of adding geothermal energy to the existing renewable heat network that is already serving the local communities. A sub-group of the independent Regulatory Review Group has also been convened to consider the regulatory framework for Scotland s geothermal industry. The work of both groups will influence the strategy to make the most of the economic, social and environmental opportunities of Scotland s evolving geothermal industry. 31

32 3. Equalities Update Overview The Scottish Government believes that development of the renewables sector should promote equal opportunities, allowing the talents and skills of women and minority groups to be fully realised, reflecting and benefiting from the rich diversity of Scotland s population. We recognise and celebrate that much of this work is undertaken by women already in the industry, who proactively lead the way to encourage women to reach their full potential. For example, since it was launched in 2010, Women in Renewable Energy Scotland (WiRES) has aimed to represent, support and encourage the professional development of women working in or aspiring to work in the renewables sector, and will be continuing this support in the coming months, including networking events all across the country, and its mentoring scheme. However, the Scottish Government has its own part to play to support women in the renewables sector. Initial analysis identified gender inequality as a particular area that needed addressing. As a result, we committed to assess the policies delivered under the Renewables Routemap for their impacts and to ensure policy delivery is adapted to promote equality. We commissioned independent experts on gender equality, Close the Gap, to undertake a full equalities impact assessment (EqIA) of the Renewables Routemap, and the EqIA was completed at the end of The full EqIA is attached as an annex to the Routemap update, and the initial response from the Scottish Government, with next steps, is below. Further to this, in the 2012 update to the Routemap we committed to working with key stakeholders to monitor the numbers of women and all minority groups entering the sector, and publishing these findings annually as part of the [Routemap]. Since making this commitment the Scottish Government has commissioned ClimateXChange (CXC) on an annual basis to survey the sector on this issue. A summary of the latest survey responses is below and shows that good progress has been made since the previous survey in 2013, with the percentage of women employed in the sector in 2014 growing (in 12 months) from 28% to 40%, although it must be acknowledged that the sample size is quite low. 32

33 CXC annual survey: summary of findings Renewables Routemap: Equalities Monitoring Update 2014 For the last two years, the update to the Renewables Routemap has included a section on equalities issues. This programme has been carried out by ClimateXChange, the consortium of academic institutions set up to provide evidence supporting climate change policy-making for Scottish Government. A voluntary disclosure method has been used where respondents are asked to complete a survey to the extent that relevant data exists and they feel comfortable disclosing that data. The annual cycle for the disclosure is intended to build up a picture of trends within the industry. This update is a summary of the full report Voluntary Disclosure on Gender and other Equality and Diversity Issues in the Scottish Renewables Industry produced by ClimateXChange in November The survey covers four principal areas of disclosure: A profile of the workforce: representation by gender in both full and part-time roles. Maternity and paternity schemes: statutory minima and enhanced benefits. Flexible working arrangements: place of work and working hours. Dignity at work schemes: equality, harassment and bullying. The survey was hosted on SurveyMonkey 17 during July and August It was distributed to the 340 members of Scottish Renewables 18 and to 373 WiRES members through Close the Gap 19 and Energy Action Scotland. Twenty seven (27) organisations chose to make a disclosure representing 2,329 employees, around one-fifth of the workforce in the renewables sector. 20 This is a fall in sample size of around a third from the 2013 disclosure. Size of organisation No. of organisations No. of employees Small (<50 employees) Medium (50 to <250 employees) Large (250 + employees) 2 1,279 All organisations 27 2,329 These companies include thirteen (13) different organisational types - from developers and installers through academics to finance houses - and cover fifteen (15) areas of technology specialism. The majority [70%] have at least half of their renewable energy operations in Scotland Employment in Renewable Energy in Scotland O Herlihy & Co. Ltd. January

34 The principal equalities finding from the survey is that women make up 40% of the workforce, up 12% from 2013; some of the underlying detail is provided in Figure 1. Figure 1: Voluntary Disclosure 2014: workforce gender analysis For those organisations disclosing data on occupational roles [6 organisations representing 299 employees], over a quarter [27%] of those in senior managerial or professional roles [SOC1 through SOC3 21 ] were women. Pay grades continued to reflect gender disparities. Five [5] organisations representing 348 employees disclosed remuneration data this year. In these organisations just under half [49%] of the population pay higher rate taxes on salaries of 40,000 or more and of these just over a fifth [21%] are women. More strikingly only 3% of women in these organisations earn 50K or more, compared with 33% of men. Caution should be exercised in extrapolating these results as the sample size represents less than 3% of the total number employed in the industry and the margin of error is therefore high. Not all organisations disclosed their maternity and paternity arrangements. Of the 81% of the respondents [22] who did, around one third [32%] offer enhanced maternity benefits covering 545 employees and a little over a quarter [27%] provide enhanced paternity benefit cover for 549 employees; the remainder provide the statutory minimum as presumably those not disclosing data here must also do. There is a growing trend to more flexible working arrangements. Of the seventeen [17] companies disclosing their flexible working practices to their 1,813 employees, the majority [94%] offer part-time working as standard/informal practice. Of the 13% 21 Standard Occupational Classification (2010). Office of National Statistics