Concerns have been raised over the impact of transmission charges on Scotland’s renewable energy sector, with claims that current arrangements are affecting investment in major wind projects.

The issue centres on grid connection costs faced by generators, with some industry voices arguing that Scottish projects face higher charges than those elsewhere in the UK.

Several major offshore wind developments have been affected, with reports of projects being paused or withdrawn.

The West of Orkney wind farm, a proposed 2GW project, has been paused, with developers citing rising costs and commercial challenges.

The project had been expected to power around two million homes and represented an estimated £6.4bn in investment.

The Arven South wind farm was also cancelled, with developers pointing to the impact of the current transmission charging system on viability.

The project had been valued at around £1.4bn.

Shell has also stepped away from the Campion wind project, with an estimated £7bn investment no longer progressing.

Industry groups have previously described transmission charging as a barrier to renewable energy development, particularly in Scotland.

Stephen Flynn said:

“The Labour Government is hammering our energy sector with crippling transmission charges uniquely applied to Scottish projects while equivalent sites in England are subsidised.

“We are an energy rich country, but our people are paying through the nose at the pumps and for our energy bills, the abject failure of the Labour Government to act here is risking our transition to clean energy and cheaper bills.

“Scotland’s wind, waters and workforce are powering homes across these islands, but Westminster is risking the renewables revolution we stand ready to capitalise upon.

“It’s Scotland’s energy and it should be in Scotland’s hands, not Westminster’s because for every day it is, is another day of Scotland’s potential wasted.

“We have an energy sector that is raring to go, but it is being held back by a Labour government that would rather squander billions on wasteful nuclear energy projects, through a fresh start with independence we can put Scotland’s energy in Scotland’s hands and build a wealthier country with far lower bills.”

The debate over grid charges and investment comes as Scotland continues to position itself as a key player in renewable energy generation.