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Chamber and committees

Official Report: search what was said in Parliament

The Official Report is a written record of public meetings of the Parliament and committees.  

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Dates of parliamentary sessions
  1. Session 1: 12 May 1999 to 31 March 2003
  2. Session 2: 7 May 2003 to 2 April 2007
  3. Session 3: 9 May 2007 to 22 March 2011
  4. Session 4: 11 May 2011 to 23 March 2016
  5. Session 5: 12 May 2016 to 4 May 2021
  6. Session 6: 13 May 2021 to 8 April 2026
  7. Current session: 14 May 2026 to 8 November 2026
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Displaying 214 contributions

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Public Audit Committee [Draft]

“Management of the ScotWind leasing round”

Meeting date: 1 October 2026

Alan Brown

Yes, but if the prices were wildly low, it would still be worth selling on and invoking the clawback, would it not, because of how much easy money could be made?

Public Audit Committee [Draft]

“Management of the ScotWind leasing round”

Meeting date: 1 October 2026

Alan Brown

Much of the discussion about whether the right level of fees was set relates to the comparison with the Crown Estate UK round 4 leasing. Has any up-to-date analysis been done of where that sits in the whole process? The viability of the approach that was taken to round 4 leasing is a further indicator of the viability of the various approaches.

Public Audit Committee [Draft]

“Management of the ScotWind leasing round”

Meeting date: 1 October 2026

Alan Brown

On the supply chain issue, notwithstanding—

Public Audit Committee [Draft]

“Management of the ScotWind leasing round”

Meeting date: 1 October 2026

Alan Brown

Apologies.

Public Audit Committee [Draft]

“Management of the ScotWind leasing round”

Meeting date: 1 October 2026

Alan Brown

That framework is up for review as well.

Public Audit Committee [Draft]

“Management of the ScotWind leasing round”

Meeting date: 1 October 2026

Alan Brown

We know that money has been used for budget balancing, but you have reported that only £141 million has been committed for supply chain development out of £500 million. Would it not be cleaner if the Scottish Government aligned some of the ScotWind money with the £141 million that has already been committed and the remainder of that £500 million? Would that not be a cleaner accounting mechanism?

Public Audit Committee [Draft]

“Management of the ScotWind leasing round”

Meeting date: 1 October 2026

Alan Brown

I have another question that goes back to the complexity of sovereign wealth funds, which you have talked about, and the fiscal framework. There is a maximum Scotland reserve. If all the money was deposited as part of that reserve and the maximum was exceeded, would there be a clawback from Westminster? In that case, Scotland would lose money, given how the framework works.

Public Audit Committee [Draft]

“Management of the ScotWind leasing round”

Meeting date: 1 October 2026

Alan Brown

The true measure of the success of the approach that has been taken to the ScotWind leasing round and whether it delivers value for money will be dependent on future contracts for difference allocations. Down south, BP has already returned one of the six sites, and I suspect that it will return another one. A study was done—at Oxford, I think—that said that, because of the leasing costs in the Crown Estate UK round 4 process, companies are unlikely to be successful in contracts for difference allocation round 8, because they cannot meet the upper limit that has been set for the price of generation. Obviously, we need to see how successful the ScotWind projects are.

Is what I have said not the case? We will have to wait several years to find out how successful the projects have been, but the big prize is the £29 billion of supply chain development. That dwarfs the amount that was generated in fees. Regardless of whether that figure should have been £1.5 billion rather than £750 million, we need to look at the £29 billion of supply chain development and what it could do for the Scottish economy.

Public Audit Committee [Draft]

“Management of the ScotWind leasing round”

Meeting date: 1 October 2026

Alan Brown

If you are flagging it up, does that not mean that you think it should be changed?

Public Audit Committee [Draft]

“Management of the ScotWind leasing round”

Meeting date: 1 October 2026

Alan Brown

Right. I will leave that just now, then.

I have one more question. The report highlights—and Crown Estate Scotland has acknowledged—the potential difficulty in delivering the price cap, because of grid charging. In the north of Scotland, you pay to connect the grid, whereas elsewhere—in the south of England, for example—you get paid to connect the grid. Is there almost an element of protecting the market from itself? I note that, in the round 4 leasing round, in which there was no price cap, there was almost what you might call speculation, with BP trying to come into the market. BP has now withdrawn. Is this all about looking to the future and getting project viability?