Chamber and committees

You have hit on points that I discussed at length at the Citizen Participation and Public Petitions Committee a few weeks ago, when that issue came up and specific issues were raised. The good practice principles are currently for onshore technologies, and the ones for offshore are still to be developed. You are right that the issue is complex. Some communities will be concerned that developments have a direct impact on them and will want to see benefits. However, I take on board what you say about communities that are perhaps not in the line of sight but that want to benefit more broadly.

I will need to take that point away. We have not considered a dashboard. We have various ways in which we report on progress, including reporting to Parliament. The monitoring approach for the CCP will build on the range of public scrutiny that is already there. An annual monitoring report on the CCP is published, and there is an assessment of progress towards implementing proposals.

You mentioned the monitoring indicators on just transition. I was pleased with the response that we had on that from the Just Transition Commission, which was welcome. I am very proud that we have 14 social, environmental and economic indicators, which are the first of their kind to be included in a Scottish climate change plan.

I will take away the suggestion about a dashboard. We have all the reporting mechanisms that are laid out in statute but, if the committee thinks that there is a need to have something more public facing, I would have to look into the resource implications of that.

I will debate anything.

I would always like more money—and every single cabinet secretary will say the same thing. We have to work within our constraints and the settlement that we have been given. The spending review does not replace the annual budget processes, where I will be negotiating with Cabinet colleagues on future budget settlements.

Some programmes that have previously been funded are coming to a natural end. The recycling improvement fund comes to an end this year. It has allocated £66 million to 48 projects. The Scottish industrial energy transformation fund is ending, with focus shifting to development of the new industrial decarbonisation programme. Our investment to support the national flood resilience strategy has concluded; flood defence schemes continue to be funded through local government.

We are facing a very challenging fiscal environment. Like every cabinet secretary, I had to come forward with priorities. I want to prioritise actions in the climate change plan to deliver on the first carbon budget, and I think that the settlement that I have been given as part of the budget allows us to do that. A great deal of work will certainly be done over the next year to ensure that we reach the carbon budget.

That said, I have had to make some very difficult decisions about some of the things that we can no longer support, because of the fiscal settlement. Some areas of work that were expected to be at commercialisation by this point, such as wave energy, have been given £72 million since 2014. It is a matter of great regret to me that I was not able to fund them further, although I am discussing what could be done in the future.

I have had to make some very hard decisions, as has every single cabinet secretary, but I am content that I am able to carry on. I am particularly pleased that I was able to protect the nature restoration fund of £26 million, meaning that it has been at that level for two consecutive years. What that delivers in halting biodiversity loss is significant and important to the people of Scotland.

I am saying that I would have liked not to have to cut things where I have done, but I have had to prioritise certain actions that deliver on halting biodiversity loss, reducing emissions and supporting the just transition for the north-east and Moray, Grangemouth and Mossmorran.

We also have to recognise that around £5 billion is going towards climate action across the whole of Government. Climate action does not just happen in this portfolio. I was happy to support Mairi Gougeon, Màiri McAllan and Fiona Hyslop on their allocations, as they will be delivering significant emissions reductions.

Sorry—I got the figures wrong.

For just transition fund money and offshore wind money, we are able to track where there has been inward investment. There are also our Scottish Development International activities. Three Government ministers went to the Osaka expo, and we have been able to quantify that £23 million of inward investment came into Scotland as a result of those three interventions. We can track where Scottish Government investment leads to greater investment from the private sector.

That was very regrettable, and I wish that I did not have to make decisions like that. We are in discussions with Wave Energy Scotland about that.

Wave Energy Scotland was expected to be at commercialisation by this point. It still has an ask of Government, but I was unable to provide that in the budget. I had to go to Cabinet with a note of areas that were prioritised and areas that, sadly, could not be prioritised. The rationale lies in the constraints that I have been under when it comes to delivery, which the finance secretary has asked every cabinet secretary about.

I would like to be able to find a way to support Wave Energy Scotland. I feel very strongly that Great British Energy should be assisting technologies that are yet to achieve commercialisation. GB Energy seems to be going after technologies that are already commercialised, when it is the ones that have potential, such as wave and tidal, that need Government assistance. I have made that point to the energy minister at UK Government level, and I have said in public where the UK Government could assist the Scottish Government in getting some of those technologies to commerciality. I believe that the UK Government also needs to look at why those technologies are not getting to commercialisation—there need to be favourable conditions and they need assistance. It is regrettable that I was not able to put any funding towards Wave Energy Scotland but I was in a very difficult position.

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My officials have been working with Wave Energy Scotland to get more clarity around future planning to get them to commercialisation. That has been happening since September 2024. My officials advised that the Scottish Government put forward a budget proposal for limited funding, but we were clear that it would have to be contingent on budget affordability. Those conversations will continue. We need to see a business plan from Wave Energy Scotland that shows how it can get to commercialisation. We have not had the clarity on how it is going to do that.

I do not want to cut anything. I do not want to be in a position in which I have to make such decisions. I had to make some very hard decisions around that, about what we could prioritise. We are still talking to Wave Energy Scotland about future funding options.