Chamber and committees

While pharmacy closures can occur, this on the whole represents a small proportion of the network and is often limited to a small proportion of the required model hours. The Scottish Government continue to work with all Health Boards and community pharmacies representatives who are responsible for the provision of local pharmaceutical care services to ensure that any challenges faced by community pharmacies in providing the safe and effective dispensing of treatments are discussed with the local Health Board to minimise impact and risk to patients. Health boards can take a range of actions in response to any breach of terms by a pharmacy contractor.

The Scottish Government is currently consulting on its final proposals for the New Build Heat Standard. This consultation will inform the final regulations which are expected to be laid during 2023 before coming into force in April 2024. Alongside those regulations we will publish a Business Regulatory Impact Assessment. This will set out estimated costs and benefits of the approach, including emissions reductions.

The Scottish Government welcomes the publication Making the Switch, prepared by the Energy Transition Institute at Robert Gordon University, with funding from the Scottish Government through the North East Economic Recovery and Skills Fund . It highlights the potential for the North East to become a net zero energy hub that supports workers in existing oil and gas roles into the renewable and low carbon jobs of the future. In the Goldilocks zone, there is synchronous decline in the traditional oil and gas sector and uptick in renewables and low carbon, with workers able to transfer readily between energy sectors.

The Scottish Government is supporting the development of new skills and jobs in the North East through a number of programmes. These include the Energy Transition Zone skills programme which will accelerate the growth of a globally integrated energy cluster, creating 2,500 FTEs in Aberdeen at its peak and catalysing a further 10,000 energy transition related jobs in the region.

The Global Underwater Hub Skills programme, also funded through the Energy Transition Fund, is focussed on the technical skills, management and leadership capabilities required to meet the local and global demands of the growing underwater sectors and changing business environment. Detailed skills mapping will be carried out to highlight gaps in the current industry skills pool and identify areas of shortfall around future, new and growth areas. Strategies to tackle any gaps will be developed in collaboration with Skills Development Scotland (SDS).

The Scottish Government’s Green Jobs Fund is a five-year, capital fund of up to £100 million, which will support businesses and their supply chains to help them better transition to a low carbon economy. Already, more than 57 projects have been approved for funding, with around 3886 FTE jobs to be created and safeguarded.

The Climate Emergency Skills Action Plan is central to realising our ambition to create a future workforce that can support our transition to a net zero economy. It identifies immediate and long term actions needed to ensure our current and future workforce has the skills to support Scotland’s transition to net zero. The Green Jobs Workforce Academy, established to help workers take a green approach to their career, skills and job search, is accessible to all users, enabling a greater understanding of the relevance of their existing skills and signposting to green job opportunities.

Making the Switch also underlines how important carbon capture and storage will be to future-proofing jobs in the North East and why it is essential for the UK Government to support the Scottish Cluster to progress with urgency.

The Scottish Government is providing support to encourage investment in renewables in the north east through a number of funds and programmes. These include, but are not limited to:

The £75m Energy Transition Fund is investing in projects that aim to accelerate and support the move to renewable energy, protecting existing jobs and create new jobs in the North East, and across Scotland by opening up opportunities through energy transition and harnessing private sector funding. It is currently in delivery with an intended end date of 2025.

The £125m City Region Deal investment runs until 2026 and includes £90m for the Net Zero Technology Centre. The City Region Deal is delivering a number of projects aimed at utilising the resources of the North East to lead the world on the shift to a net zero future in areas such as:

• offshore renewable (wind) energy generation,
• energy storage,
• electricity interconnection,
• hydrogen production and fuel cell deployment,
• gas and hydrogen distribution, and
• carbon capture, utilisation and storage.

The £500 million Just Transition Fund for North East and Moray will deliver over the next 10 years. The fund opened for applications on 31 May 2022. Bids to the first year’s allocation of £20 million are currently being assessed. The Just Transition Fund complements other Scottish Government commitments to the sector in the North East and was announced in recognition of the particular need to diversify the regional economy away from carbon-intensive industries and to capitalise on the opportunities, including jobs and prosperity, that the transition to net zero will bring.

The draft Hydrogen Action Plan committed £100 million hydrogen funding for 2022-2026 through the Emerging Energy Technologies Fund (EETF). This is a Scotland-wide fund to support Hydrogen, CCUS and the development of negative emissions technologies. In June 2022, we launched the first tranche of the EETF via the £10 million Hydrogen Innovation Scheme. The remaining £90 million hydrogen investment programme is expected to launch in Autumn 2022 and will focus on supporting rapid renewable hydrogen production from Scotland’s abundant renewable energy resources.

Our Emerging Energy Technologies Fund allocates £80m over the next five years to support the development of CCUS and negative-emissions technologies. We have offered this funding to help the Scottish Cluster carbon capture project accelerate its effort to help Scotland’s just transition to net zero.

The Scottish Government is providing support to encourage investment in renewables in the north east through a number of funds and programmes. These include, but are not limited to, the £500 million Just Transition Fund for North East and Moray which opened on 31 May. Bids to the first year’s allocation of £20 million are currently being assessed. The Just Transition Fund complements other Scottish Government commitments to the sector in the North East – such as our £125m City Region Deal investment, including £90m for the Net Zero Technology Centre and the £75m Energy Transition Fund (ETF).The ETF will protect existing jobs and create new jobs in the North East, and across Scotland by opening up opportunities through energy transition and harnessing private sector funding. As an example, our investment of £26.3m in the Energy Transition Zone is helping to unlock a further £64m in private investment for the first phase. The Net Zero Technology Transition Programme delivered by the Net Zero Technology Centre has also leveraged match funding of £17m from industry for phases 1&2 as a direct result of our £17m investment in the programme.

The draft Hydrogen Action Plan committed £100 million hydrogen funding for 2022-2026 through the Emerging Energy Technologies Fund (EETF). This is a Scotland-wide fund to support Hydrogen, CCUS and the development of negative emissions technologies. In June 2022, we launched the first tranche of the EETF via the £10 million Hydrogen Innovation Scheme. The remaining £90 million hydrogen investment programme is expected to launch in Autumn 2022 and will focus on supporting rapid renewable hydrogen production from Scotland’s abundant renewable energy resources.

Scotland’s natural resources, which include strong and consistent wind resource, along with our established expertise in offshore oil and gas, skilled offshore workforce, excellent port structure and strong innovation hub, make Scotland one of the best places in the world to develop offshore wind and reap the supply chain benefits from private sector investment. The recent ScotWind leasing round demonstrates this, by delivering around £700 million in option fee revenues to the public purse, plus the ScotWind projects committed to investment of up to £25 billion across the Scottish supply chain across the 17 Scotwind offshore wind projects as set out in their Supply Chain Development Statements

Scotland’s energy sector is at the forefront of our transformation to becoming a net zero nation. It is a major employer and source of economic output, and our oil and gas infrastructure and highly skilled workforce have long been at the forefront of energy innovation - which is why it is well-placed to embrace the transformation that lies ahead.

We are already investing in the oil and gas sector’s net zero transformation. Our expanded £75 million Energy Transition Fund which is supporting the energy sector to grow and diversify, whilst helping to attract further private investment; and our £500 million Just Transition Fund for the North East and Moray will support the North East and Moray to become one of Scotland’s centres of excellence for the transition to a net zero economy . The opportunities of offshore wind are also considerable. Applicants to the recent ScotWind leasing round were required to submit a Supply Chain Development Statement, outlining the supply chain activity they commit to undertaking within Scotland, the UK and overseas. The full Supply Chain Development Statement Outlooks for all successful applicants were published by Crown Estate Scotland in April 2022, and the initial projections show an average spend of £1.5bn in Scotland across each of the 17 ScotWind projects. This week Crown Estate Scotland’s ScotWind clearing process offered seabed agreements to a further three projects off the east coast of Shetland bringing the total number of ScotWind projects to 20 totaling 27.8GW.

Our £75 million Energy Transition Fund is focused on acceleration the energy sector’s transition to net zero-emissions whilst helping to attract further private investment, £26 million of which has been allocated to develop the Energy Transition Zone (ETZ) in Aberdeen. ETZ is expected to directly support 2,500 green jobs by 2030, alongside a further 10,000 transition-related jobs. Our £500 million Just Transition Fund - which we have called on the UK Government multiple times to match - will also support the north east and Moray become one of Scotland's centres of excellence for the transition to a net economy, with our investment supporting transformation across the region.

We are committed to supporting Scotland’s just transition to net zero by 2045, a target that was agreed by parliament. It is vital that, as we transition our society and economy towards a low-carbon future, no individual, community or region is left behind.

We are also clear that oil and gas are part of our energy mix right now - and will continue to be so during the transition. With the North Sea continuing to play an important role now and in Scotland’s future. However the way to accelerate the transition to net zero - which is not just for environmental imperatives but to increase energy security and reduce energy costs - is to that we must end our dependence on oil and gas. We need to move away from fossil fuels to renewable sources of energy. This has been recognised by oil and gas companies who are now investing in renewable energy.

We are already investing in the oil and gas sector’s transformation. In addition to our expanded, £75 million Energy Transition Fund and £100 million Green Jobs Fund, our £500 million Just Transition Fund for the North East and Moray – which we have called on the UK Government multiple times to match - will support the North East and Moray become one of Scotland’s centres of excellence for the transition to a net zero economy, with our investment supporting transformation across the region.

We are meanwhile undertaking in-depth analysis work to better understand Scotland’s energy requirements as we transition to net zero, ensuring an approach that supports and protects our energy security and our highly skilled workforce whilst meeting our climate obligations. The Programme of Work's evidence base and some of its initial outputs will feature in the Scottish Government's draft Energy Strategy and Just Transition Plan (ESJTP) which will be published in Autumn 2022. The ESJTP will consider the whole energy system as part of the strategy and indicate the change required in electricity generation, heat, transport and all energy demand across Scotland.

In recognition of the particular challenges the North East has faced as result of the Covid-19 pandemic and the downturn in oil and gas, we have allocated £14.3m to the North East Economic Recovery and Skills Fund, which offers over 3,000 training opportunities in addition to supporting hundreds of local businesses at a critical time for the local economy. We have worked closely with local partners to develop proposals aligned to the City Region economic priorities of diversification and net zero transition, including local authorities, Skills Development Scotland, Opportunity North East, Scottish Enterprise, the Scottish Funding Council and local universities.

This programme aligns with existing nationwide upskilling and reskilling programmes of support for colleges and universities as we work towards a just transition, including the Young Person’s Guarantee, the National Transition Training Fund, the Flexible Workforce Development Fund and the Green Jobs Workforce Academy.

In 2022-23, we are also progressing key actions from the Climate Emergency Skills Action Plan (CESAP) focused on inspiring and empowering young people; supporting upskilling to meet emerging green jobs requirements; aligning work-based learning, Further and Higher Education provision to meet the needs of the net zero transition; facilitating behaviour change and helping employers capitalise on opportunities, and driving change in the skills system. The CESAP is being driven forward by an Implementation Steering Group comprised of central and local government and its agencies, education and skills providers, industry and independent experts.

The Scottish Government welcomed the findings in the Review which was funded through our £14.3m North East Economic Recovery and Skills Fund (NEERSF). The Review clearly demonstrates that, with the right investment, the North East of Scotland could support 9,000 more offshore energy jobs by 2030 than it currently does.

The just transition to a net zero economy is one of our greatest economic opportunities. Scotland has the potential to be a net zero global energy hub, that leaves no one behind by supporting existing oil & gas roles into the renewables and low carbon roles of the future.

The Scottish Government published an update to the 2018 Climate Change Plan in 2020, including over 200 policies and proposals which will drive our delivery of emissions reduction between 2020 and 2032.

The Scottish Government is currently in the process of developing the next climate change plan which covers the period from 2025 to 2040. The Scottish Government has committed to fully costing the next Climate Change Plan as set out in the Climate Change (Emissions Reduction Targets) (Scotland) Act 2019.

Our focus now is on delivering the existing plan as well as the polices that have been developed since to achieve our climate objectives. The challenging nature of delivering these targets will depend on a national endeavour, with action from all sectors of society. The updated plan sends a clear market signal which should give businesses the confidence to act, invest and achieve our climate targets, driving new green jobs, growing a thriving sustainable and fair economy.

All these actions require co-operation from the UK Government to maximise action in reserved actions. Our updated Plan set out the main asks of the UK Government and calls on them to match Scotland’s climate ambition in a credible way. As we develop our next plan and the vision for 2040, we will be required to go further and require reductions in currently reserved areas to achieve the 90% reduction by 2040.