March 29, 2016

The End of Longannet, and An Era

Recent energy news reports an end of an era, with the last coal-fired power station now switching off, not only signalling the end of its own power generation, but of all coal-fired power generation in Scotland. Longannet Power Station, the last of its kind in Scotland, has been the third

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London Construction Skills Centre Planned

It has been reported that a brand new skills college is in the planning stages for development in the London area. Set to be positioned in the widely reported Nine Elms area, the skills college is expected to offer a construction skills academy which can support the development of skills

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SSE Provides Forecasts with EU Brexit in Mind

Increased woes have been reported on the matter of the potential of the UK exiting the European Union; SSE has stated that the move may put its business at risk should a perceived period of legislative and, or regulatory uncertainty pursue. Of course, in the short term SEE has reported

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Latest Issue
Issue 332 : Sept 2025

March 29, 2016

The End of Longannet, and An Era

Recent energy news reports an end of an era, with the last coal-fired power station now switching off, not only signalling the end of its own power generation, but of all coal-fired power generation in Scotland. Longannet Power Station, the last of its kind in Scotland, has been the third most prominent coal-fired plant in Europe, and has been in operation ever since 1969, yet, in a recent move, Scottish Power has elected to close the plant. Nodding to the esteemed history and success of the plant, there is a degree of recognition as to the contributions made by the Longannet plant in delivering a substantial amount of electricity to the grid thus far, however, with recent shifts in the coal-power industry, the move comes as no surprise due to the waning popularity and viability of coal as a power source. Hugh Finley, Generation Director of Scottish Power commented: “Coal has long been the dominant force in Scotland’s electricity generation fleet, but the closure of Longannet signals the end of an era. For the first time in more than a century no power produced in Scotland will come from burning coal.” Of course, mixed emotions can be expected on the announcement, with one side of the argument considering the loss of a primary power source and commercial success in Scotland, while the other heralding a move away from coal power as a positive move from an environmental perspective. A certain portion of assuredly good news, however, has been Scottish Power’s dedication to ensuring that the change impacts those who have worked at the plant as little as possible. Of those employed at the plant, Scottish Power has decided to relocate a number of its employees, whilst also offering a combination of early retirement and redundancy packages to others. As for the future of the plant, no considerable plans have been confirmed as of yet, but it is expected that the company will present one over the course of the year.  

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London Construction Skills Centre Planned

It has been reported that a brand new skills college is in the planning stages for development in the London area. Set to be positioned in the widely reported Nine Elms area, the skills college is expected to offer a construction skills academy which can support the development of skills across the construction industry; something which has oft been reported as essential with the supply of construction jobs greatly outweighing the supply of those skilled individuals to fill those positions. In a bid to ensure those skills provided to up-and-coming industry professionals, Lambeth College has announced that employers are to play a key role in the creation of the curriculum and study schedules for the academy, allowing for those key stakeholders to ensure that the flow of workers to come from the scheme will be fit and able to support the continued success of the sector. In support of the endeavour, leading UK construction firm Carillion, has already expressed its backing of the academy, and will also support the success of it through promotion of it both within, and external to its own extensive supply chain. And with such backing, a high degree of interaction from employers is hoped for. Carillion’s Enterprise Manager, Chris James commented: “This exciting new partnership between Lambeth College and Carillion will establish a construction training academy as part of a pan-London solution and be key to addressing the skills shortage in London and the South East.” Over the course of the first five years of practice, it is hoped that the academy will see the creation of up to 1,400 jobs and 3,000 apprenticeships to be developed, providing a considerable funnel of skilled workers into the industry; skills which, by nature of the courses to be provided, will be instilled through real-work practices and training.

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SSE Provides Forecasts with EU Brexit in Mind

Increased woes have been reported on the matter of the potential of the UK exiting the European Union; SSE has stated that the move may put its business at risk should a perceived period of legislative and, or regulatory uncertainty pursue. Of course, in the short term SEE has reported that there would not be a direct risk to the provision of its service to customers, and it is expected that the industry giant will be able to continue investing back into its business and infrastructure as planned, regardless of the decision made on the EU referendum. Yet, in the longer term, the effects of drawn out regulatory and legislative changes may cause a degree of risk for SEE, as it most likely would also effect other key industry organisations. As for predictions over the course of the year, SSE has predicted a similar degree of success this year as was achieved in the last, perhaps a nod to the potential uncertainty of the market as a whole, yet also maintaining a positive outlook on being able to turn a meaningful profit in various areas of the business this year. Specifically, those profits pertaining to networks operating are expected to see a degree of increase, with wholesale operating profits expected to maintain, and those retail operations expected to see a reduction due to reduced energy-supply customers. Key areas attributed to the mixed predictions on profits can be attributed to the challenges faced by dropping prices for commodities, as well as increased competition within the retail market. However, Gregor Alexander, Finance Director of SEE commented towards a more positive outlook, saying: “Nevertheless, completion of the CMA investigation and the UK government’s consultation on the future of the electricity capacity market imply progress towards a more settled regulatory and policy framework.” With this in place, a far more positive outlook could be perceived for next year, and we can only expect predictions for the year to follow suit.  

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