Samsung Heavy Gets Permission to Erect Test-Turbine Off Scotland

Scotland approved construction of a 7-megawatt wind turbine by Samsung Heavy Industries Co. (010140), allowing the South Korean manufacturer to test different offshore models at a site north of Edinburgh.

Samsung Heavy will get 6 million pounds ($9.3 million) in funds for the project at Fife Energy Park in Methil, Scotland’s government said today in a statement to coincide with a visit by Finance Secretary John Swinney to the Seoul-based company.

“Today’s announcement marks a significant step forward in establishing a globally competitive supply chain for the offshore wind industry,” Swinney said in the statement.

Scotland has a target to install 10,000 megawatts of offshore wind power to cut emissions from electricity output by more than four-fifths to 50 grams of carbon dioxide a kilowatt-hour in 2030. It’s aiming to meet all its power needs from renewables by 2020, and export any surplus to England.

Incentives to expand clean-energy in the U.K., the world’s largest offshore wind market, have attracted companies including Spain’s Gamesa Corp. Tecnologica SA (GAM) and Paris-based Areva SA (AREVA) to Scotland. The British government has pledged to triple renewable-energy subsidies to 7.6 billion pounds by 2020.

The permit granted today allows Samsung Heavy to construct a single three-bladed turbine as high as 196 meters (643 feet) tall, as well as offshore cabling and a bridge to the turbine tower, according to the statement. The company can have one turbine at the site at any one time, and operate the machine for as many as five years.

To contact the reporter on this story: Alex Morales in London at amorales2@bloomberg.net

To contact the editor responsible for this story: Reed Landberg at landberg@bloomberg.net

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