29 July 2026
by Alex Brinded

Scottish Government backs Shetland clean fuels hub

The Sullom Voe Terminal is due to produce hydrogen and e-methanol by 2030.

A series of low-lying industrial buildings, including large gas tanks, in the distance of a rolling, treeless landscape
Sullom Voe Oil Terminal and Gas Plant in Shetland, UK © AlanMorris / Shutterstock

Veri Energy will receive nearly £760,000 to support the third phase to develop the hub.

The Scottish Government says it will retain and retrain skilled oil and gas workers, support local businesses and contribute to the development of clean fuels manufacturing expertise in Scotland.

This will also pave the way towards supplying e-methanol to a proposed sustainable aviation fuel plant on the site of the former refinery at Grangemouth.

Energy Minister Stephen Gethins says, 'We need an approach to our energy future that sees us manage oil and gas activity while seizing the opportunities that come from increasing the deployment of new technologies and fuel sources.

'Our renewables revolution has been two decades in the making, and the economic opportunities from what comes next could be transformational.

'That transformation needs to benefit communities right across Scotland, delivering jobs, energy security and growth – Shetland and our island communities have a vital role to play in this process. Shetland has been a vital part of Europe's security for decades and will continue to be for decades to come.'

Phases 1 and 2 were funded by Veri Energy and the Net Zero Technology Centre at a total cost of £2.2 million.

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Alex Brinded

Features Editor