The Shetland economy has had strong links to energy sectors since the second half of the 20th century. Oil and gas extraction and the subsequent transportation to Shetland Islands for treatment, warehousing and further distribution to potential users, has created key infrastructure and important supply chains; including the development of a skilled workforce. Now that oil and gas extraction is reduced and the UK as a whole is moving away from fossil fuels, an important transformation is set to take place in the Shetland Islands. Energy will remain an important component of the Shetland economy, with renewable energy sources at the centre of this transformation. In this work, we are focusing on the potential implications to the Shetland economy due to the development and operation of a new green energy sector, producing green hydrogen and other derivative fuels, as well as changes to other established sectors within the Shetland economy, expanding and/or developing to support this new green energy sector.

For our analyses we use our new Shetland Energy Model, exploring a range of what if" scenarios that our engagement with stakeholders has revealed to be important for the policy making process within the Shetland Islands and in engagement with UK and Scottish policy stakeholders. This tool allows users to access all our simulations and a wide range of policy-relevant resources.

The results reported in this tool reflect specific scenarios developed using a set number of assumptions. As such they aim to demonstrate the direction of travel and the magnitude of certain changes to the Shetland economy, rather than provide forecasting of the future. All the results are free to use, subject to appropriate citation of the original source and its authors.