Energy

Use energy to win independence, rather than independence to win energy

/ Dr Craig Dalzell / Leave a comment

“The problem with the idea of cause and effect is that what is deemed the cause is an effect.” –  Mokokoma Mokhonoana

This blog post previously appeared in The National as part of Common Weal’s In Common newsletter.
If you’d like to support my work for Common Weal or support me and this blog directly, see my donation policy page here.

Scotland doesn’t need independence to start owning our own energy.

It feels like 2025 has come full circle for us at Common Weal. January started for us with an announcement from the Scottish Government that it was “not possible” to bring Scottish renewable energy into public ownership – an announcement made after the publication of a poll showing that more than 80% of people in Scotland favoured them doing so. We responded with a briefing paper called “How to own Scottish energy” which laid out the logic behind their announcement, why that logic was flawed and how they could bring energy into public ownership despite their own objections.

In short, the Government’s stance is based on an extremely narrow reading of the Scotland Act which actively prohibits the Scottish Government or Scottish Ministers from owning electricity generating, storage or transmission assets. Under this reading, there cannot be a “National Electricity Company” designed and owned in the same way as some public corporations in Scotland like CalMac or ScotRail.

However, we showed in our paper that various options were not blocked by this prohibition. For example, a Minister-owned “National Heat Company” could be designed to build and own district heat networks to keep us all warm (the prohibition is specifically about electricity, not other forms of energy). The Government could also build a National Energy Company and hand ownership over to a consortium of Scotland’s 32 Local Authorities. Or each Council could own their own energy companies. Or the Government could back the creation of a private energy company that is mutually owned by every adult resident of Scotland. Or, instead of complaining about the limits of devolution, they could be applying pressure on the UK Government to amend what is very clearly a completely obsolete prohibition in the Scotland Act (especially as a narrow reading of it also prohibits the Scottish Government from erecting solar panels on its own buildings).

Come forward now to December and the SNP have kicked off their 2026 election campaign with a new paper essentially saying the same thing as they did earlier this year except framing it around “we’ll do it, but only after independence”. On public ownership in particular, they aren’t advocating for the full-scale nationalisation of energy but their ambition appears to extend only to communities owning up to 20% of local renewable projects.

20% is far better than the current level of a rounding error above 0%, but it’s clear that even within devolution, the Scottish Government could do far more than it’s currently doing to support communities by giving them grants and loans to purchase stakes in developments, to pressure developers to sell or grant those stakes to communities as a condition of planning permission or the renewal of licences and to actively use opportunities like the “repowering” of developments, the end of their licence periods and break-clauses in contracts that would allow poorly performing developers to have their licences withdrawn and transferred to public bodies (in much the same way as the Government took ScotRail back from Abelio in 2022)

This doesn’t get the UK Government off the hook though.

Their recent announcement that some £28 billion will be added to consumer energy bills to pay for vital energy grid upgrades is going to stick in the craw of people whose energy bills are already too high. Worse will be that most of the profits of that investment will flow into multinational companies – including foreign public energy companies – with none returning to the consumers themselves. These investments, too, should be made on a staked ownership basis so that the people paying for them – us – should become shareholders in the investments and see a return on our investment. To make things perfectly clear, if the UK Government had announced that it was going to fully publicly own the assets built via this spending, then the added costs on your bill would be the same. In other words, the choice to publicly own the UK’s new energy assets will cost you the same as the choice to leave them in private hands.

“Can’t we use our public owned energy to help win back our independence, rather than claiming more weakly that we can use independence to win back our energy?”

The same will be true of assets in an independent Scotland – but given the Scottish Government’s “all in” approach to “inward investment” (something their plan published this week mentions more often than public ownership), I can completely see them making the same mistake and forcing us to pay for assets that someone else will profit from.

I freely admit that there are aspects of Scotland’s energy transition that are not in Scotland’s hands and which are not likely to be easily negotiated away as part of an adjustment to devolution such as Scottish consumers being forced to pay for extremely expensive and risky nuclear projects that even NESO (formerly, the National Grid) now says are not needed to meet Green energy targets but this does not let the Scottish Government off from making the changes it can make now rather than using the dangling carrot of independence as a means of delaying action. If anything, independence will come less from making a promise that might be fulfilled afterwards but by taking tangible actions now that push devolution to the limit and then saying to voters “if you want more, you know what to do”.

If it truly is, as the Scottish Government says, Scotland’s Energy – then shouldn’t we take back as much as we can now as use that as leverage to win the rest? Can’t we use our public owned energy to help win back our independence, rather than claiming more weakly that we can use independence to win back our energy?

SNP Members back Common Weal’s public energy strategy (again)

/ Dr Craig Dalzell / Leave a comment

“All the mega corporations on the planet make their obscene profits off the labor and suffering of others, with complete disregard for the effects on the workers, environment, and future generations. As with the banking sector, they play games with the lives of millions, hysterically reject any kind of government intervention when the profits are rolling in, but are quick to pass the bill for the cleanup and the far-reaching consequences of these avoidable tragedies to the public when things go wrong. We have a straightforward proposal: if they want public money, we want public control. It’s that simple.” – Michael Hureaux-Perez

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The SNP members at their conference this month backed a major energy motion supported by the SNP Trade Union Group (TUG). This motion was developed in consultation with the STUC and with energy experts including myself and deeply integrates several aspects of Common Weal’s proposals for reform of the Scottish energy sector – including by moving forwards plans to bring energy into Scottish public ownership.

The motion was passed by acclaim and without objection meaning that this is now the fourth time that the SNP members have voted for an energy motion including public ownership at their national conference – each time achieving overwhelming or unanimous support. You can watch the presentation of the motion starting from the 1 hour 10 minute mark here.

The motion itself (pictured above) focusses on six key areas which are worth explaining in some detail.

1. Achieving Equity Stakes

Something that Common Weal has long advocated for is for the Government to stop just handing money to very large, often already very rich, companies in the form of tax breaks, loans or outright grants is no longer appropriate for a renewable energy sector that has for many years now demonstrated the ability to make a profit without public subsidy. At the same time, we’ve been shouting for some time about the obscenely high level of foreign ownership in the Scottish economy – particularly within the fundamental economy like energy.

Instead of just throwing money at the sector, the Scottish Government should demand equity – ownership shares – in return for public money and should even demand a public equity share as a precondition for planning permission or the granting of option rights in projects like the successors to ScotWind. Denmark recently did precisely this, calling for a minimum 20% public stake in offshore renewable projects.

This is, of course, a bit easier for Denmark as they have several publicly owned energy companies who, by definition, meet that stake simply by doing their job. Scotland – starting from the position of not having a public energy company – may have to take a position similar to that of GB Energy, being a kind of silent investment partner who merely provide the money and take the profits rather than taking an active role in developing the project.

However this should be merely a first step where small stakes are used as a training ground to build up the experience needed for the Scottish energy company to start joining projects as a co-developer, start to bid for projects on their own and then to move to a “no bid” process whereby the Scottish energy company simply start running all new Scottish energy projects by default.

The second part of the proposal is important for the initial “silent investor” stages. It would not do for the Scottish Government to be effectively investing in and buying ownership stakes in companies who treat their workers unfairly, so this provision would be an additional incentive for companies that if they want the support of Government then they have to meet a minimum standard of workers’ rights.

This is the approach the Scottish Government took to distinguish themselves from the UK with their “Green Freeports” which does show that the Fair Work principles are themselves not strong enough and might be of limited actual impact, but they do still represent a floor below which Government-supported jobs should not fall.

2. Appropriate ownership limits and break clauses

One of the things we discovered when researching for our second ScotWind paper was the discovery that the lease terms for offshore wind projects can stretch into multiple decades despite the turbines themselves reaching “breakeven” and starting to make a profit sometimes after only five or seven years or so. The “NR4” round of offshore wind in England promised a 60 year lease period for wind turbines.

With a normal lifespan of 20 to 30 years, this means that the lease would cover the operational lifespan of two or three generations of such turbines and if the five year payback period is achieved, then the lease could generate up to 50 years worth of energy profits.

Our default position is that until Scotland has the capacity to manufacture and install turbines ourselves then it’s fine to hire a developer to do it for us and perfectly acceptable for them to expect to recoup their investment and make a reasonable profit but that after a lease period that is as short as practical (say, ten years), ownership of the turbine should then be transferred to Scottish public ownership.

There is a caveat here. If the turbines have a 20 year lifespan, then nationalising them on year 19 would effectively just mean letting the corporations take all the profits and then socialising the decommissioning costs (much like what has happened with the Scottish oil sector).

In addition to a short lease there should also be strict break clauses whereby if the developer does not meet minimum standards such as on workers’ rights or if they break promises to invest in local supply chains or otherwise no longer meet reasonable standards as an operator in Scotland then the Government should activate a break clause in the contract, pull the lease in and give it to a Scottish public operator – this is precisely what the Government did in 2021 to nationalise ScotRail.

This is also how Scotland effectively nationalises all of our renewable energy for no cost to the electricity consumer. All we need to do is ensure that the current generation of generators are brought into public hands soon enough that they can pay for their replacements. This doesn’t just need to happen at a national scale with large developments like ScotWind. This can scale down to the community level where communities should be able to take over small onshore wind and solar farms.

That a community in Scotland recently failed to take over their local wind farm because a Scottish public body didn’t even consider the possibility of this shows how badly out of step Scottish policy is with the will of the people right now (I’m told that the community in question is now in the process of trying to buy out the land under the turbines so that they’ll get the rent from that and will control the next round of leases in the future – good luck to them).

3. Local supply and retrofitting

There is a massive mismatch between the Scottish Government’s energy supply policy and their energy demand policy (such that the latter exists). We all recognise that the climate emergency means that we need to use resources more efficiently. We also recognise that the vast majority of fuel poverty is caused by the fact that we need so much fuel to heat our homes. New buildings could be (but aren’t being) built so that they use an absolute minimum of energy (a properly built Passive House can use less energy to heat in a year than yours does in a winter month).

Transport policy could also be built to minimise energy use via much greater use of public transport for the vast majority of people. That traffic jam your stuck in where every car has an average of 1.1 people inside it is just about the least efficient way of moving people that could possibly be devised. Turning that traffic jam from a queue of fossil fuel burning cars into one of electric cars might be cleaner, but it’ll still double Scotland’s current electricity demand (inefficient heating would double it again).

So this part of the motion aims to double down on efforts to retrofit buildings and to boost local supply of materials to do so (for instance, the vast majority of sustainable insulation made from things like cellulose is imported into Scotland despite so much of our land being covered by monoculture sitka spruce plantations)

This week in one of our daily briefings (sign up here to get a short article on a news story that caught our eye every weekday) was on the story that one of the UK’s insulation projects had failed so badly that 98% of homes covered by it need to get it ripped out and redone. We outlined how to do this kind of work better not by relying on throwing money at companies and then not checking their work but by establishing the task as a public works infrastructure project to properly coordinate it and make it cheaper and more efficient to do. This plan has won favour at previous SNP conferences but, as with so many of our plans for public infrastructure, has been ignored by the leadership.

4. Establish an energy company

The SNP membership has supported a Scottish public energy company since we started lobbying for it in 2017. The SNP leadership has had to be dragged kicking and screaming towards that support too. The first Scottish Government plan for a Scottish electricity retail company fell afoul of a UK energy market that overwhelmingly favours large cartels over small providers and, as we warned at the time, an energy company that lacked its own generators and other assets would be entirely at the mercy of global energy price spikes. That proposal was dragged along without the reforms we warned would be needed until it was scrapped in 2021.

Earlier this year, another push from members to get the policy back on the books was blocked by the Government under the excuse that it couldn’t be enacted under the limits of devolution. We responded with a paper laying out six ways that Scotland could own Scottish energy assets under devolution – including via a network of municipal energy companies or via a National Mutual model where Scottish residents are shareholders in the company instead of Scottish Ministers (which is the actual thing that the Scotland Act blocks).

“The excuse that Scotland simply has to let “Foreign Direct Investment” suck our country dry, again, isn’t washing any more.”

This paper forms the heart of this part of the motion and we’re very happy that the SNP conference unanimously supported it. It is now clear SNP policy that Scotland should publicly own Scottish energy assets via whichever means that Devolution allows. I would favour either the Mutual model where the company is collectively owned by all of the people of Scotland or, failing that, by a National Energy Company collectively owned by the 32 Local Authorities.

Either way, the NEC should be combined with a mandate for the NEC to actively support municipal and community energy companies – co-investing with them in Public/Public Partnerships to help them bootstrap each other up to the point where the larger scale proposals outlined above like taking over existing developments at end-of-lease or outright developing ScotWind-scale projects becomes viable.

What is clear now is that the Scottish Government has run out of excuses. Their refusal to adopt a policy of publicly owning Scottish energy has not more legislative barriers left and now flies directly in the face of the will of their own party. I would expect to see their upcoming election manifesto reflect this will and, should the SNP be part of the Government after the elections, I expect to see proposals to bring about the NEC laid down and developed with all possible speed.

5. Invest in training and a Just Transition Jobs Register

The Just Transition is not going well. Despite the best efforts of polluting megacorporations to try to ride their climate emergency through just a few more quarterly shareholder targets, people are leaving the sector in Scotland either through choice or – as the closure of Grangemouth has highlighted – through the choice of others. However, we’re not seeing these skilled workers move into the renewables sectors at anywhere near the rate we need.

A policy passed at SNP conference a few years ago was the idea of a Just Transition Jobs Register. This would track how many people where being employed in the fossil fuel sectors and in the renewables sectors, would measure how many people were moving from the former to the latter each year and would actively seek to improve pathways to increase that flow. When the policy initially passed it was, again, completely ignored by the party leadership so its inclusion here in another motion must serve to highlight its importance.

6. Putting Communities and Workers First

Where the Just Transition is happening it’s too often being seen as a thing to do to workers, not as a thing for and by workers. I’ve seen corporate “Just Transition” plans that were entirely designed to transition the /company/ to a more sustainable footing but did so by replacing older workers with new apprentices rather than retraining existing staff. Meanwhile, studies like the one done by Platform in 2020 show that workers in the affected sectors already have very good ideas about how they’d like to see a transition happen while highlighting their concerns that they lack the power to do it.

Communities have similar ideas but also lack power. There are growing concerns about the flood of renewable developments in and around communities or the rise of electrical pylons designed to shunt energy past communities who are suffering from fuel poverty while not receiving any of the benefits of hosting the infrastructure. Even a plan such as ensuring that solar panels are built on houses and brownfield sites before taking away amenity space or Common Grazing land from locals would go a long way to helping people buy into the transition rather than turning against it because they see their environment transformed only to benefit companies and landowners.Conclusion

This motion represents a major victor for Common Weal’s influence within Scotland’s political circles but it’s an even bigger one for SNP members who have voted, again, for policies like this despite the party leadership trying to tell them that it couldn’t be done. The excuse that Scotland simply has to let “Foreign Direct Investment” suck our country dry, again, isn’t washing any more.

This isn’t merely an issue confined to the SNP, however. The other progressive parties in Scotland are all overwhelmingly in favour of policies like this too. It would be a Courageous Decision (in the Yes Minister sense) for leadership to continue to ignore not just the will of a majority of Scottish voters on this issue but the unanimous decision of their own party’s membership at their own conference.

Which hasn’t stopped them up till now – and therein lies the issue even with motions like this. There is still a vast gulf between “what members instruct their party to do” and “what the party actually does” with very little in the way of accountability or oversight to bridge that gap.

This is a problem in all political parties and may be a fundamental problem with political parties that limit their ability to manage a democratic government. The solutions to that are probably a topic for another time, but until then I encourage the members who supported this motion to make their voices heard. Do what you can to ensure that its principles make it into the upcoming manifesto. Do what you can to ensure that your local candidates support those principles. And make sure that they understand that your support of their election is dependent on them listening to their members.

And the message to other parties: If the SNP won’t do this despite that election, who will? Perhaps you?

Same Spin Everywhere

/ Dr Craig Dalzell / Leave a comment

“You’re radically collaborative, profoundly empathetic, and deeply communal. Everyone who tells you anything different is selling the fear that is the only thing that can break that nature.” – Hank Green

This blog post previously appeared in The National as part of Common Weal’s In Common newsletter.
If you’d like to support my work for Common Weal or support me and this blog directly, see my donation policy page here.

(The wind farm site discussed in this article will interpose between this ridge and the mountains in the background)

I was up in Skye this week to give one of my regular talks to activists and campaign groups around Scotland. It’s one of the aspects of my role at Common Weal that I enjoy the most and get the most out of even though it often means a lot of travelling. I’m very grateful to my hosts for not just organising the meeting but also putting me up for the night.

The evening was organised by the Breakish Windfarm Action Group who are currently concerned by plans to build a large windfarm development on a visually prominent part of the island. The estate owner, Lady Lucilla Noble, stands to profit massively from the site as will the Swedish developers Arise while tenant farmers are likely to see their livelihoods disrupted and restricted on what has been up till now land held as Common Grazings. They asked me to give a broader overview of how and why this is happening in Scotland and I duly prepared a presentation based around our proposals for how Scotland can publicly own our energy generation despite the Scottish Government’s excuse that “it’s reserved”. Shortest possible version: It’s only reserved if we want Government Ministers to own the energy. If we allow Local Authorities or communities to own it, it’s perfectly possible. It could even be funded in the same way. The only “downside” is that the Scottish Government wouldn’t get to control it. See Common Weal’s policy paper “How to own Scottish energy” for more details.

What I heard during the night though had both myself and my partner shaking our heads in disbelief. The story in Skye is that a landowner has contracted with a foreign company to extract vast profit from the resources of Scotland over the objections of the local community, without adequately compensating or benefiting said community, while obfuscating the planning process and making it is difficult as possible for the community to “properly” object as processes such as environmental studies and public inquiries cost tens to hundreds of thousands of pounds to complete – trivial amounts for the corporations but far beyond the reach of ordinary people to compete with. Everyone involved fully expects that even if the community is able to punch above its weight in terms of negotiating and bargaining power, Scottish Ministers will just override any objections because the Government’s primary goals are to make the Scottish GDP line go up by means of encouraging “inwards investment” – if doing that pushes climate goals too, then they suppose that’s fine too.

This is precisely the same story that is happening in my village at the moment where a French company is negotiating with a local land owner to build a massive solar farm and battery park. Just about the only thing that differs are the names of some of the people (and even then only some of them because it turns out that Ross Lambie, one of the local councillors for the ward I live in and who sits on our local Planning Committee is an absentee landlord bidding to use some land he owns in Skye to host a temporary housing for the construction workers being shipped in to install the turbines).

We’re not the only two communities facing this. Scotland is awash with largely foreign capital flooding places with applications for developments that even at their best won’t benefit communities nearly as much as they should (the £5,000 per Megawatt of community benefit funding that some of these developments offer is a shadow of the 30 to 100 times as much local revenue retained by full community ownership). Local planning offices report being completely overwhelmed trying to properly scrutinise applications and that goes double for areas with active community councils where volunteer councillors are expected to scrutinise highly technical documents without the resources to do so. Scottish Ministers are far too prone to allow projects to move up to the Energy Consents Unit to ensure that they can make the decisions – overriding local democracy as they do so – but this just concentrates the problem further. The ECU is similarly overwhelmed with more than 4,500 projects having been passed to them since December 2018. An average of almost two new applications per day. Ministers cannot not be expected to properly scrutinise these projects even if this was their only full time job.

And what happens if a dodgy developer does, by chance or fortune, get their application denied or made conditional to the point that they decide the profit margins aren’t high enough? Well, they just resubmit the application and try again or move on to the next community and hope they can’t pay as much attention. Communities need to be lucky every time. Corporations only need to get lucky once.
I’m not against renewable energy as a rule. We need more of it. What I’m asking for is for the Scottish Government to start abiding by its own party-approved policies. We need a Scottish Energy Development Agency (SEDA) to start producing a proper strategic map of Scotland. A map not just of where Scotland’s renewable resources are but where our actual demand is too. The overflow of development without coordination (compounded by frankly idiotic policies from Westminster such as blocking policies like Zonal Pricing) is leading to millions of pounds of consumer’s money being paid to energy generators in constraint payments. Wind turbines already generate profit almost for free once they’re built – the only way to make them more profitable for the multinationals and foreign public energy companies who own them is for them to make the profit without even generating the energy.

In addition to the SEDA we urgently need the Scottish Government to stop its opposition to public ownership of energy and to start allowing Scottish communities to be the owners of these developments.
Communities have been left alone to fight each application individually when it turns out that they are all facing the same spin everywhere. I am very happy to see that communities are increasingly banding together such as the 9CC group in Ayrshire or the recent conference of Community Councils in Inverness, but it’s clear that these groups themselves need support to start talking together, across Local Authority lines. Maybe that’s what it’ll take for Ministers to start paying proper attention. Maybe the next conference has to happen outside Holyrood itself.

The injustice of situations like where I live or in Skye or in hundreds of other communities is going to seriously harm public support for the renewable transition that we need. I’m not against renewable energy. I am against being screwed over by the people who own them. I’m against the injustice of communities not being given a stake in that transition and being told that their voice is irrelevant or a nuisance. But if my experience this week in Skye tells me anything, it’s that communities are ready to make that voice exactly as loud as it needs to be, especially as the elections approach. I hope Ministers will be listening. Or that their replacements might be.

You Have Options Too: An Open Letter to John Swinney

/ Dr Craig Dalzell / Leave a comment

“Squeezing the lives of people is now being proposed as the saviour of the planet. Through the green economy an attempt is being made to technologise, financialise, privatise and commodify all of the earth’s resources and living processes.” – Vandana Shiva

This blog post previously appeared in The National.
If you’d like to support my work for Common Weal or support me and this blog directly, see my donation policy page here.

wind turbines on snowy mountain under clear blue sky during daytime

DEAR First Minister John Swinney,

The UK is running away from the hard choices on energy. Its dismissal of ideas like zonal pricing – ­currently the only scheme yet presented that would allow the UK to maximise renewable energy generation, minimise infrastructure costs like ­pylons and to reduce fuel poverty while giving communities more incentive to take control of their own local energy generation – has been rightly criticised by you last week in a statement where you called out the UK for not doing enough on energy policy.

It was concerning to note, though, that your critique wasn’t backed up by much on what you want the UK to actually do instead. Even as you complained about the UK “ruling out all options to bring down ­energy bills” by abandoning zonal pricing, I’m not clear if you support it or would bring it in if you had the power to do so.

We all know that Scotland’s devolved powers in energy are limited and that, right now, you couldn’t do something like this, but also missing from your critique was what you plan to do with the powers you do have.

Scotland’s own devolved energy ­strategy has been woefully lacking in recent years – from the sell-off of ScotWind at ­bargain basement prices, through ­dropping ­climate targets that were designed to push ­action ever forwards, to flogging off (sorry, “­encouraging foreign direct investment in”) every piece of our renewable energy sector to multinational companies and ­foreign public energy companies to ensure that everyone in the world can profit from Scotland’s energy except us.

We can take another path, though. ­Scotland must ensure that we own our own renewable energy future and the way to do that is by bringing it into public ownership. Here are several ways that you could do it.

1) A National Energy Company

This is what most of us think of when we think about “Scottish public energy”, and it’s the model that the Welsh Government adopted under the name Ynni Cymru. This is a single national company, owned by the Scottish Government or by Scottish ministers (similar to Scottish Water), that would own, generate and sell energy to consumers.

There is a snag to this plan in that the Scotland Act currently prohibits the ­Scottish Government from “owning, ­generating, transmitting or storing” electricity, so if we want the National Energy Company to be based around supplying ­electricity, then the first thing that the Scottish ­Government could be doing is mounting a pressure campaign to amend the Act – it puts Scotland in the ridiculous position that it’s legal for the Welsh Government to own a wind turbine in Scotland but not the Scottish Government.

Until that campaign is successful, there is something you can do.

The Act quite specifically bans your Government from owning electricity ­generators. It does not ban other forms of energy. A National Heat Company based around deploying district heat networks could supply all but the most remote of Scottish households.

While this would be a large infrastructure project, it wouldn’t be larger than the one required to build the electricity pylons we need if we’re going to electrify heat instead and the pipes would have the advantage of being underground and out of sight while ultimately providing heat to homes in a cheap, more efficient and ultimately more future-proof way that the current setup of asking people to buy heat pumps and just hoping that the grid can cope with the demand.

2) Local Electricity Companies

So, First Minister, let’s say that you’re not a fan of campaigning for the devolution of more powers and really want Scotland to be generating electricity. You can’t create a National Electricity Company but you can encourage local authorities to set up their own Local Electricity Company.

Conceivably, the 32 councils could even jointly own one National Electricity Company – the Scotland Act merely bans the Scottish Government from owning the company.

In many ways, this would be an even better idea than the Scottish Government doing it. Government borrowing ­powers are far too limited and you’d need to ­campaign for more borrowing powers to get the scale of action required to build the infrastructure we need – but councils have a trick up their sleeves.

They are allowed to borrow basically as much money as they like so long as the ­investment the borrowing allows brings in enough of a return to pay back the loan. This is very likely how Shetland Council will finance its plan to connect the islands via tunnels – the construction would be paid for via tolls on traffic.

Energy, as we know, is very profitable indeed so there should be absolutely no issue with councils being able to pay back their loans and then to use the revenue from their energy generation to subsidise local households against fuel poverty and to support public services.

If we want to go even more local than this, then councils and perhaps the Scottish National Investment Bank could support communities to own their own energy.

We’ve seen multiple times that community ownership generates many times as much local wealth building – as well as skills and jobs – than the current model of private ownership plus paltry “community benefit funds”.

3) A National Mutual Energy Company

This is another national-scale energy company that the Scottish Government could launch but in this case wouldn’t own or control. Instead, the “National Mutual” would be owned by the people of Scotland.

In this model, every adult resident of ­Scotland would be issued one share in the company. They wouldn’t be able to sell it and they’d have to surrender it if they ever stop living in Scotland, but ­other than this, it would be much like owning a share in companies like Co-op.

The company would be run as any other commercial company and would be beholden not to the Government but to its shareholders – us. We’d jointly ­decide ­future energy strategy and even potentially have a say in how much of the company’s operating surpluses are invested in future developments or distributed to shareholders (again, us) as a dividend.

This model would be particularly suited to very large energy developments that cut across local authority or even national borders or to help develop offshore assets. Imagine ScotWind had been owned by the people of Scotland, instead of being flogged off to multinational companies in an auction that had a maximum bidding price attached.

Conclusion

First Minister, I applaud you for keeping up some sense of pressure on the UK Government on energy.

As we make the necessary ­transitions ­required of us under our obligations to end the climate emergency, this is one of the sectors of Scotland that will change the most. It’s vital that we get this ­transition right, or not only will ­Scotland see yet another generation of energy ­potential squandered in the same way that the coal and oil eras were, we’ll see Scottish ­households bear the weight of others ­profiting from that transition while we still experience crushing levels of poverty and economic vulnerability.

The UK Government may be ruling out all of their options on energy but that doesn’t mean that you need to do the same. We don’t need to wait until independence – as vital as it is – or to wait until Westminster gets its act together – which may or may not happen. We – you – have options too. It’s time to take them.

Yours, expectantly …

The Lie Under The Nuclear Promise

/ Dr Craig Dalzell / 1 Comment

“Ours is a world of nuclear giants and ethical infants. We know more about war than we know about peace, more about killing than we know about living. We have grasped the mystery of the atom and rejected the Sermon on the Mount.” – Omar N. Bradley

This is a rough transcript – edited for text medium – of the speech I gave at Scottish CND’s fringe meeting at the STUC Annual Congress on April 29th, 2025.

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yellow and black road sign

When I was invited here, I was given a very broad remit for the topic of discussion. I thought I was going to talk today about the economics of nuclear bombs perhaps by way of talking about opportunity costs of investing in nuclear weapons – and what we could be building instead. Or maybe I’d talk about the cost of rebuilding a nuked city – though the images we’re seeing in real time from Palestine show that those costs can be visited upon humanity without us splitting a single atom. But when I sat down to decide what to actually say, something else came to mind entirely.

Here is my proposal for discussion: It is possible for an economy the size of the UK’s to sustain a civilian nuclear power sector without nuclear weapons. It is not possible for it to sustain a nuclear weapons sector without civilian nuclear power. Therefore, when politicians claim to back new nuclear power – especially in Scotland – despite renewables being cheaper, more effective, cleaner, faster to deploy and more secure, what they are actually doing is trying to shore up support for nuclear bomb infrastructure but they know they can’t say that.

To give a bit of a back story about myself and how I very nearly became an example of that proposal in action. Some here might know that I’ve not always been a policy wonk.
My degrees are in physics. I have a Masters in Laser Physics and Optoelectronics and a PhD in two-photon fluorescence with applications in distributed optical fibre sensing (don’t worry – no-one else understands it either).

Back in 2010, I was giving a lecture about my PhD work in London and got talking afterwards with someone who turned out to be from AWE Aldermaston. They were interested in some of the “extreme environment” applications for my research but amusingly, we had to cut the conversation short when he said “I don’t think I should say any more in case you start working out some secrets”. Probably for the best, though I’ll never know if my next thoughts were correct or not…

The point of that story is that I could very well have gone down that route. Several of my friends went into conventional military engineering. A couple went into civilian nuclear – including one who had to leave because he wasn’t willing to give up a dual citizenship for a promotion.

If we only had the couple hundred jobs sustained by the bomb sector, why would unis run those physics courses? As my friend Robbie [Mochrie] on this panel can attest – would he be teaching his courses if there were no jobs for his students to go into?

Where would the physicists and engineers who didn’t get those jobs go? Sure…some might become policy wonks…but while I love my job, I didn’t need to become a laser physicist to get it.

As an analogy, imagine trying to plan for an oil company and someone magics away all of the world’s plastic but nothing else changes. You’d lose a tiny fraction of your customer base but you’d still be selling oil to all the people with cars and gas boilers. You wouldn’t see much change in your business model.

A nuclear bomb sector without a civilian nuclear power sector is a bit like trying to run an oil company when all the cars are electric, the boilers are heat pumps and we recycle all of our plastics. The economics don’t work.

So bear this in mind when the politicians talk about bringing new nuclear power Scotland. There might well be a case for it – I’m not ideologically against it. But renewables are so cheap and Scotland’s potential so great that we don’t need that kind of civilian nuclear sector here. Unless…they want them here for the reason they know they can’t say.

The Last Stand of the Oil Barons

/ Dr Craig Dalzell / Leave a comment

“You never change things by fighting the existing reality.
To change something, build a new model that makes the existing model obsolete.”  – R. Buckminster Fuller

This blog post previously appeared in The National as part of Common Weal’s In Common newsletter.
If you’d like to support my work for Common Weal or support me and this blog directly, see my donation policy page here.

Station

The oil and gas sector advocacy group Offshore Energies UK has claimed that if it gets more political and financial support than the sector already gets then the UK could produce half of the 15 billion barrels of oil we’ll need before 2050 with the rest being imported from increasingly unstable and unreliable countries like the USA.

However, rather than feeding even more monetary and political capital into the insatiable maw of the companies that caused the climate emergency, it would be a far better idea would be to aggressively drive down that demand by investing instead in a Green New Deal that would reduce the heat we need in our homes, remove the need for that heat to be produced by oil and would retire fuel-hungry modes of transport like internal combustion cars in favour of active travel and electrified public transport.

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The Shape Of Solar Scotland – Part II

/ Dr Craig Dalzell / Leave a comment

“In a time in which Communist regimes have been rightfully discredited and yet alternatives to neoliberal capitalist societies are unwisely dismissed, I defend the fundamental claim of Marxist theory: there must be countervailing forces that defend people’s needs against the brutality of profit driven capitalism.” – Cornel West

This blog post previously appeared in Common Weal’s weekly newsletter. Sign up for the newsletter here.

If you’d like to support my work for Common Weal or support me and this blog directly, see my donate page here.
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A year ago this month I told the story of a new renewables development that had been planned for next to my village and how it put me in the very unexpected position of actively opposing something that most would expect me to have been wildly in favour of. A 100MW solar farm, plus another 100MW worth of battery capacity, worth around £150 million that would produce more power than this village could use ten times over. At the time of its initial proposal it would have been the largest solar farm not just in Scotland but in the entire UK (though since then, several larger projects have been proposed – I’ll come back to that in a bit).

My objection has never been about the renewables themselves – we need more in general and we really need more solar power in particular to balance a grid that is a little too tilted towards wind power – but it has been about control and who benefits from a project that would, in effect, turn a semi-rural Clydesdale village into an industrial estate power station with some houses on the edge. We do now have a few updates, courtesy of a meeting facilitated between the company and the local residents association (the unelected body we have representing the village because we don’t even have an elected Community Council here, never mind proper European-style municipal government) and held in the office of our constituency MSP and Cabinet Secretary for Energy and Net Zero Màiri McAllan. I should say that I, personally, wasn’t at this meeting (and neither was Màiri herself as she’s on parental leave) and only found out that it happened at all when the association published the minutes of the meeting on the village Facebook page almost a month after the fact.

My main objection to the project has never been about the renewables themselves but about place, ownership and benefit.

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Extracting Oil and Profits

/ Dr Craig Dalzell / 3 Comments

“No idea is above scrutiny and no people are beneath dignity.” – Maajid Nawaz

The following are two short articles I had published last week. The first, on Foreign Direct Investment, appeared in The Herald and the second, on Ed Milliband ending oil licences, appeared in The National.

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Scotland must drop its addiction to foreign investment

Ian McConnell’s highlighting of Scotland’s continued dependency on “foreign direct investment” offers a welcome opportunity to once again explain why the policy – supported by multiple Scottish Governments – is acting to the detriment of the Scottish economy.

All investment demands an expectation of a return on that investment and the fact that the investment is coming from outwith Scotland obviously means that those returns must leave via the same route. Scottish Government figures show that since the start of devolution, more than a quarter of a trillion pounds has been net extracted from Scotland and that around £10 billion was extracted from Scotland in the most recent year we have data for. Further analysis by Common Weal shows that as a proportion of our economy, this is the highest rate of profit extraction of any of our peer nations with the exception of a handful of micro-states and tax havens as well as higher than any of the World Bank’s income groups, including the poorest and most indebted nations. Scotland, in that sense, runs an economy with European levels of economic development but with West African levels of foreign exploitation and profit extraction.

This isn’t just an issue of money. Companies that are mobile enough to invest in Scotland are mobile enough to remove that investment unless they get the political kickbacks they want (see the discussions around Scotland’s Green Freeports, for example. Or Grangemouth.) and thus present a direct intervention against our democracy. They also tend to more weakly embed jobs and skills in the economy and are more willing to leave workers on the scrapheap if some other nation decides to attract their “investments” instead of us.

The Scottish Government should drop its addition to FDI and should concentrate on building up domestic sources of investment (starting with reforms to the Scottish National Investment Bank) and should focus not on quick “GDP Growth” and accelerations of shareholder profits but on sustainable development not just of companies but of their workforces and the wellbeing of the communities in which they live.

Ed Miliband’s stance is welcome but it does not go far enough

The news that Ed Milliband has halted new oil and gas licences is a very welcome change of direction for UK politics and effectively brings the UK Government into line with what was the Scottish Government’s policy on new oil and gas in January last year. As it stands now though, the Scottish Government has backtracked on their opposition to new oil and has been extremely vague about the conditions under which it would support a ban. To be clear, it is one thing to state that you’d only support a licence if environmental checkpoints are met but if you don’t state what those checkpoints are or what a properly compliant oil licence would look like, then all you are doing is deferring responsibility for the decision either way.

The Supreme Court’s ruling last month that oil extraction must fully account for all oil emissions is significant here. Until then, a case was being built that a “Net Zero” oil rig would be one that transported workers to and from it without burning fossil fuels (Scope 1 emissions) and was powered by renewable energy instead of a fossil fuel power plant (Scope 2 emissions) but that basically washed its hands of whatever happened to the oil it extracted (Scope 3 emissions). If you bought some of their oil and burned it, that wasn’t their problem. This can no longer be the case and so brings into question the very possibility of a compliant oil rig. The Scottish Government should outright admit that either their support for oil must be ditched, or their remaining climate policies must.

As welcome as Milliband’s decision is, it likely doesn’t go far enough. He’s equally stated that he won’t revoke licences already granted but not yet being exploited nor will he shut down oil wells that are still economically producing oil. Half a decade ago in 2019, Friends of the Earth’s “Sea Change” report found that if the world is to meet its collective climate targets then not only must new licences be blocked and unexploited licences revoked, at least 20% of the economic oil in wells that are currently open must stay in the ground.

A Just Transition for workers is vital and I sympathise with Unite’s “no ban without a plan” slogan, but I fear that the politicians will stick to the easy option of “no ban” rather than what they should do, which is to bring those workers into the room immediately and help them design the plan that grants them the Just Transition they want and deserve before another political deferral forces a chaotic collapse of the oil industry and sees oil workers dumped just like their predecessors in the coal industry were.

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What Happened To GB Energy?

/ Dr Craig Dalzell / Leave a comment

“In a world where vows are worthless.Where making a pledge means nothing. Where promises are made to be broken, it would be nice to see words come back into power.” – Chuck Palahniuk

(This blog post previously appeared in Common Weal’s weekly newsletter. Sign up for the newsletter here.)

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One of Common Weal’s most important policy successes has been how we’ve pushed the debate in Scotland and beyond on the issue of publicly owned energy. Energy is absolutely vital to our entire economy regardless of which side of the left-right spectrum you believe that economy should serve (as Prof Steve Keen puts it: “Capital without energy is a sculpture; Labour without energy is a corpse.”) and in the UK we, unlike many other states, have decided to sell off our energy sector to the point that more of our energy is owned by the public sectors of other nations than is owned by our own, never mind the vast swathes owned by private multinationals that are the size of countries.

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Shedding Light on Rural Heat

/ Dr Craig Dalzell / Leave a comment

“One afternoon, when I was four years old, my father came home, and he found me in the living room in front of a roaring fire, which made him very angry. Because we didn’t have a fireplace.” – Victor Borge

(This blog post previously appeared in Common Weal’s weekly newsletter. Sign up for the newsletter here.)

If the Scottish Government knew they were going to abandon its climate targets (see Robin’s column for more on that) then they could have probably saved themselves a lot of strife last week over their botched policies and communications around rural heating. If they had listened to us almost five years ago when we submitted a comprehensive policy paper and two extensive policy briefings to them on decarbonising heat in off-grid and rural areas, they might have avoided both weeks of bad headlines now.

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