Resolving the energy trilemma across the Scottish islands: policy report

The purpose of this report is to bring attention to the energy issues specifically faced in the Scottish Islands, with broader implications for grid-remote spaces. Additionally, this report seeks to provide implementable recommendations that can alleviate such issues while working towards the UK and Scottish Governments’ broader net-zero goals.
Due to their remoteness on the central grid and low population density, the Scottish Islands face a considerable number of energy challenges, including but not limited to high fuel bills, grid capacity constraints, and import dependency, despite the rapidly growing pool of renewable generation in these regions. These structural disadvantages shed light on the limitation of the national grid (the physical infrastructure, as well as the market and its regulation) in addressing the energy trilemma and in opening pathways for the just transition. At the same time, the islands have proven themselves as ‘can-do’ places, capable of driving innovation and creative adaptability in physically challenging geographies. Such ambitions have, however, encountered substantial institutional constraints. Unlocking opportunities would allow organisations to pilot varied initiatives and to develop skills and learnings of relevance beyond the region.
Through an analysis of workshops held with stakeholders in 2024 on multiple islands, interviews with professionals from within the energy sector, and an energy policy review, we provide seven recommendations:
1.Building island skills
2.Strengthening local decision-making
3.Decentralising the grid
4.Securing funding
5.Enabling regulatory environment
6.Ensuring community benefits
7.Establishing greater transparency