Scotland is presenting itself as a critical participant in Germany’s efforts to lessen its energy reliance on Russia.
In Edinburgh and London, over 100 German business leaders, legislators, and scientists met to discuss the export of green hydrogen from Scotland.
As part of the negotiations, a delegation led by H E Stephan Weil, President of the German State of Lower Saxony, attended a renewable energy conference in Edinburgh organized by Scottish Development International (SDI) and the Scottish Hydrogen and Fuel Cell Association.
The seminar focused on Scotland’s potential to become a hydrogen manufacturing hub capable of exporting green hydrogen to continental Europe.
The conference found that Scotland has enormous potential for renewable energy production but will require massive investment to ramp up on- and offshore wind power installations.
Germany held talks with Russia last year about the possibility of collaborating on green hydrogen generation and transportation. The Nord Stream 2 pipeline – meant to connect Russia’s future hydrogen supply directly to Germany – was completed in September, but Germany has refused to sign critical paperwork following Russia’s invasion of Ukraine.
The Baltic Sea pipeline was intended to alleviate pressure on European customers who are now experiencing record energy prices.
Alex Altmann, a partner at accounting firm Blick Rothenberg and part of the delegation, said: “Germany is working on ending its dependency on Russian energy and is moving fast to replace oil and gas supplies from other countries.
“The visit of Minister President Stephan Weil to London and Edinburgh this week is a sign of requesting a closer energy cooperation between the two countries.”
Mr Altmann added: “Scotland has 25% of Europe’s entire wind energy potential. With its immense natural resources, Scotland is positioning itself as a global player for the export of green hydrogen, which can be a solution to Europe’s energy independence. However, the UK Government must first position itself on its new energy strategy. The Scottish Government seems to have the edge here.”
Lower Saxony is Germany’s fourth largest state, with almost eight million inhabitants and a total domestic product of £250 billion. With an annual trade volume of almost £9 billion, the UK is one of the most important export markets for Lower Saxon enterprises. Over 40% of businesses in Lower Saxony report finding it more difficult to trade with the UK following Brexit and wish to see the economic relationship improve again.
Mr Altmann said: “After Brexit ,important channels of bilateral communication must now be re-established as these are not available on EU platforms anymore. Bilateral initiatives such as the Lower Saxony delegation trip are vital to deepen political and economic relationships.”
During the trip Mr Weil met several political leaders, including Nicola Sturgeon, First Minister of Scotland; Lord Grimstone, Minister of State for Investment at the Department for International Trade; and Michael Gove, Secretary of State for Levelling Up, Housing and Communities.
Mr Weil said: “Lower Saxony is the number one state for renewable energy in Germany. We also want to become the number one climate protection and hydrogen state.
“Our goal is to reduce our dependence on Russian natural gas very quickly. With its coastline and the available water areas, Scotland has great potential for the expansion of renewable energies.”
He added: “One of the two LNG terminals announced by the German federal government will be built in Wilhelmshaven in Lower Saxony.
“I very much looking forward to intensifying future cooperation between the UK and Lower Saxony in the field of renewable energy, learning from each other and exchanging ideas.”
