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Just Transition Fund for the North East and Moray: final evaluation report

Independent evaluation report of the Just Transition Fund for the North East and Moray. The evaluation assessed the impact of the Fund in its first two years of operation (2022-2024), during which it supported a package of skills interventions, community-based projects and innovative technologies.


Energy Transition Skills Hub

Introduction

The Energy Transition Skills Hub, led by ETZ Ltd, is an initiative designed to equip Scotland’s workforce with the skills needed for the renewable energy sector which involves the development of a dedicated training facility at North East Scotland College, alongside the creation of a mobile outreach vehicle to deliver skills provision across the region. Originally launched as the Advanced Manufacturing Skills Hub, it was rebranded to reflect a broader focus on offshore wind, hydrogen, and advanced manufacturing.

Just Transition Fund contribution

The JTF support—£4.5 million in total—enabled the purchase and development of a site in Altens, Aberdeen, as well as the design of an industry-aligned curriculum and technical facilities. This public investment helped unlock major private funding, including £1.8 million from Shell and £400,000 from the ECITB, as well as attracting £2.6M of UK and Scottish Government support through ETZ Ltd and £500K from North East Scotland College (NESCol). JTF’s investment enabled:

  • the purchase and development of a dedicated skills training site in Altens, Aberdeen;
  • the procurement of technical training equipment for use in welding, fabrication, and renewable energy technologies;
  • the development of an industry-aligned curriculum, designed to upskill workers for offshore wind, hydrogen, and advanced manufacturing;
  • the creation of an energy skills outreach vehicle to engage and inspire young people and underserviced groups in energy transition careers; and
  • the attraction of significant private sector investment, including £1.8 million from Shell, demonstrating the hub’s potential as a sustainable skills pipeline.

The JTF funding played a critical role in opening the Energy Transition Skills Hub up to other funding sources. According to the CEO of ETZ Ltd.,

"Shell’s investment in the Energy Transition Skills Hub was attracted due to JTF’s initial commitment. The fund helped de-risk the project, making it more viable for private sector involvement.”

Outcomes and strategic impact

The Energy Transition Skills Hub was developed in direct response to identified skills shortages in the renewables sector, particularly in offshore wind, hydrogen production, and fabrication and welding. Delays in offshore projects meant private investment in training was limited, creating an urgent need for public funding to ensure workforce readiness.

The Hub is expected to support over 1,000 people into energy transition jobs within five years, providing training pathways for new entrants and reskilling opportunities for oil and gas workers transitioning to renewables.

Just Transition outcomes

The Energy Transition Skills Hub aligns with multiple Just Transition outcomes:

  • Jobs, skills, and economic opportunities: The hub is addressing Scotland’s skills shortages in offshore wind and hydrogen, helping at least 1,000 individuals transition into green jobs over the next five years.
  • Business and economy: By aligning with industry needs and securing private sector investment, the project is helping to establish a sustainable green skills pipeline.
  • Communities and place: Through the energy outreach vehicle, the hub is ensuring wider community engagement, particularly among school-aged children and individuals from underrepresented backgrounds.
  • Decarbonisation and efficiencies: The hub is directly supporting the transition from high-carbon to low-carbon industries, ensuring Scotland’s workforce is equipped for net-zero technologies.

Lessons learned and future growth

While the Energy Transition Skills Hub has made significant progress, rising construction costs impacted site development, leading to budget revisions and project delays. Short-term funding cycles also created planning difficulties, with the CEO of ETZ ltd. noting that JTF’s annual funding model made it difficult to execute multi-year projects effectively.

Looking ahead, ETZ Ltd is pushing for longer-term funding models to enhance planning stability. The project is also exploring further private sector partnerships and additional government support to sustain and expand its impact. The next phase of development will focus on fully operationalising the Hub, rolling out targeted training programmes, and continuing outreach efforts through the energy outreach vehicle.

Conclusion

The Energy Transition Skills Hub is an investment in Scotland’s workforce, ensuring that the region is prepared for the transition to renewable energy. By providing high-quality training, fostering industry collaboration, and securing major private sector investment, the hub is playing a large role in shaping the future of Scotland’s energy sector.

Contact

Email: justtransitionfund@gov.scot

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