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.
3. Key findings
3.1 In its first two years, the Just Transition Fund supported a wide range of projects across the North East and Moray, spanning early-stage feasibility studies, skills programmes, nature-based initiatives, and capital infrastructure. Projects were delivered by a mix of start-ups, social enterprises, academic institutions, and public bodies. Projects were given freedom to decide which economic, community, environmental or equity outcomes they would deliver against. Many were pre-commercial or exploratory in nature, meaning tangible impacts—such as job creation or emissions savings—are emerging but not yet fully realised.
3.2 In this chapter we describe in more detail the economic, community, social and environmental impact of the projects funded by the JTF. As well as capturing successes and project achievements, this chapter also explores the implementation and project delivery challenges.
Economic impact
Total jobs created: at least 110 jobs.
Total jobs safeguarded: 120 jobs.
Total number of people who accessed training: at least 750.
Private sector investment in JTF projects: £30 million.
Public/third sector investment in JTF projects: £4.7 million
Employment
3.3 At least 110 jobs have been created across the 24 JTF projects, with the largest contributions from the Social Enterprise Just Transition Fund (47 jobs) and the ETZ Supply Chain and Energy Transition Challenge (37 jobs). While these figures provide a strong indication of job creation, additionality and displacement effects have not been formally considered, meaning it is unclear whether all jobs are entirely new to the region or if they have replaced existing roles elsewhere.
- The 47 new jobs created by the Social Enterprise Just Transition Fund are all new full-time equivalent (FTE) jobs including positions in green skills training and community-led business development;
- ETZ’s Supply Chain and Energy Transition Challenge Fund has supported 37 new jobs in sectors such as offshore wind, hydrogen, fabrication, and energy transition supply chains;
- The Findhorn Watershed Initiative created a mix of full-time and contract-based roles, employing 5.45 FTE staff and supporting work across ecology, mapping, and woodland restoration; and
- North East Adventure Tourism (NEAT) has begun hiring for permanent and seasonal roles, with Huntly Development Trust, a sub-project under NEAT, appointing a full-time centre manager and Tarland Trails, another sub-project of NEAT’s, planning to recruit trail maintenance staff.
3.4 Several projects have laid the foundation for future workforce expansion by creating employment opportunities in emerging sectors. In the academic and innovation sectors, projects such as UHI Moray Net Zero Bottlenecks and the Digital Innovation Lab have facilitated employment in research, green skills, and decarbonisation initiatives. The Digital Innovation Lab, for example, employed four staff within the University, all dedicated to climate-related projects. Additionally, several projects, including Ripcell’s EV Battery Recycling initiative, have begun with a small number of staff including four green jobs.
3.5 In addition to job creation, the JTF has helped safeguard 120 existing roles. The ETZ Supply Chain and Energy Transition Challenge safeguarded 96 jobs in 2023/24, with further job retention expected in future years; the Social Enterprise Just Transition Fund protected 24 FTE jobs, particularly in social enterprises focused on green skills and community development. Other projects contributed to workforce transition and job security. The Findhorn Watershed Initiative supported land management workers in adapting their skills toward nature restoration.
Future jobs
3.6 Several JTF-funded projects anticipate creating additional jobs in the coming years, particularly as they scale operations, secure further investment, or transition from planning to implementation:
- ETZ Supply Chain Pathway and Energy Transition Challenge Fund forecasts 200 new green jobs over four years;
- EV Battery Recycling expects to expand from four jobs to up to 12 as operations scale;
- Hydroglen and Hydrogen Offshore Production (HOP2) highlight potential for long-term employment in renewable energy, contingent on further infrastructure development and funding; and
- Cabrach Trust Distillery, a social enterprise, will bring single malt whisky production back to the area, creating jobs and volunteering opportunities, particularly in a region impacted by outward migration.
3.7 These projections remain speculative, as actual job creation will depend on future funding, policy shifts, and market conditions. Many projects, particularly those in research, feasibility studies, and infrastructure, require sustained investment to transition from short-term project roles to lasting employment. As the JTF is a ten-year endeavour still in its early stages, measuring its long-term job impact will require continued tracking of workforce retention.
Through future growth of the Lab and associated projects, it is likely that further green jobs will be created in the University. (Digital Innovation Lab, End of Year Report)
Sectoral distribution of jobs
3.8 JTF-funded jobs span five main sectors: renewable energy, education, social enterprise, sustainable tourism, and research, with additional roles in community engagement and infrastructure development:
- Renewable energy: projects such as EV Battery Recycling created technical and engineering roles, while the ETZ Supply Chain & Energy Transition Challenge contributed to employment in energy transition industries;
- Education and research: the UHI Moray Net Zero Bottlenecks project created three research fellow roles, while the JT Hub at James Hutton Institute is expected to generate further research jobs. The Digital Innovation Lab also employed four staff dedicated to net-zero research and decarbonisation projects;
- Social enterprise: the Social Enterprise Just Transition Fund was a major driver of job creation, supporting employment in social enterprises focused on climate action. The NESCAN Communities Project also created an engagement officer role to support community-led transition initiatives; and
- Sustainable tourism: North East Adventure Tourism (NEAT) project created a full-time role, with Huntly Development Trust hiring a centre manager and Tarland Trails planning to recruit maintenance staff.
Training and skills initiatives
3.9 The projects have played a key role in delivering training and skills development across multiple sectors, ensuring individuals and businesses are equipped for the energy transition. These are mainly through three projects:
- The Pilot Energy Skills Project developed and delivered 15 new courses, alongside 22 existing ones, providing over 700 free training places across three academic institutions, surpassing their target of 450 training places. These courses ranged from short workshops to 36-week programmes, addressing skills gaps in the energy sector and both supporting new entrants and upskilling workers in the renewable energy sector;
- The Energy Skills Passport finished its minimum viable product development and initial workforce testing, aiming to provide a standardised system for skills recognition in offshore energy; and
- The ETZ Supply Chain Pathway and Energy Transition Challenge Fund ran workshops, masterclasses, and onboarding sessions for over 300 businesses transitioning to offshore renewables, covering topics like floating wind and digital acceleration.
Continuous development of Transition Extreme enables the social enterprise to engage young people, often furthest from the job market, in the sports offering in the city, train them and offer them employment opportunities at the centre. (NEAT, End of Year Report)
3.10 Other projects contributed to workforce development through specialist training. The ETZ Energy Transition Skills Hub (formerly the Advanced Manufacturing Skills Hub) is a significant investment aimed at expanding skills capacity in the energy transition sector. This includes the development of a new facility at North East Scotland Altens campus in Aberdeen and the procurement of an outreach vehicle to improve accessibility of training opportunities. Alongside this the Digital Innovation Lab trained six individuals as certified drone pilots, while the Findhorn Watershed Initiative provided 44 participants with training in nature restoration, including GIS mapping, biodiversity monitoring, and seedling surveying.
Investment
3.11 In the next section the amount of funding leveraged alongside the JTF’s investment is presented in terms of in-kind contributions, public and charitable trust monies and private sector funds.
3.12 Individual investment decisions for projects receiving JTF funds alongside financial support from other organisations and sectors (private, public and third sector) will have been made against a balance of funds available, perceived investment risk and the potential financial and non-financial benefits associated with each project. The weighting of these factors varied among investment partners for each project making it challenging to precisely quantify the extent to which JTF directly leveraged additional partner funding or whether projects with multiple funders would have proceeded without JTF support. However, the evidence strongly supports the conclusion that the JTF has effectively encouraged and facilitated additional investments from private, public and third sector partners. This supplementary funding has enabled project expansion, sustainability, and the development of new initiatives.
In-kind contribution
3.13 Several JTF projects benefited from substantial in-kind contributions, with three reporting figures about the contributions they had received. These contributions helped maximise the impact of JTF funding by supplementing financial support with resources.
3.14 The James Hutton Institute provided £96,216 worth of staff time for the JT Hub, including participation in project team meetings, design consultations, and stakeholder engagement. The Digital Innovation Lab also received in-kind support from Robert Gordon University (RGU), which enabled the establishment of a production lab, procurement of advanced scanning equipment, and sourcing of lidar data valued at over £300,000. Similarly, the University of the Highlands and Islands (UHI) made a significant in-kind contribution across its network, supporting the UHI Moray Net Zero Bottlenecks project with staffing, administration, and other services.
The University has contributed approximately £560k of in-kind support through the project. This is primarily in relation to staff including digital and computing experts, built environment experts, production assistants to enable significant data interrogation and modelling, business development and commercial experts, and project management support. (Digital Innovation Lab, End of Year Report)
3.15 The Findhorn Watershed Initiative benefited from extensive landowner and estate staff support, including logistical assistance, accommodation, and access to land for ecological surveys. Board members of the Findhorn, Nairn & Lossie Rivers Trust also provided expertise in law, finance, and project coordination, strengthening the initiative’s governance and planning.
3.16 These in-kind contributions played a valuable role in extending the reach of JTF projects, reducing reliance on external funding, and ensuring efficient project delivery.
Additional public sector/third sector/charitable trust investment
3.17 The JT Hub secured £1.6 million from the Department for Science, Innovation, and Technology (DSIT) to develop an immersive engagement space, allowing stakeholders to visualise energy transition scenarios. This investment was directly enabled by initial JTF funding, which provided the foundation for securing further resources.
3.18 In the education and skills sector, the Pilot Energy Skills Project attracted Scottish Funding Council (SFC) funding to develop an Energy Career Pathways Tool, helping individuals navigate opportunities in the energy transition sector. SFC funding also helped address over-demand for course places by covering additional enrolments. ETZ also provided the pilot Energy Skills Project with £27k in additional funding to target the most deprived postcodes in Aberdeenshire and Aberdeen city, which allowed more residents to benefit from the courses being offered.
3.19 Environmental and community-led initiatives have also benefited. The Findhorn Watershed Initiative unlocked multiple public and charitable trust investments totaling £2,170,414 over from inception and over the next five years. This includes:
- £197,914 from the naturescot Nature Restoration Fund;
- £75,000 from the LNER Community & Customer Investment Fund;
- A five-year funding agreement with Chivas Brothers worth up to £1,662,500;
- £10,000 contributed by the Moray Climate Action Network; and
- Three-year grant from the Esmee Fairbairn Foundation valued at £225,000.
3.20 The UHI Moray Net Zero Bottlenecks obtained £70,000 from the Scottish Government’s Climate Engagement Fund and £2,500 from the Moray Climate Action Network. Additionally, the Energy Skills Partnership provided the UHI Moray Net Zero Bottlenecks project funding to design an online Futures in Wind course, further supporting workforce development in the renewable energy sector.
3.21 Local government has also played a role in supporting JTF-backed initiatives. Aberdeen City Council awarded NESCAN Hub £80,000 to manage a Community Environmental Improvement Fund, alongside an additional £8,000 in coordination fees. The Two Towns Big Ideas Grant from Aberdeenshire Council has also supported community-led projects emerging from NESCAN’s work. Other community and enterprise projects benefited from additional funding streams. The Social Enterprise Just Transition Fund leveraged £1 million in additional funding, doubling its impact, while Huntly Development Trust (under North East Adventure Tourism) secured £273,651 from the UK Shared Prosperity Fund (UKSPF).
3.22 These public, third-sector, and charitable trust investments have significantly amplified the impact of JTF-funded projects, increasing opportunities for skills development, community engagement, and environmental restoration.
Scottish National Investment Bank (SNIB)
SNIB is as an independent commercial entity responsible for dispersing public capital into impactful and commercially viable investments. While funded by the Scottish Government (its shareholder), SNIB operates autonomously, akin to a private investment firm, making independent investment decisions aiming for both financial returns and positive societal impacts. The bank particularly addresses market gaps, supporting innovation, technology growth, net-zero transition, and place-based community investment.
The Scottish National Investment Bank (SNIB) became involved with the Just Transition Fund (JTF) in its second year to manage the deployment of financial transactions. With a substantial allocation of £25 million for the 2023/2024 financial year, SNIB assumed responsibility for distributing these funds, leveraging its established infrastructure and expertise.
The £25 million allocation was integrated into SNIB’s commercial investment framework but was specifically directed to achieve JTF outcomes supporting Scotland’s transition to net zero. SNIB matched each JTF investment resulting in £24.25 million being deployed across three organisations and these investments attracted a further £20.4 million from private investors.
- Aurora Energy £10 million JTF plus £10 million SNIB
- Orbex £5.25 million JTF plus £5.25 million SNIB
- Trojan Energy £9 million JTF plus £9 million SNIB
Private sector investment
3.23 The JTF has also played a role in attracting private sector investment to supported projects. Many projects used JTF funding as a catalyst to garner private investment, strengthening their financial sustainability and expanding their impact.
3.24 The Supply Chain and Energy Transition Challenge Fund successfully secured £6.2 million in private sector match funding from various companies, significantly amplifying the original JTF investment. Similarly, the Scottish National Investment Bank (SNIB) reported that its JTF-supported investments have attracted an additional £20.4 million from private investors, demonstrating the Fund’s role in unlocking private capital. Under Food Hub NES, an additional investment of £1 million came from Opportunity North East (ONE).
3.25 In the renewable energy sector, the EV Battery Recycling project leveraged a £80,000 investment from IBIOIC (Industrial Biotechnology Innovation Centre). The project aims to become self-sufficient, reducing reliance on public funds while continuing to expand operations. Other projects, like the Energy Skills Hub have secured a commitment of £1.8 million over five years from Shell to support workers to transition into green jobs.
3.26 The Cabrach Distillery project exemplified how JTF funding complemented private sector backing. The initiative secured a total of £2.985 million, with significant contributions from private philanthropy and industry partners, including the Ethos Foundation, Bentley Foundation, Forsyths Ltd., and the William Grant Foundation. This support was instrumental in advancing the distillery’s regeneration and economic development plans.
3.27 Overall, JTF-supported initiatives have leveraged significant private sector funding, demonstrating strong market confidence in certain projects’ potential.
The Just Transition Fund award has enabled further investment beyond the funding period, including sponsorship of a welding academy from the Engineering Construction Industry Training Board (ECITB) and £1.8m investment over 5 years from Shell UK to help 1,000 people into energy transition jobs. (Energy Transition Skills Hub, survey response)
3.28 Across the public, third, charitable sector and the private sector, investment has totalled just over £34 million, with £30 million in private funding and £4.7 million in public/third sector funding.
Financial transactions 2023-2024
Aurora Energy Services - a total investment of £20 million (£10 million from JTF and £10 million matched by SNIB was allocated to expand Aurora’s network of regional training hubs and workshop facilities that support the renewable energy supply chain, covering sectors like wind, solar, hydrogen, carbon capture and storage (CCS), pumped hydro, and waste-to-energy. The strategic goal of Aurora’s funding is to capitalize on existing skills within the oil and gas industry, retraining workers for renewable energy roles, thereby supporting Scotland's net-zero ambitions. The funding accelerates the company’s expansion into renewables, increases employment and training opportunities in rural Scotland.
Orbex - a spaceflight company, received a follow-on investment totalling £10.5 million from SNIB (£5.25 million JTF plus £5.25 million SNIB). This formed part of a larger £16.7 million funding round alongside private investors. Orbex’s investment was used primarily to accelerate the development of its "Prime" rocket—a sustainable rocket system designed to transport small satellites into low earth orbit. This rocket uniquely uses renewable bio-fuels to significantly reduce carbon emissions compared to traditional rockets. The funds will also support the completion and expansion of Orbex’s Sutherland Spaceport, underpinning Orbex’s commitment to sustainability and bolstering Scotland's positioning as a leading hub for sustainable space technologies.
Trojan Energy - secured a total of £18 million from SNIB (£9 million JTF matched by £9 million SNIB), part of a broader £26 million funding round, which also involved £8 million from growth capital investor BGF. Trojan Energy provides innovative on-street electric vehicle (EV) charging solutions and the funding supports the deployment of Trojan’s patented flat, pavement-integrated chargers, addressing public charging accessibility for households without driveways. The investment supports Trojan’s growth, expanding public EV charging infrastructure to deploy thousands more chargers throughout the UK.
Community and social impact
Community engagement
- At least 1,700 people engaged in community activities.
- More than 19,000 people voted on funding decisions for local projects.
Participatory budgeting
- 97 projects funded across two years (grants from £1,000 to £50,000)
3.29 In this section the wider social and community impacts that have been realised as a direct result of the Fund’s investment are identified. Four projects explicitly described how their activity was contributing towards the empowerment of local communities. Three of these gave evidence of how this had already been achieved (JT Communities Project (NESCAN), Findhorn Watershed Initiative and the JT Participatory Budgeting Fund) and the fourth described how it was expected to be achieved in the future (Hydroglen).
3.30 A wider range of community benefits were also reported, and these provide insight into how the JTF is enabling (or could enable) community empowerment. Reported benefits can be broadly categorised as:
- Being heard – enabling communities to take part in decision making and shape a just transition;
- Building awareness – raising awareness and understanding of climate change and the actions that can make a difference;
- Sense of place – creating or strengthening connections with a place or community; and
- Improving local places – creating new facilities or improving/ retrofitting existing facilities that in turn, create spaces for communities to enjoy and come together.
Enabling communities to be heard
3.31 Two of the projects, NESCAN’s Just Transition (JT) Communities project and the JT Participatory Budgeting Fund, were directly focused on engaging communities as part of a just transition to net zero. These projects created opportunities for local people to shape what the transition meant and looked like in their area.
3.32 The JT Communities project gave communities access to information and resources so that they could develop their understanding of the transition and created structures and processes to help them organise their response to it. This included the piloting of community climate assemblies as well as what the project described as deliberative processes. The supported communities are developing their own Just Transition Community Actions plans which will set out their priorities for the future. In their End-of-Year 2023/2024 report, the project stated that:
- 587 people, including 105 young people and 36 communities of interest groups had been engaged through this work;
- The funded activity had led to strengthened links with other policy and decision-making structures including local authorities, community councils and Scotland’s Just Transition Commission; and
- That the project has developed a model for the transition that is: community-led, rooted in residents’ lived experience and harnesses the Place Principle in identifying local JT priorities and actions on adaptation and mitigation, and which also should inform the regional policy and planning framework.
3.33 The Just Transition Participatory Budgeting (JTPB) Fund is also enabling communities to take part in decision making. To date, there have been three funding rounds (one in each year since the programme’s launch in 2022) with an ongoing £1 million annual commitment with grants of £1,000 to £50,000 available to community groups. The initiative has supported a wide variety of projects, including allotments, electric vehicle (EV) minibuses for community transport, retrofitting community spaces for energy efficiency, and the creation of new green spaces.
3.34 A total of 44 projects were funded in Year 1 and 53 in Year 2. Participatory democracy is central to the JTPB process, ensuring that funding decisions are directly shaped by the communities they impact. Each year, the JTF is split across three regions—Aberdeen City, Aberdeenshire, and Moray—where a shortlist of eligible projects is identified before being put forward for a public vote. Members of the public are then invited to vote on which projects should receive funding, allowing communities to have a direct say in how the just transition takes shape in their area. These votes are conducted throughout the North East, with a total of 19,094 voters consulted: 7,723 in Aberdeen City, 8,428 in Aberdeenshire, and 2,943 in Moray. The JTPB was delivered through a partnership of five organisations and one of these partners suggested that the participatory approach used had enabled a wider audience to engage in the just transition and better understand what it meant in everyday life.
It's helping more people to contribute and volunteer, the communities that have got involved are not just the ones that have green on the tin. (JTPB Partner)
3.35 Some of the partners also described how the benefits of the project go beyond the participatory processes, with the locally funded projects making the just transition more visible in local communities by demonstrating what it could look like. In doing so, it helped people to think about the process in a way they might not have done otherwise. The funded projects also showed what could be achieved through collective action:
Beyond the tangible outputs, the project instilled confidence in communities, showing them that small local actions collectively lead to larger change. This kind of behavioural shift around decarbonization and efficiencies is one of the most meaningful outcomes of the initiative. (JT Participatory Budgeting Partner Interview)
Awareness raising
3.36 Some of the projects sought to raise awareness of climate change and the actions that can be taken to help bring about a transition. For example, several of the projects worked with local schools including:
- Ripcell’s EV Battery Recycling project to raise awareness of recycling;
- VSA Easter Anguston Farm’s through its farm-to-fork programme, which grew fruit and vegetables in newly installed polytunnels to improve understanding of more sustainable forms of agriculture; and
- NESCAN’s JT Communities project carried out extensive work in schools on topics including climate literacy, the circular economy and climate action heroes.
3.37 Other projects that were primarily focused on skills development also reported that their activity helped to raise awareness across communities.
Creating connection with place
3.38 The Findhorn Watershed Initiative aimed to empower communities by creating a connection with the local rivers and ecosystem as part of their restoration programme of work. The different workstreams are described in more detail in the showcase example. The JTF provided the Initiative with the capacity needed to trial different approaches to community engagement. These approaches included ‘research residence’ to explore cultural heritage and human ecology, creative engagement sessions and environmental education. Feedback presented in their 2023/4 End-of-Year report suggests that some of the 1,190 involved had begun to learn about their local environment and develop a stronger connection to it.
Improving places
3.39 The funding has led to investment in new or improved facilities in some communities. For example, NEAT developed the local mountain biking infrastructure and reported that the community is benefiting from this through access to a facility that can improve their health and wellbeing as well as increased visitor numbers/ visitor spend. Elsewhere, VSA Easter Anguston Farm (run by a health and social care charity that support vulnerable adults and children) used some of their funding to install play equipment and the JT Participatory Budgeting fund enabled local groups to improve the energy efficiency of their buildings and create community gardens. JT Participatory Budgeting project partners described how these improvements had created warm spaces for the wider community to use, which in turn was identified by an interviewee as generating more community activity.
Strengthening local economies
3.40 Several projects provided tangible examples of how delivery against the JTF’s Communities and Places outcome had strengthened local economies. The reported examples included:
- New play facilities at VSA Easter Anguston Farm and the improved mountain biking infrastructure developed by the NEAT project were both reported to have led to increased visitor numbers;
- The NEAT project also described how the project had enabled them to test a new model of funding and support a community to develop their local infrastructure to generate wealth; and
- Findhorn Watershed Initiative recognised their potential as a local anchor institution and used the JTF funding to support community wealth building through their procurement processes.
3.41 A greater number of examples were given of how projects are expected to help to create more sustainable communities, and in doing so, strengthen local economies in the future. These included:
- The Cabrach Trust is developing a new distillery, which will be operated as a social enterprise and return single malt production to the area. Once completed, it is expected to bring visitors to the area and in doing so create jobs and volunteering opportunities. Creating jobs in the local area was perceived by the project lead as important in tackling outward migration and energising the local community; and
- The James Hutton Institution is constructing a ‘Hydroglen’ community farm demonstrator site that is expected to help rural areas better understand their renewable energy potential and connect remote communities and their local economies with the Scottish hydrogen economy. It will address the lack of gas grid connections by using green hydrogen and through the production of green energy. By enabling communities to recognize their potential, the project is expected to empower rural communities in the future.
I suppose there's things that are more intangible when it comes to that. You know, a sense of hopefulness, a sense of the community believing that the area has a future, when there's been such migration of people away from the area to cities to pursue jobs and opportunity elsewhere. You have a business like this, which is looking to do things in the right way by the community in the environment. (Cabrach Distillery, Interview)
Tackling inequalities
3.42 The evaluation found some examples of how the projects’ activities were helping to tackle social and economic inequalities.
Enabling groups and communities to access funding
3.43 Some projects described how they had worked to enable groups and organisations that might not usually be able access to funding or support to benefit from the JTF. Both the JT Participatory Budgeting and Social Enterprise JTF described how their approach to administering the funding was designed to achieve this. The Social Enterprise JTF delivered a series of events to help groups to apply for funding. These included online Preparing for Investment workshops and in-person masterclasses. They also carried out a data mining exercise to identify where social enterprises and third sector organisations were working in areas of deprivation and targeted them in their promotion of the project. It was reported in the End-of-Year 2022/23 report that funded activities had benefited around 160 organisations and 108,000 people across the region.
3.44 The JT Participatory Budgeting was delivered by five partners to enable a broad reach into different communities, and they delivered awareness raising events in each year of the fund. Partners also supported groups to develop their project ideas and prepare a funding application (for example, the End-of-Year Report 2023/24 stated that a project partner provided over 70 hours of one-to-one support in the JT Participatory Budgeting’s second year). While this approach was resource intensive, it was identified as enabling smaller community groups to access funding.
3.45 In Year 2, the JT Participatory Budgeting partners carried out more targeted engagement with local minority groups and adapted the criteria to encourage and support successful applications from minority groups e.g. Aberdeen Mosque. In addition, and to ensure that young people had a greater say, young people in Moray were able to decide how part of the fund was allocated in Year 2.
In Moray, a tenth of the Fund was originally reserved for a participatory budgeting process governed by young people. Of the remaining £450,000, the first £225,000 was open to all, while the remaining £225,000 prioritised groups without paid development staff. (Just Transition Participatory Budgeting, End of Year Report).
3.46 A project partner commented that the JT Participatory Budgeting had made funding access more democratic and enabled smaller organisations to access support. Despite these efforts though, the JT Participatory Budgeting concluded in their 2023/24 End-of-Year report that more work was needed to encourage smaller groups to apply for funding and counteract the perception that PB is a ‘popularity contest.’
Funding groups and communities to tackle inequalities
3.47 The majority of the Social Enterprise JTF and JT Participatory Budget funded groups were working towards increasing inclusion and improving local facilities. For example, the Social Enterprise JTF had funded a charity that was supporting people who were homeless, and the JT Participatory Budgeting had funded the development of a community garden in a deprived area that had limited access to green spaces.
3.48 In addition, the JTF itself directly funded organisations that supported vulnerable community members. The VSA Easter Anguston Farm project, for example, is a working farm and a training facility for adults with learning difficulties. It is being delivered by VSA, a health and social care charity supporting vulnerable people in Aberdeen and Aberdeenshire. Children and adults from some of the most deprived communities can access the farm. VSA wants the farm to become a hub for sustainable education, food security and health and wellbeing.
Lowering energy costs
3.49 Project partners reported that the increased energy efficiency measures funded through the JT Participatory Budgeting enabled local groups to benefit from lower energy costs, which in turn made these groups more sustainable.
3.50 Future benefits around energy costs are expected to be brought about through NESCAN’s JT Communities project, which supported communities to develop plans to implement retrofitting campaigns and community and shared energy schemes. Similarly, the Digital Innovation Lab used their JTF funding to test a new facility that uses immersive and visualisation technologies to support decision making and planning around, for example, the retrofitting of existing buildings and the design of new buildings and spaces. Supporting energy efficiency improvements in social housing was identified as a potential future use of the lab in the project’s End-of-Year 2023/2024 report.
3.51 Other funded projects described different ways in which they expected their work to tackle inequalities in the future which included:
- Reducing fuel poverty: Some of the projects that focused on energy transition cited how they were developing new technology or processes that would enable areas to make better use of renewable energy sources. These projects were perceived to be particularly beneficial to remote and rural areas where access to gas was limited and fuel poverty higher. As well as the Hydroglen project, Shine Engineering’s project explored the use of tidal and river flow energy to create a low-cost energy solution that could also tackle the fuel poverty experienced in remote areas. As a demonstrator site (in construction) and a feasibility study, these benefits have yet to be realised; and
- Tackling the root causes of deprivation: As part of a Case for Change and Preliminary Options Appraisal carried out as part of the CNER Buchan Sustainable Transport Study, poor public transport was identified as a key factor in experiences of deprivation in Fraserburgh and Peterhead. The Feasibility Study identified the potential of a new railway for improving access to health, leisure and employment opportunities.
Environmental impact
Carbon reduction
- Retrofitting and EV purchases via Social Enterprise JTF & JT PB Fund cut emissions (e.g., 1.82t CO2e/year from evs).
Businesses supported in low-carbon transition
- 26 businesses (The Supply Chain Pathway and Energy Transition Challenge Fund)
Clean energy innovation
- Seaweed Energy’s wave system could offset 1t CO2e per MW.
- Ripcell’s battery recycling process is carbon negative (-1.59kg CO2e).
Sustainable construction
- Energy Skills Hub and Seedpod built for 100% renewable energy use.
- Cabrach Distillery using anaerobic digestion for green gas.
Biodiversity and land restoration
- 125ha of woodland restoration (Findhorn) to sequester 5,064t CO2e.
- Moray Council identified 133ha for planting (~1,341t CO2e/year).
3.52 The projects identified environmental benefits or expected benefits as a result of JTF.
Carbon reduction and sustainability
3.53 Three of the JTF projects have distributed funding to businesses, organisations or community groups to enable action that can reduce emissions. The Social Enterprise JTF and the JT Participatory Budgeting both funded groups to retrofit buildings and purchase electric vehicles. The Social Enterprise JTF cited case study examples of the savings made. For example, the purchase of two electric vehicles enabled an organisation to reduce CO2e by an estimated 1.82.t per annum and another organisation had received funding for a net-zero build that would be net negative by an estimated 0.87t pa.
3.54 Similarly, the JT Participatory Budgeting described how the funding of electric vehicles reduced carbon emissions, and an organisation was using their vehicle to support the circular economy (by distributing preloved clothing). Other PB funded activities included retrofitting buildings and the trialling of battery storage and infra-red heaters and controls in community spaces. These impacts, however, have not been quantified.
3.55 The Supply Chain Pathway and Energy Transition Challenge Fund aimed to support local businesses to transition to low carbon markets. The project reported in their survey response that 11 businesses received Challenge Fund monies in 2022/23 and 15 in 2023/24 (totalling £3.1m). While the funded activities were known to have reduced emissions, the reductions made were not always quantified by recipient businesses. Examples of how reductions were being achieved included the development of in-house capabilities for activities that had previously been outsourced and through the purchase of equipment that enabled the automation of processes. While it is too early to draw conclusions about the impact of the funding, the project described how its first two years of delivery have created a cohort of 26 businesses who are now actively engaged in using renewable energy.
3.56 Other projects have also developed and tested new technology and processes that could potentially support the transition to net-zero:
- Seaweed Energy’s JTF project enabled them to complete a design scope of their wave energy technology system. It was calculated that the generation of one megawatt of power using their new system could offset approximately one tonne of carbon emissions annually; and
- Ripcell piloted the use of green solvent from distillery waste to recover critical minerals from EV batteries. A life cycle analysis carried out with the University of Aberdeen found that the process is carbon negative with a Global Warming Potential of -1.59kg.
3.57 Some projects had received funding to refurbish existing buildings or construct new buildings and described how carbon reduction and sustainability principles had been incorporated into the build:
- The Energy Skills Hub has used whole life carbon as a metric to minimise carbon emissions within its build and will use renewable energy to heat the building;
- The NEAT project’s infrastructure build had been designed in line with green energy strategies. Key measures taken included the use of local materials, the capture of rainwater and the use of renewable energy;
- Seedpod, an innovation hub for the food and drink industry, will be 100% electrically powered through green energy sources and onsite PV cells. Once operational, it will support food and drink businesses to adopt energy efficiency measures through showcasing technologies and hosting events; and
- The construction of Cabrach Distillery involves an anaerobic digestion plant to recycle their co-products and produce green gas.
The project has been designed and delivered in line with ETZ Net Zero Principles to ensure whole life, embodied and operational carbon are minimised. ETZ Net Zero Principles ensure a focus on circular economy, building performance and energy strategy, as well as the role the development will play in improving landscape and delivering community benefit. Whole Life Carbon analysis is the primary metric through the design and construction phase and further metrics include operational carbon and energy performance. (Advanced Skills Manufacturing Hub, Survey Response)
Environmental protection and adaptation
Initiatives for biodiversity and land restoration
3.58 Some of the projects described how they were enabling carbon sequestration through the creation of greenspaces and planting of trees, e.g. Findhorn Watershed Initiative and others had developed plans to do this as part of their future activity e.g. Energy Transition Skills Hub. The Moray Council JT Masterplan included research into carbon sequestration on Council land and identified 133 hectares as potential sites for tree and shrub planting, which could sequester 1,341 tons of CO2 each year.
3.59 Other actions taken to improve biodiversity included improvements at the VSA Easter Anguston Farm to enhance species protection and the creation of a scrape as part of NEAT’s mountain-biking infrastructure build to provide a habitat for amphibians and insects.
3.60 The work of Findhorn Watershed Initiative has, however, been focused on riparian woodland restoration, with the planting of woodlands along riverbanks used to reduce water temperature. The project began planting in January 2024 and is expected to have restored 125 hectares of woodland by Spring 2025 (Year 3). The projected emissions savings from the woodland planting is 5,064 tco2e over the scheme’s lifetime. More details of their restoration work, and its impact, are provided in the showcase example.
Project delivery challenges
3.61 While the JTF supported a collection of diverse projects across sectors that delivered a wide range of benefits, project leads encountered challenges in delivering funded activities.
3.62 The most cited issues included tight project timelines, funding uncertainty, and communication difficulties. Many projects operated within compressed timeframes, requiring rapid implementation that did not always align with the scale or nature of their project. Uncertainty around funding availability and timing created financial and operational hurdles, particularly for projects relying on multi-year investment. In addition, shifting priorities, rising costs, and administrative constraints impacted project planning and execution. Some organisations struggled with capacity limitations, particularly in smaller teams managing ambitious initiatives. Stakeholder engagement and partnership working presented further difficulties, with some projects experiencing delays due to the need for extensive collaboration across multiple organisations.
Project-specific challenges - partnership working
3.63 Most projects relied on collaboration across sectors, but misaligned priorities, power imbalances, and communication challenges sometimes needed to be addressed. When a project involved multiple stakeholders, overcoming power divides between large and smaller projects and allowing more time to manage relationships was important for these projects to progress.
Project-specific challenges – technical issues and capacity
3.64 Some projects faced engineering and logistical obstacles, particularly those involving infrastructure, technology, or environmental considerations. Procurement and supply chain delays affected some project timelines. In some cases, to project designs to address unexpected environmental assessments resulted in additional costs and some highly technical initiatives, design and implementation challenges had to be overcome. For example, the Net Zero Technology Centre’s offshore hydrogen project had to address corrosion, offshore efficiency, and modularisation constraints.
3.65 Smaller and volunteer-led organisations sometimes lacked specialist expertise or additional administrative and project management support to manage their projects.
Project-specific challenges – changing operational environment
3.66 A further challenge was the changing circumstances in which the projects operated and this impacted on their progress. Rising costs, driven by inflation and supply chain disruptions, placed financial strain on initiatives, particularly those involving construction or specialised equipment. Some projects also had to navigate shifting priorities, both within their organisations and in the broader policy environment, e.g. Post-Brexit supply chain issues, requiring them to adapt plans mid-delivery.
Summary
3.67 In this chapter, the evaluation findings about the impact of the funded projects have shown that the JTF has supported economic growth, community engagement, and environmental sustainability in the North East and Moray. Despite some challenges with project delivery, funding issues and, at times engagement across partners and sectors. Funded projects have created over 110 jobs, safeguarded employment, and supported skills training for a low-carbon transition. Community-led projects have empowered local decision-making, improved public spaces, and fostered climate action. The environmental initiatives have focused on carbon reduction, biodiversity restoration, and clean energy innovation, with long-term impact measurement ongoing.
Contact
Email: justtransitionfund@gov.scot