Energy firm invests £11m in Fife-based manufacturers

Scottish and Southern Energy (SSE) has bought a 15% stake in Fife-based manufacturers Burntisland Fabrications (BiFab) for £11m.

BiFab has also received £2m from the Scottish government Selective Assistance Fund and a £4m loan from Scottish Enterprise.

It is a key manufacturer in the renewable energy supply chain.

The boost in investment will increase its production capacity and could create up to 200 jobs in the Fife area.

The £11m investment is accompanied by an order for at least 50 jackets for the vast wind farms being developed for British waters.

The move reflects concerns that developments in the renewable energy sector demand a rapid increase in manufacturing capacity.

BiFab makes the giant subsea platforms, known as jackets, at three different yards. They are used to support offshore wind turbines.

The company's turnover has more than quadrupled from £20m to £90m over a four year period since they diversified into the renewable energy sector.

Over the coming decade the UK may need up to 8,000 jackets in order to meet its energy targets.

SSE chief executive Ian Marchant said: "To realise our ambitions, it is essential that SSE is able to establish a reliable supply chain, particularly for those elements where manufacturing bottlenecks have already been identified as a significant risk.

"This investment in BiFab secures a reliable supply of offshore structures for our SSE Renewables business, from a manufacturer with a proven track record."