A MAJOR consultation has been launched into how Shetland should be supplied with electricity once the operational life of the islands' existing power station comes to an end.

Shetland is not connected to the national grid but 13 of the 15 inhabited islands are on the electricity network powered by Lerwick Power Station, backed by Sullom Voe Terminal Power Station.

Scottish Hydro Electric Power Distribution (SHEPD), which owns the distribution network of overhead lines and underground cables across the north of Scotland, has submitted a plan to Ofgem for a new power station north of Lerwick to be delivered in 2017.

However, in April Ofgem said the power station proposal was not acceptable, primarily on the grounds of cost. It asked SHEPD to identify the most economic and efficient solution for Shetland through a competitive tender process.

Plans for a subsea interconnector cable to transmit green energy from the likes of the controversial giant wind farm planned for Shetland to the mainland and the grid are also being pursued, but seem likely to face a legal challenge from opponents at the Supreme Court.

The consultation aims to raise awareness and promote discussion in Shetland and elsewhere about the islands' energy needs and how they can best be met in the future.

SHEPD director of ­distribution Stuart Hogarth said that because Shetland's electricity was not connected to the grid, any arrangement had "to be able to meet all of [the islands'] electricity needs all of the time".