BIDDING has opened for two green freeports to be set up in Scotland – after a compromise was struck between ministers at Westminster and Holyrood.
Under the plans, proposals must support Scotland’s 2045 net zero targets and embed fair work practices, unlike the plans south of the border.
The UK Government sees the two green freeports as a key part of its levelling up agenda in Scotland, while the Scottish Government has been pleased by the tailored plan being drawn up that “recognises the distinct needs of Scotland's economy”.
Centred around docks, airports or railway hubs, freeports are designed to encourage economic growth by exempting goods arriving in them from tax and customs charges.
Businesses based in and around the freeports can then use this lower-cost material to manufacture goods and export them again without ever paying the full tariffs.
Consortiums will have 12 weeks from today to assess the newly-published prospectus and prepare their bids, which will be assessed by officials working together from the UK and Scottish governments, with ministers having an equal say on the successful candidates.
This comes after a landmark agreement was reached earlier this year by the two governments to collaborate on two new green freeports, with £52 million in UK Government funding provided to push the plans forward.
UK Levelling Up Secretary Michael Gove said: “I’m proud that today we have launched the bidding process for green freeports. They are a key part of our levelling up agenda, and will bring jobs and prosperity to the successful areas.
“We have worked closely with the Scottish Government to ensure that green freeports support their transition to the net zero economy and help to regenerate local areas.
“I am excited to see the innovative proposals come forward, and these green freeports built so they can start to deliver for the people of Scotland.”
Scottish Finance and Economy Secretary, Kate Forbes, said: “This joint prospectus recognises the distinct needs of Scotland's economy by clearly setting out how any bids to establish green freeports in Scotland must help deliver net zero ambitions and embed fair work practices.
“Earlier this month I published a new national strategy to help transform the economy.
“This included clear commitments that will help create good quality green jobs, deliver fairer working conditions, secure our just transition to net zero and grow international markets that bring new supply chain benefits to all of Scotland. Green freeports will be an important vehicle to help deliver these ambitions.”
Those applying will encouraged to show how their plans will help boost the Scottish economy including boosting the number of skilled jobs available and support Scotland’s transition to a net zero economy by reducing emissions – such as ensuring that vessels using the port reduce the use of fossil fuels.
Applicants will be encouraged to form strong partnerships with ports, local businesses, academic institutions and local authorities and help bring new investment into the surrounding areas and increase trade.
Ministers also hope the green freeport plans advance equality and diversity.
Advance equality and diversity, particularly for groups who are currently underrepresented in the Freeport industries and show how people affected by socio-economic disadvantage can benefit.
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