SIMEC Atlantis Energy Limited
Climate Impact & Sustainability Data (2019, 2020, 2021)
Reporting Period: 2019
Environmental Metrics
ESG Focus Areas
- Climate Change
- Sustainability
- Corporate Responsibility
Environmental Achievements
- MeyGen tidal energy project delivered over 31GWh of clean electricity to the grid.
- Successfully decommissioned the SeaGen tidal turbine support structure.
- Successful industrial-scale combustion testing of waste-derived fuel pellets for Uskmouth conversion project.
Social Achievements
- Acquisition of Green Highland Renewables (GHR), bringing a stable income stream and experienced team.
- Launched a new company share option offering in August 2019.
- Introduced enhancements to employee benefits (cycle to work scheme, pension improvements, flexible working).
Governance Achievements
- Board evaluation carried out in June 2019.
- Audit tender process conducted, resulting in EY succeeding KPMG as auditor.
- Established an Ethics Committee to review the Company’s Business Ethics & Compliance Policy.
Climate Goals & Targets
Environmental Challenges
- Increased losses primarily attributable to a £16.1 million non-cash disposal of seabed options.
- Challenges related to the Uskmouth conversion project's planning and permitting process.
- COVID-19 impact on project timelines and funding.
Mitigation Strategies
- Equity fundraising to secure funding for acquisitions and projects.
- Measured response to COVID-19, including voluntary pay reductions.
- Strong internal technology infrastructure, robust supply chains, and flexible business framework.
Supply Chain Management
Climate-Related Risks & Opportunities
Opportunities
- Uskmouth conversion project demonstrates a pathway to reduce carbon emissions and manage waste.
Sustainable Products & Innovation
- Waste-derived fuel pellets for Uskmouth conversion project
- AR1500 tidal turbine
Reporting Period: 2020
Environmental Metrics
ESG Focus Areas
- Renewable Energy
- Waste-to-Energy
- Sustainable Infrastructure
Environmental Achievements
- MeyGen project generated over 37 GWh of clean electricity.
- Successful production of 100 tonnes of fuel pellets for large-scale combustion testing.
- Successful completion of large-scale milling tests on 100% waste-derived fuel pellets.
Social Achievements
- Opened an office in Nagasaki, Japan.
- Launched an Apprenticeship Program.
- Commissioning three run-of-river hydro schemes in the Scottish Highlands.
Governance Achievements
- Improved corporate governance in line with the QCA Code.
- Board changes reflecting a balance of skills and experience.
- Implemented a company-wide Bonus Scheme.
Climate Goals & Targets
Long-term Goals:
- Play a pivotal role in the global conversion of coal-fired power stations.
Short-term Goals:
- Develop MeyGen phase 2 to 86 MW.
Environmental Challenges
- MeyGen project experienced some generation interruptions.
- Welsh Government ‘call-in’ of the planning application for Uskmouth conversion project.
- Financial difficulties faced by the major shareholder’s ultimate beneficial owner.
Mitigation Strategies
- Efficient turbine recovery and re-deployment at MeyGen.
- Submitted Statement of Case in support of Uskmouth planning application.
- Productive discussions with receivers of SUEH.
Supply Chain Management
Climate-Related Risks & Opportunities
Opportunities
- Development of energy-efficient products
- Carbon capture and storage
Reporting Standards
Frameworks Used: IFRS
Third-party Assurance: Ernst & Young LLP
Sustainable Products & Innovation
- Tidal turbines
- Waste-derived fuel pellets
Awards & Recognition
- Champion of Renewables
- Outstanding Contribution (Scottish Green Energy Awards)
Reporting Period: 2021
Environmental Metrics
ESG Focus Areas
- Decarbonisation
- Energy Security
- Renewable Energy
- Sustainable Energy
- Plastic Pollution
- Net Zero
Environmental Achievements
- Successfully commissioned AR500 turbine in Japan, delivering 250 MWh of renewable power.
- MeyGen site generated 7GWh of renewable power in 2021/22 (60% of worldwide tidal energy generation).
Social Achievements
- Worked closely with local community on Uskmouth conversion project (pre-application consultation).
- Engaged with Scottish schools to promote STEM education.
- MeyGen project engaged with stakeholders on marine mammal monitoring.
Climate Goals & Targets
Long-term Goals:
- Progressive build-out of the remaining consented 86 MW at MeyGen and ultimately to the site’s full 398 MW capacity.
Medium-term Goals:
- Completion of the 230MW battery energy storage project at Uskmouth by 2024.
- Development of two further battery projects on the Uskmouth site.
Short-term Goals:
- Development of the Uskmouth sustainable energy park.
- Stabilisation of existing operations at, and expansion of, the MeyGen tidal project.
- Securing future coal conversion projects.
Environmental Challenges
- Technical issues and funding delays at MeyGen resulted in three out of four turbines being out of the water for much of 2021.
- Difficulties securing permits and planning consents for the Uskmouth Power Station conversion project led to its cancellation.
- Significant loss for the year due to asset write-downs, primarily related to the Uskmouth project cancellation.
Mitigation Strategies
- Secured a £2.5 million loan from Scottish Enterprise to redeploy MeyGen turbines.
- Developing a comprehensive plan to redevelop the Uskmouth site into a sustainable energy park, including a 230 MW battery energy storage project.
- Focusing development efforts on coal conversion projects in Eastern Europe.
- Undertook a major restructuring of its cost base to deliver significant operating cost reductions.
Supply Chain Management
Climate-Related Risks & Opportunities
Opportunities
- Development of energy-efficient products and services
UN Sustainable Development Goals
- Goal 7 (Affordable and Clean Energy)
- Goal 13 (Climate Action)
Initiatives contribute to these goals through renewable energy generation and decarbonization efforts.
Sustainable Products & Innovation
- Atlantis AR500 turbine
- Atlantis AR1500 turbine