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The £1 purchase that helped start the wave energy sector: Pelamis company’s disappointment at its scrapping

Neil Kermode says it's important not to lose sight of the legacy of the device and the company that made it.

Pelamis wave generator in Orkney.
The Pelamis wave generator will be decommissioned by Orkney Council. Image: EMEC.

The managing director of the company that sold the Pelamis wave device to Orkney Islands Council for £1 has said he’s disappointed with the decision to scrap it.

Neil Kermode, from European Marine Energy Centre (EMEC), has said that many years from now, the device will be “pointed to as the beginnings of the wave energy sector”.

However, Mr Kermode did thank the local authority for trying to find a solution that wouldn’t see the Pelamis P2 scrapped.

His statements come after the local authority issued a tender on Public Contracts Scotland, looking for a contractor to take ownership of the wave energy device, remove it, and decommission it.

In the contract the cost of doing this is estimated, by the council, to be £150,000.

However, the council has said it is hoping the scrap value will offset the disposal cost of the Pelamis device.

A spokesperson for the council said scrap value has been “encouragingly strong of late”.

The Pelamis P2 was tested at EMEC’s Billia Croo wave test site.

But after Pelamis Wave Power Ltd went bust in 2014, its assets were sold off.

Orkney Islands council purchased the Pelamis P2 from EMEC for £1 in June 2017.

What were the options for Pelamis?

The 1,350-tonne device was moored at the county’s Lyness Wharf, Hoy, while the council looked into alternative uses for it.

These included potentially using it to build a breakwater at the second Churchill Barrier, to solve problems with wave overtopping.

Another suggestion was putting the device on display as part of Orkney’s maritime history. The council said this proved to be too difficult.

In 2019, the council agreed that a buyer needed to be found or the device should be scrapped.

When the council agreed to purchase the 591ft Pelamis P2 from the European Marine Energy Centre, part of the agreement stated that the cost of decommissioning it would be covered by EMEC to the tune of £45,000.

However, no buyer has been found.

The council is now saying that, as time has passed, the costs involved in keeping the device seaworthy have mounted.

The local authority had begun to look at contributing money towards its upkeep.

However, with uncertainty over the method of disposal, the council is worried that could have to contribute more funds, if the Pelamis were kept.

Emec managing director Neil Kermode. Image: Electric Vehicle Association of Scotland.

Neil Kermode, Managing Director, EMEC:  “It’s important not to lose sight of the legacy that Pelamis leaves.

“R&D and innovation is an iterative process and unfortunately not all technologies make it to the finish line.

How important was Pelamis?

“The inherent value of trying – figuring out what works and what doesn’t work – is vital to innovation, to finding solutions to global challenges.

“We’ve seen learning from the Pelamis trials permeate through the ocean energy sector, helping newer technologies develop.

“So while the company came to an end in 2014, its legacy in the wave energy sector lives on.

“The P2 device at Lyness provides a very visual reminder of that legacy.

“In many years will be pointed to as the beginnings of the wave energy sector.

“That is what we were keen to preserve.

Mr Kermode added: “It’s disappointing that it is due to be scrapped but thank the council for trying to find a solution to retaining part of Orkney’s history for future generations.”