New Subsea Cable Factory Opens in Nigg, Boosting Energy Security and Creating Jobs
Sumitomo Electric's £350m investment in the Highlands establishes the UK's first High-Voltage Direct Current cable plant, vital for offshore wind power.
By Eilidh Munro
••3 min read
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Generic image of a thick, black subsea power cable coiled on an industrial dockside with blurred buildings in the background.
A new subsea High-Voltage Direct Current (HVDC) cable manufacturing plant has officially opened in Nigg, Scotland, marking a significant boost for the nation's energy security and creating hundreds of jobs.
The Sumitomo Electric UK facility, a £350m investment, was officially opened on 19 October by the Secretary of State for Scotland, Douglas Alexander. This marks Scotland's crucial role in manufacturing subsea cables, essential for the UK's national energy security infrastructure. The plant is set to create 200 jobs and protect hundreds more.
HVDC subsea cables function as 'electricity superhighways' beneath the sea, efficiently transporting large volumes of Scottish wind power to high-demand areas across the UK over long distances with minimal power loss. This technology helps to alleviate grid bottlenecks, preventing wind farms from shutting down during windy periods, thereby saving money, reducing clean energy waste, and advancing the UK's progress towards net-zero emissions.
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"Sumitomo Electric choosing the Highlands for the UK’s first subsea HVDC cable factory shows what Scotland has to offer: the skills, ports and expertise to lead the energy industries of the future. Scotland is helping to solve one of the biggest challenges in our transition to clean energy, connecting offshore wind to where it’s needed most. This development is a huge vote of confidence."
Douglas Alexander further commented on the significance of the investment, stating, 'The Port of Nigg is part of the Inverness and Cromarty Green Freeport, funded by £25 million of UK Government seed funding and designed to encourage private sector development. I very much welcome this £350 million investment by Sumitomo Electric, and the hundreds of skilled jobs it brings. It shows exactly what ‘growth in every postcode’ looks like in practice.'
This state-of-the-art manufacturing facility at the Port of Nigg on Scotland's North East coast is a significant step towards the UK's commitment to achieving net-zero greenhouse gas emissions by 2050. It also positions the UK among G7 nations capable of manufacturing its own HVDC cables.
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"I am delighted to host the opening ceremony for our subsea power cable factory in the UK. Sumitomo Electric is committed to support energy transition here in the UK and Europe with our state-of-the-art cable system technology and highest level of quality standard in the industry. With this new factory as our foundation, we will further deepen and strengthen our relationships with local stakeholders through hundreds of job creation, workforce development along with significant sustainability contributions."
Based on information from the official source: Scotland Office (22/10/2026)