Billionaire businessman Sir Ian Wood has donated £40 million from his family charity in a bid to drive the energy transition in Scotland’s North-East in a contribution described as “utterly remarkable”.
The donation from The Wood Foundation will involve not-for-profit and private sector-led organisations Opportunity North East (ONE) and ETZ Ltd receiving £20 million each.
Both First Minister John Swinney and Scottish Labour leader Anas Sarwar have pledged to match fund the donation with a further £40m contribution to the region, in the event either of them is First Minister following next year’s Holyrood election.
The money will be used to create jobs and economic opportunities across the region, Sir Ian’s charity said, and comes amid growing pressure on Aberdeen’s workforce, and recent warnings the North Sea oil and gas sector could disappear “within years, not decades” without windfall tax reform.
A survey published last month, through research carried out by the charity Platform, found more than a quarter of North Sea oil and gas workers were looking to quit the sector.
ONE was established in 2015 and has been credited with supporting the diversification of the North East economy.
The body has driven a growing digital tech cluster, which has been billed will create an extra 3,000 high-value jobs over the next decade. The not-for-profit organisation is also accelerating the growth of the North East’s food, drink and agriculture sector.
Sir Ian, chair of Opportunity North East and ETZ Ltd, said: “There is no getting away from the fact the region’s economy finds itself at a critical juncture. There has been a series of substantial and very concerning jobs announcements across in recent months and there are growing fears that we are not embarking upon a just transition – one that protects jobs and our world-class energy supply chain.
“Through the leadership of ONE and ETZ Ltd, we have taken major strides over the last ten years in diversifying our economy to significantly improve the strength and opportunities in the digital, life sciences, food and drink, and tourism sectors.
“In the four years since the creation of ETZ Ltd, we have made a tangible and positive impact in ensuring this region remains an internationally recognised hub of energy excellence. However, there remains a great deal of work to do and I’m in the fortunate position of being able to help contribute to this region’s success through the support of The Wood Foundation.”
Born in Aberdeen, Sir Ian started his career in the North East fishing industry, and is best known for his oil industry work with the Wood Group, serving as Chief Executive from 1967 to 2006.
Mr Swinney said of the philanthropist: “The positive impact of Sir Ian Wood’s philanthropic generosity over the years is utterly remarkable and continues to benefit thousands of people across Scotland and overseas.
“His unwavering passion for his home city of Aberdeen, where he built one of the world’s largest energy services companies, inspired the creation of ONE and ETZ Ltd, two pioneering examples of how private-public partnership models can work effectively, creating sustainable economic opportunities for individuals, companies and sectors across North East Scotland.”
The First Minister added: “There is no doubting of the pressing need to support the North East of Scotland achieve a just and managed transition and that is why I’m more than happy to confirm that my Government, if elected, will match fund the transformational and hugely generous personal investment from Sir Ian over the course of the next parliamentary term.”
Mr Sarwar added: “The UK government has demonstrated its commitment to both, and Scottish Labour will do the same. So I’m pleased to confirm that a Scottish Labour government I lead will continue to back this commitment.”
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