Norwegian energy producer Statkraft has secured planning permission from the Scottish Government to build the 126MW Energy Isles wind farm in Yell, Shetland.
The project will be powered by 18 turbines, each with 7MW of generating capacity.
It will produce enough power to meet the needs of 157,000 homes annually.
Construction is expected to begin in 2025.
The wind farm will also generate £17.3m ($20.87m) of investment in Shetland during its development and construction phases and bring £18.9m into the local economy.
Energy Isles will contribute significantly to the decarbonisation of electricity across Shetland while supporting Statkraft’s ambition to generate 1.2GW of renewable wind by 2030.
A consortium of Shetland-based businesses, which envisioned the archipelago emerging as a hub in the renewable energy sector, initiated the project in 2012.
In October 2019, Statkraft was announced as the development partner for the project, and commenced the final stages of development, taking responsibility for construction and operation.
Statkraft Energy Isles principal project manager Rebecca Todd stated: “I am delighted that the Scottish Government has granted consent for the Energy Isles Wind Farm in Yell.
“This is one of Statkraft’s most important projects and will generate a significant amount of renewable electricity while improving energy security. Alongside this, Energy Isles will deliver at least £18.9m through a Community Benefit Fund for local people.
“This would not have happened without the vision of Shetlanders who started this ambitious scheme back in 2012 and have supported it all the way through.
“We would like to thank the people of Shetland and the Energy Isles Consortium for their drive and determination to decarbonise the North Isles and the hard work and backing for the project that they have provided.”