Business / Application submitted to keep Sella Ness accommodation block open for another decade
AN APPLICATION has been lodged to extend the temporary planning permission of the Sella Ness accommodation facility by a further ten years.
The 426-bedroom facility in Shetland’s North Mainland currently has temporary planning permission until the end of 2025, which was given by the Scottish Government after its owner Malthus Uniteam appealed a refusal by local councillors.
The new application, to extend the planning consent through to the end of 2035, says there is ongoing demand from the nearby Sullom Voe Terminal (SVT) and Shetland Gas Plant (SGP) as well as from a number of potential future infrastructure projects like wind farm construction.
The building, currently operated by Sodexo, was opened in 2011 to house workers constructing the nearby Shetland Gas Plant, and after an initial renewal it had further temporary planning permission until November 2020.
A request for further temporary permission to 2025 was initially refused by councillors on the SIC’s planning committee.
They had raised concern that it was contrary to the islands’ local development plan.
Objections to the application had also been received from accommodation providers across Shetland and particularly in the North Mainland, where warnings were made that hotels and guesthouses could be forced to close if the camp was allowed to stay open.
But consent was given on appeal by the government, whose reporter said the decision to refuse had been “unreasonable”.
Currently there is demand for around 300 workers from the oil and gas sector to be accommodated at the facility, which has amenities such as a dining area, bar, gym and a small external football pitch.
The new application for extending the consent through to November 2035 says SVT operator EnQuest has a forecast demand to 2040 for 160 rooms, while new gas plant operator Prax Group could need 40 rooms.
“There will also be projects at SVT or SGP that will require additional bed spaces above these figures,” it added.
This includes the decarbonisation of SVT which includes a shift in focus towards new energy opportunities like hydrogen production, as well as the decommission of existing infrastructure.
A document called Assessment of Worker Accommodation Demand and Supply in Shetland also suggests there is a “need to accommodate 310 workers” annually, with peak demand higher than this.
It added: “If Sella Ness was not available, this could lead to companies engaged at SVT and SGP scaling back operations, which would have significant impact on the deliverability of major renewable energy projects.”
The application added that without the Sella Ness facility there would have been “significant operational, logistical and accommodation challenges” associated with the construction of the Viking Energy wind farm, which went live earlier this year.
Sella Ness accommodated between 120 and 150 people associated with the Viking project.
The application added that the camp “relieves pressure on the busy tourist accommodation” in Shetland.
It also lists a large number of potential projects in Shetland which could create demand for bedrooms at Sella Ness, from two proposed wind farms in Yell to a second HVDC power cable to the Scottish mainland, offshore wind projects, a new Brae school and housing developments in Lerwick.
“The current planning approval expires in November 2025, but in order to meet the existing client demand and provide certainty of supply of accommodation to these clients there is a need to consider the renewal of this permission well in advance of the current permission’s expiry date,” an application statement added.
“The accommodation facility remains in good condition and the form of the development has been designed to endure the Shetland climate.
“The facility has been in place for a number of years and would no doubt benefit from capital investment to upgrade certain items of plant and equipment, and to enhance some of the building fabric.
“This can only be possible if there is longer term certainty that the facility can remain in place. Subsequently, the buildings can continue to provide high quality accommodation to service the business and industrial demands in this location for several years to come.”
The application documents add that the facility operates with between 25 and 35 staff depending on how busy it is, with buses generally used to transfer occupants to SVT and SGP.
Meanwhile the idea of developers behind future major projects in Shetland providing their own accommodation for visiting workers to ease pressure on the local rental and housing market has also raised its head in recent years.
Shetland Islands Council’s development director Neil Grant told a meeting last year the visiting workforce associated with the construction of the Viking wind farm and also the gas plant impacted the market and pushed prices up – making it harder for people to find a house to rent.
Last month SSEN Transmission announced it planned to build more than 1,000 homes across the north of Scotland which would then revert to local use when projects are completed.
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