ScottishPower and Norwegian technology company Hammerfest Strøm have set up a new tidal power company Hammerfest UK utilising devices of Hammerfest Strøm. The new company will help Scotland to deploy its considerable tidal power resources for the benefit of the environment, and for the Scottish economy and jobs.

Under the deal, both parties will work together to optimise Hammerfest Strøm's technology including demonstration of a full-scale prototype in Scottish waters, in preparation for deployment of the technology on a wide scale in Scotland and around the globe. Manufacture of the prototype will commence in 2008, with installation during 2009.

The Managing Director of ScottishPower's renewables business, Keith Anderson, said "This is another milestone in our development of renewable marine energy, and follows the announcement of our Orkney wave project which will be the largest in the world. Collaboration between our two countries, Scotland and Norway, will help us to deploy our massive tidal power resources and reduce our emissions of CO₂. Most importantly, by investing now and developing the world-leading technology here in Scotland, this project will help us to secure significant jobs and economic benefits in future."