Top 10 Best Energy Suppliers in Shetland Islands

Powering an Island Community

Energy has always been a different proposition in the Shetland Islands. For most of its modern history, the archipelago had no connection to the national grid. It relied on an isolated network powered mainly by the diesel-fired Lerwick Power Station and the gas-fired plant at Sullom Voe. Homes in rural districts depended heavily on heating oil, bottled gas and solid fuel. Electricity prices and fuel poverty rates have historically been among the highest in Scotland.

That picture has now changed. A subsea transmission link connects Shetland to the mainland, a large onshore wind farm is generating power, and community-owned renewables, tidal turbines and district heating are spreading. Shetland's energy suppliers are now national leaders in the shift to clean power. Below are ten of the most important energy providers serving the islands today.

The Top 10 Energy Suppliers in Shetland Islands

1. SSE Renewables and Viking Energy

The Viking Energy wind farm in the central Mainland of Shetland is one of the most productive onshore wind farms in the UK. It has 103 turbines and around 443 megawatts of capacity. Shetland's strong and steady winds give it exceptional output. A community benefit fund linked to the project supports local initiatives across the islands.

2. SSEN Transmission

SSEN Transmission built and operates the Shetland HVDC link, a roughly 260-kilometre subsea cable that connects the islands to the GB grid at Caithness. The link lets Shetland export renewable power at scale. It also gives the islands a secure supply from the national network for the first time.

3. SSEN Distribution

SSEN Distribution manages the local electricity network that delivers power to every home and business on the islands, from Unst to Sumburgh. Its teams maintain overhead lines and substations through some of the harshest weather in Britain and respond quickly to storm outages.

4. SSE Lerwick Power Station

For decades Lerwick Power Station was the main source of electricity on the islands. Now that the grid connection is in place, it has moved into a standby and resilience role. It provides backup that protects Shetland against cable faults and extreme weather.

5. Shetland Heat Energy and Power

Shetland Heat Energy and Power runs one of the UK's most successful district heating networks. It is supplied mainly by the Energy Recovery Plant at Gremista, which turns waste into heat. Hot water is piped to more than a thousand homes, schools, the hospital and leisure facilities in Lerwick, which cuts both emissions and heating costs.

6. Shetland Aerogenerators

Shetland Aerogenerators operates the Burradale wind farm near Lerwick. The site is famous for record-breaking efficiency, with capacity factors far above the UK average. Burradale proved that wind power works on the islands and paved the way for larger projects.

7. Nova Innovation

Nova Innovation runs the Shetland Tidal Array in Bluemull Sound between Unst and Yell, one of the world's first offshore tidal arrays. Its turbines generate predictable electricity from the tides, and the project has become a reference site for marine energy around the world.

8. Certas Energy

Many crofts and rural homes still depend on oil-fired heating, so fuel distribution remains essential. Certas Energy supplies heating oil, diesel and lubricants to households, farms, fishing businesses and commercial customers across the islands.

9. Calor Gas

Calor supplies bottled and bulk LPG for heating, cooking and commercial use in areas where piped gas is not available. Its cylinders are a familiar sight at island shops, holiday cottages and fishing businesses throughout the archipelago.

10. Garth Wind Farm

The community-owned Garth Wind Farm on Yell shows how renewable energy can directly benefit remote communities. Income from the turbines funds local development projects. This model is gaining popularity across Shetland's smaller islands.

Energy Trends in Shetland

• Export-led renewables: With the grid link in place, Shetland now exports clean electricity to mainland Britain.
• Hydrogen ambitions: Projects are exploring green hydrogen production using surplus wind power, potentially at the Sullom Voe site.
• Offshore wind: Several large floating wind proposals in the waters around Shetland could change the islands' energy role even further.
• Heat decarbonisation: Heat pumps, better insulation and expanded district heating are cutting reliance on heating oil.
• Community ownership: Local trusts and development councils are taking stakes in renewable projects to keep the benefits on the islands.

Tackling Fuel Poverty

Long winters, exposure to strong winds and older housing have left many Shetland households struggling with energy bills. Energy suppliers, the local council and advice organisations have responded with insulation programmes, heat pump grants and tailored tariffs. Renewable growth on the islands is helping keep more energy spending within the local economy.

How to Choose an Energy Supplier in Shetland

The right energy partner depends on where you live and what you need. Lerwick residents may have access to district heating, while rural homes typically combine grid electricity with oil, LPG or heat pumps. Businesses should look at supply resilience, tariff structures and whether a supplier offers renewable options. It is also worth checking eligibility for regional support schemes designed for island communities.

Conclusion

The Shetland Islands have gone from an isolated, fossil-fuel-dependent energy system to one of the most important renewable regions in the UK. The ten suppliers above are driving that change, from large wind farms and subsea cables to community turbines and local heat networks. For residents and businesses, it means a more secure, cleaner and increasingly local energy future.