More than £100 million has already been invested in developing Coire Glas, including a 1.2km exploratory tunnel built into the hillside above Loch Lochy. The geological information gathered through that work will inform the project’s final design. Progress towards delivery remains dependent on securing investment arrangements acceptable to SSE.
An economic impact study commissioned by SSE Renewables and undertaken by BiGGAR Economics estimates that the proposed 1.44GW pumped storage project could support 2880 UK construction jobs at peak and generate around £1.94bn in expenditure with UK businesses. Its delivery would require approximately £3bn in private capital investment.
Announcing the findings on 30 October, SSE highlighted the potential industrial benefits of the scheme while making clear that detailed arrangements under Ofgem’s Long Duration Electricity Storage (LDES) framework still need to be resolved before the project can progress.
The construction opportunity
The study estimates that development and construction could generate £1.5bn in UK economic value. Within that national total, Scotland could account for £1.35bn in expenditure with businesses and £656m in economic value, with construction employment reaching 1180 jobs at peak.
The expenditure and economic value figures are separate measures of the project’s projected impact, while the Scottish estimates form part of the UK totals.
Alongside its economic assessment, the report examines how workforce development and procurement arrangements could help retain benefits within the Highlands. It describes requirements to break down work packages to improve access for smaller businesses, alongside buyer events and exchanges with local suppliers. The report also identifies skills transfer, apprenticeships and traineeships as mechanisms for building regional capacity through the project. These commitments are intended to extend the benefits beyond the immediate construction period.
Once operational, BiGGAR Economics estimates that Coire Glas could support 60 UK jobs annually and generate £7 million in UK economic value each year over its decades-long operating life.
Investigations inform design
SSE’s development expenditure includes extensive site investigations and construction of the exploratory tunnel to gather geological data and inform the project’s final design.
SSE describes Coire Glas as one of Britain’s most advanced pumped storage projects. However, the company continues to make progression conditional on an investable outcome through the LDES framework.
“Coire Glas has the potential to be one of the most important infrastructure projects built in the UK in a generation, delivering major economic benefits while strengthening the country’s energy security,” said Stephen Wheeler, managing director of SSE Renewables. “This study demonstrates the scale of that opportunity, with the potential to generate £1.5 billion of economic value across the UK, support almost 3,000 construction jobs at peak and create significant opportunities for Scottish and British businesses throughout the supply chain.”
Investment conditions remain central
In June 2026, Ofgem included Coire Glas among 16 LDES projects on its ‘Minded-to-Decision’ list for receipt of cap and floor investment support. SSE continues to engage with the process and says a significant number of detailed points remain unresolved.
The economic benefits outlined by BiGGAR Economics are projections dependent on the scheme being delivered. Inclusion in Ofgem’s list has not removed SSE’s requirement to secure arrangements that satisfy its investment criteria.
“Unlocking that opportunity now depends on securing an investable outcome through Ofgem’s Long Duration Electricity Storage framework,” said Wheeler. “A number of detailed arrangements need to be resolved to secure an investable outcome so a project of this scale and complexity can progress. If that can be achieved, Coire Glas could deliver decades of benefits for workers, consumers, communities and the wider economy, during construction and throughout its operating life.”
SSE says any final investment decision would be taken in line with its continued focus on capital discipline and strict adherence to its return thresholds.
