The company has confirmed that it will not move forward with its lease option to develop the Argyll Array offshore windfarm in the near future.

The site off the western coast of Scotland near the island of Tiree would have featured up to 300 turbines with a potential total capacity of up to 1,800MW, which is enough to power one million homes.

The company has dropped the plans due to various reasons including the ground conditions in the site, specifically the presence of hard rock; challenging wave conditions; and a significant presence of basking sharks.

The company has also estimated that the project, which was awarded to the company by the Crown Estate in 2011, may not be feasible within the next decade.

Having started working on the Argyll Array project in 2009, the company has completed a variety of detailed technical and environmental studies as part of the initial development work that were thoroughly reviewed throughout 2013 to evaluate the viability of the project.

ScottishPower Renewables and The Crown Estate have taken the latest decision to scrap the project based on these findings.

ScottishPower Renewables head of offshore wind Jonathan Cole said the company believes it is possible to develop the Argyll Array site as it has the some of the best wind conditions of any offshore zone in the UK.

"However, it is our view that the Argyll Array project is not financially viable in the short term. As cost reductions continue to filter through the offshore wind industry, and as construction techniques and turbine technology continues to improve, we believe that the Argyll Array could become a viable project in the long term.

"The rate of progress in development of foundation and installation technology has been slower than anticipated. The current outlook for offshore wind deployment in the UK suggests this will not significantly improve in the short term. This supports the view that it could take 10-15 years for the required technology improvements to be available for this project," added Cole.