The 1.2GW of installed capacity proposed by the wave and tidal energy developers for 2020, 600MW each from wave and tidal, is four times the peak output of Dounreay power station, which is enough electricity to meet the needs of up to three quarters of a million homes, The Crown Estate said.

The developers have signed agreements for lease with The Crown Estate to take forward the development of their wave and tidal energy installations. This will allow developers to enter the statutory consenting process for their sites with security of access to the seabed.

The developers who have won the leases for wave power are: SSE Renewables Developments, 200MW for Costa Head site; Aquamarine Power and SSE Renewables Developments, 200MW for Brough Head site; Scottish Power Renewables UK, 50MW for Marwick Head site; E.ON, 50MW for West Orkney South site; E.ON, 50MW for West Orkney Middle South site; and Pelamis Wave Power, 50MW for Armadale site.

The winners of the tidal energy leasing round include: SSE Renewables Developments (UK), 200MW for Westray South site; SSE Renewables Holdings (UK) and OpenHydro Site Development, 200MW for Cantick Head site; Marine Current Turbines, 100MW for Brough Ness site; and Scottish Power Renewables UK, 100MW for Ness of Duncansby site.

The Crown Estate said that as owners of the UK seabed out to the 12 nautical mile territorial limit and over 55% of the foreshore, it has been working closely with partners, Scottish Government, Highlands & Islands Enterprise, Orkney Islands Council and the Highland Council, to maximize the benefits to the local area and the rest of Scotland from investments such as the offshore renewable energy program.

Roger Bright, chief executive of The Crown Estate, said: “This announcement demonstrates the UK’s position as the leader in wave and tidal technologies. Through our experience and some of the best natural resources in the world we have been able to launch the first wave and tidal energy projects on a commercial scale.

“This emerging industry has a bright and promising future, with vast amounts of untapped energy in the seas all around us, and The Crown Estate looks forward to working with partners in Wick and Kirkwall to realise the area’s marine energy potential.”