Guidance

Dounreay socio economic annual review 2021/22

Published 4 April 2016

Introduction

In April 2021, Dounreay Site Restoration Ltd (DSRL) became a subsidiary company of the Nuclear Decommissioning Authority (NDA) Group. The Cavendish Dounreay Partnership ceased.

Both NDA and DSRL continue to work in partnership to support socio economic activity in the area led by the Caithness and North Sutherland Regeneration Partnership (CNSRP).

This report provides details of NDA and DSRL support provided during 2021/22.

Thriving communities

Social impact activities that sustain and enhance community assets and address community needs.

COVID-19 support

As COVID-19 continued to be prevalent, the site continued to support and enhance community assets and address community needs:

• Dounreay employees continued to provide voluntary support to marshall car parks and the community in attending medical practices for the vaccine roll out
• DSRL supported NHS to develop an operating model to support future vaccine rollout across NHS Highland. This delivered a forecasting and trending spreadsheet which allowed NHS to deliver the next phase of the complex vaccination programme
• Support continued with requests for additional personal protective equipment (PPE.)

2020/22 Cumulative provision of PPP included

Item	Number
Masks	9,480
Gloves	12,970
Suits	1,414
Goggles	30
Over-shoes	140
Aprons	1,400
Bottles	168
Screens	13

COVID-19 recovery: Community infrastructure support

The programme was jointly funded by North Highland Initiative and DSRL.

Overall aim: towards tackling many community based infrastructures and developing new ways of coping with the longer term after effects of the COVID-19 virus and also with a significant upwards surge in interest in sustainability and the environment.

Grant support was made available up to £1000.

• £10,000 DSRL support
• 20 Organisations supported
• £18,000 Total funding

Case study

Defibrillator installation, Brough. The key outcome of this project was to make an automated external defibrillator available to the community as the nearest one would be in Dunnet and at too far a distance should something ever happen.

Caithness and North Sutherland Fund

The Caithness and North Sutherland Fund was established by the Nuclear Decommissioning Authority and DSRL to distribute funding to community organisations for projects that will increase the attractiveness of Caithness and north Sutherland as a place to live, work and invest with particular emphasis on achieving environment, social, culture and infrastructure improvements. The fund is governed by an independent board.

The funding package was agreed as part of the development of a new disposal facility for low level waste arising from the decommissioning of Dounreay.

The NDA committed £4 million to the fund – £1 million at the start of construction in 2011 and £300,000 in 2014 and each year until 2023.

• £300,000 Annual funding
• £3.4 million Total fund committed
• £13 million total project value

Split of projects:

• 10% environmental
• 16% Cultural
• 41% social improvements
• 33% infrastructure

Dounreay Communities Fund

The Dounreay Communities Fund supports community organisations and local charities. It is overseen by the Dounreay Stakeholder Socio Economic sub group.

• £25,000 annual funding
• 30 organisations supported
• £66,000 total project value

Dounreay Employee Charity Fund

The Dounreay Employees Charity Fund is a voluntary scheme with Dounreay employees donating a sum of money each month from their salaries to support local groups.

• £1 per month donations from Dounreay employees
• 10 organisations supported
• Total project value £9,500

North Coast Visitor Centre

The re-launch of the former Caithness Horizons centre in Thurso took place on Tuesday 2 November 2021, with the facility being re-branded as the North Coast Visitor Centre.

Delays to the opening of the facility which is co-funded by The Highland Council and DSRL were due to COVID-19 restrictions.

• £75,000 annual funding
• 3,614 Number of visitors since opening (2 November to 3 March)

Number of staff employed:

• 7 full time equivalent
• 6 relief posts
• 1 part time

Heritage

The Dounreay heritage collection is housed in the North Coast Visitor Centre.

• 448 objects collected since 2008
• 2 objects collected this year
• 7 heritage presentations
• 1 international conference
• 6 recording histories
• 2 educational studies
• 1 local project involving  6 retired employees

Strathnaver Museum

Strathnaver Museum’s purpose is to preserve and promote the history and culture of the area for present and future generations by conserving, interpreting and augmenting the museum’s collections together with the archaeological, historical and natural history of the area for public benefit.

The museum runs community outreach projects and events involving a diverse range of people from all ages and backgrounds. These events help to attract visitors to the area and during 2013 to 2019 there was an 84% increase of visitors to the museum.

It is also an important visitor attraction for the area as one of the few wet weather activities in north west Sutherland. The increasing popularity of the NC500 means the presence of this facility, as part of the infrastructure for this world class route, is increasingly important.

The museum and the iconic church it resides in is at the heart of the history of the Clearances. This makes it culturally central to the story of the Highlands and of Scotland as a whole.

• £80,000 DSRL funding
• £2.7 million total project costs secured
• 4 full time employees (aim after finalisation )

On track to be delivered by 2023:

• 60% increase visitor numbers
• 50% increased in come
• 6 yearly work placements
• 210 promotion of heath initiatives

Venture North

Venture North currently supports members and the tourism industry in Caithness and Sutherland. Incorporated in 2013, the organisation has been engaging businesses and delivering a number of consumer and business focused activities designed to promote the tourism offering in the north Highlands.

COVID-19 has had enormous impact on the tourism industry and this project aims to support the sustainable recovery of the tourism industry through support to destination management organisations. The strategic impacts include:

• strong partnerships and collaborations
• a strategic approach to destination development
• delivery of industry support and guidance
• strong representation of the destination
• assisting the industry to capitalise on new opportunities
• supporting the region’s ambitions and policy areas for green recovery / net zero
• visitor management and responsible tourism; Fair Work.

Funding partners:

• Highlands & Islands Enterprise
• Visit Scotland
• Regional Food Fund
• Beatrice Offshore Wind Fund
• Venture North

Impacts:

• 3 x FTE in posts in post (July 2021) - Destination Strategy Manager - Strategy Project Co-Ordinator - Tourism Development Co-Ordinator
• 1 x FTE Business Support and Skills Development Co-Ordinator - Graduate placement

Activities:

• [Caithness and Sutherland Tourism Recovery Strategy launched] (https://www,venture-north.co.uk/aboutventure-north). Over 20 workshops and 1:1 meetings with over 130 people participating from communities, businesses, and key stakeholders.
• filming for Scotland Love Local videos
• tourist map and leaflet for 2022 finalised
• ‘Breathing space’ campaign – promoting off-season strong regional offer

• marketing campaign live in January 2022 - Big Flavour marketing

• £97,000 DSRL 3 year commitment
• £551,000 total project costs
• £21,000 DSRL funding in year 1

Scottish Surfing Championships

Scottish Surfing Championships take place annually in Thurso and is a big event for the town, bringing surfers from all over Scotland and beyond to compete for national titles on Scotland’s best surf.

For the first time, the event will be broadcast, showcasing what Thurso has to offer as a surfing and tourist destination to the world.

The event also brings a lot of spectators and athletes to the town who will spend money with local businesses.

A judging course will run in advance of the event to refresh the skills of existing judges and also to upskill other judges who can also do some “shadow” judging at the event in order to improve their skills.

There are approximately 30 positions for staff at the event including judges, MC, tabulators, marshalls, media and other officials. At the time of going to print the Surfing Championships had not been held and therefore impacts have not been quantified

• £10,000 DSRL funding
• £25k Total project costs

Project aims:

• 20% increase of visitors to area
• 30% increase spend in local business
• upskilling of judge capabilities
• beach clean following the event

Caithness Transport Forum

The Caithness Transport Forum is an enabling activity that sits on the CNSRP programme recognising that connectivity is crucial when trying to attract inward investment to the area and to serve the needs of existing business.

Funded by The Highland Council and DSRL, the transport forum covers all types of transport connectivity.

Project impacts:

• 4 meetings held
• 4 airport consultative committees
• assisted Nuclear Transport Solutions to facilitate a commercial rail trial at Georgemas
• represented on CNSRP-led PSO sub group
• meetings with MP/MSPs to raise awareness of PSO business case
• invite to new Scottish Government Transport Minister to visit
• 2 transport consultations responded to
• challenged Scottish Government on road equivalent tariff (RET) for ferry crossings
• major input to securing PSO for airport.
• highlighted issues with degradation of road infrastructure

• raised concerns over air traffic management system – plans changed as a result

• £10,000 DSRL funding
• £20,000 Total project costs

Public service obligation for Wick / John O’Groats airport

In 2019, DSRL provided funding to support the Chamber to develop a robust business plan to make the case for a public service obligation (PSO) for Wick / JOG Airport.

The business case was produced on schedule and the Chamber, along with CNSRP partners, was pivotal in securing funding from Transport Scotland for a 3 year PSO.

The Highland Council also committed £300,000 for the operation of a PSO and oversaw the procurement process that led to a contract being given to Eastern Airways to provide scheduled flights from Wick to Aberdeen.

Impacts:

• regular scheduled flights from Wick to Aberdeen
• prices are affordable and capped
• timing links to good onward connections
• ability to do a day return
• recruitment at the airport

• helps to support local business, Far North Aviation

• £3.9 million funding secured for PSO ( 3 years)

Sustainable incomes

Inspiring skills, education and personal development.

DSRL apprenticeships/graduates:

• 8 engineering apprentices
• 8 heath physics trainees
• 3 business apprentices
• 2 quantity surveying apprentices
• 12 graduates
• 17 Summer students

Engineering, Technology and Energy Centre (ETEC) manager, North Highland College

ETEC, based at Thurso campus, is the largest and best equipped of its type in the north of Scotland.

Originally funded with support from the NDA, it aims to work with employers to ensure that the apprentice academic training is as close to working within a real environment.

DSRL committed to 3 years funding to support the recruitment of the ETEC manager. This was to ensure that the post attracted the right type of person who had business development experience to grow the ETEC offering.

• £26,000 DSRL funding
• £87 Total DSRL funding

Impacts:

• finalise and implement strategy, incorporating all key subject areas. This included:
  1. curriculum and growth plans measured through planned recruitment and enrolments in subject areas annually
  2. revision of staffing plan management posts and succession planning
  3. addressing the gender balance in engineering and construction through a review of engagement at key events and planned recruitment and enrolment
  4. establish meaningful ERI / ETEC collaboration through a joint funded initiative
• lead/participate in multi partner strategic engineering projects to support the implementation of relevant research opportunities for the region
• using the above opportunities to support both the growth in curriculum and income generation

Transport for Tongue

Developing the Young Workforce (DYW) Transport for Tongue has been operating for over 10 years. It has operated the Thurso College service for 4 years with grants from bodies such as the Caithness & North Sutherland Fund.

It has also operated (and continues to operate) services to North Coast Connection to provide transport for the elderly to lunch clubs and to deliver prescriptions to the house-bound.

It operates regular services to Lairg, Skerray, Melness and Acheninver where service bus routes are not available. This year saw a need for students who wished to continue in education at North Highland College, UHI.

The service bus route did not align with the requirements for travel for students and therefore Transport for Tongue stepped in to provide support to enable students to transit from north Sutherland to Thurso for their further education.

• £30,000 Total funding Dounreay over 3 years

• £10,000 DSRL funding (year 1)

• 4 number of students – provides opportunities to young students to continue on to university without leaving home to take up further education .

Developing the Young Workforce (DYW)

DYW is the Scottish Government’s youth employment strategy to better prepare young people for the world of work. The employer led regional groups set up across Scotland are connecting employers with education.

The work supports the delivery of the Young Person’s Guarantee. Locally, this activity is led by the Caithness Chamber of Commerce with a number of the local supply chain companies taking part.

• One senior DSRL representative on the board
• 8 Dounreay business and STEM ambassadors provide mock interviews
• 4 high schools involved
• 8 companies in areas have signed up to the Young persons Guarantee (456 companies in Scotland)
• 214 pupils attending

Key STEM Ambassador programme

Science, Technology, Engineering and Maths (STEM)

• 17 key STEM ambassadors
• 23 schools offered support

STEM activities

• 95 STEM ambassadors
• 3 face to face activities held
• 15 ambassadors involved
• 414 pupils involved

Engineering day

• 5 STEM ambassadors involved
• 4 engineering companies and NHC delivered virtual engineering industry day
• 36 senior phase pupils
• 3 high schools participated

STEM resources

Provision of STEM resources to practitioners to allow delivery of STEM activities in schools. DSRL and DYW North Highland have jointly funded the purchase of a flight simulator for use at STEM events.

• 9 DSRL STEM ambassadors are being trained

Social value chains

Increasing impact scale and duration of supply chain activity in support of citizens, communities and our local economies.

North Highland Regeneration

The North Highland Regeneration Fund (NHRF) was established by the NDA to provide loan funding complementing other existing sources of funding for small businesses.

This initiative is designed to pump-prime both the start-up of new ventures and the growth of existing businesses as part of the drive to replace the jobs which will be lost in the Caithness and north Sutherland area as Dounreay is decommissioned.

• since fund started: 2.5 million in loans provided
• 61 total loans provided
• 133 new jobs created
• 8 jobs secured

Break down of sectors:

• 23% business
• 13% energy
• 18% manufacturing
• 8 construction
• 25 % load and drink
• 13 tourism

Commercial activities at Dounreay

• £98.5 total supply chain spend
• 648 number of companies
• 364 number of SMES
• Of the top 20 suppliers 11 have a local base (up to end of February 2022)

Decommissioning services framework

The decommissioning services framework covers construction of new-build projects required to enable the decommissioning of Dounreay; deplanting, decommissioning, decontamination and demolition of redundant facilities; and all associated project management, controls, engineering, design, safety case and site remediation requirements.

The companies involved submitted socio economic plans which will deliver benefits to the local area. The consortia involved within the framework are:

• Amentum
• Dounreay Decommissioning Framework (DDF) Alliance (Cavendish Nuclear and JGC Engineering & Technical Services Ltd)
• Jacobs
• Nuvia
• Nuclear Decommissioning Ltd (James Fisher Nuclear Ltd, REACT Engineering Ltd, WYG Engineering Ltd, Shelpley Engineers Ltd)

It should be noted that each consortium has different types of contracts and therefore cannot be directly compared. The benefits listed below are based on the various contracts and value provided

Activities	Jacobs	Amentum	DDF	Nuvia	NDL
Total number of contracts awarded:	3	1	6	2	2
Total value of contracts awarded to date:	£23,900,000	£1,428,189	£29,766,198	£10,158,000	£5,196,893
Money spend in local community (community projects):	£10,000		£6,000	£35,000

Community project detail:

Jacobs:

• donation to food bank and Christmas toy appeal
• Chamber of Commerce membership
• sponsorship of a local golf club
• includes hotel nights when in Caithness

DDF (Cavendish Nuclear/JGC Engineering)

• donation made to Caithness Business fund as per commitment in socio economic plan

Nuvia:

• working with Ormlie Development Community Trust to provide domestic skills to young mothers and supporting the fit out of a new kitchen in the Trust’s facility
• voucher system for employees to spend in 10 local hotels (to offset loss of earnings as the traditional Christmas Friday did not happen).

	Jacobs	Amentum	DDF	Nuvia	NDL
Number of volunteering hours	450		2	235.5

Jacobs:

• beach clean
• RNLI lifeboat
• mountain rescue
• mental health support
• community council

DDF

• support provided to Caithness and NS Offshore Wind Cluster Prospectus by providing bid management expertise. This will continue with further commitment as project grows
• discussions with Chamber of Commerce to provide virtual sessions to support Developing the Young Workforce
• plans being developed, in partnership with DSRL and Chamber of Commerce, to deliver social impact training with a sponsored social value expert to deliver training in Caithness (focused on SMEs)

Nuvia

• involvement in Developing the Young Workforce
• STEM activities
• Caithness Chamber of Commercc

Activities	Jacobs	Amentum	DDF	Nuvia	NDL
Graduate exchange (including funding overhead activities):	1 Graduate exchange with DSRL		0
Number of FTE employment opportunities created:	21		0	15 - 5 Nuvia and 10 Grahams	11
Number of FTE employment opportunities retained:	57		0	3	19
Number of apprentices recruited or retained:					1
Number of graduate placements created:	3		0
Number of sub contract opportunities nationally:	6		6	5	1
Percentage value of contracts awarded:	6%		4%	78%	6%
Number of sub contracts locally:	3		JGC is partner in consortium	5
Percentage value of contract opportunities awarded locally:	4%			22%

Additional info

Jacobs:

• excludes the contribution from running an office in the area, with c.10 staff in high value jobs
• has shown continued interest and activity in helping to develop the local economy and brought its expertise to support development of recent business cases that were aimed at developing new industry in the area

Nuvia:

• sub-contract with Graham Construction Ltd has benefited local contractors and suppliers including:
  • purchase and transport of all concrete poured on the ATW contract to date from John Gunn Ltd
  • use of building tradesmen from John Gunn Ltd
• to date ,in general GCL has deployed 6 personnel on this project, all of whom travel regularly from out with the county and make use of local accommodation (some long term rental ,some hotels, B&Bs etc) and eateries whilst resident in Caithness
• analysis of pattern of purchases for the project to date (not including GCL purchases) shows there has been £134,584 worth of goods purchased (96% national and 4% local)

NDL:

• James Fisher Nuclear purchased Bower facility hence investment in the area
• additional (non Dounreay) contracts (Winfrith reactor dismantling) have been delivered in Bower by JFN utilising local supply chain

Resilient economies/Collective impact

NDA and DSRL are both active partners within the CNSRP. Senior members of both NDA and DSRL are members of the CNSRP executive board with other representation involved via the CNSRP delivery group.

DSRL provides funding support, alongside HIE, to cover the costs of the CNSRP programme manager and the CNSRP independent chair.

£36,000 CNSRP programme manager - impacts:

• 1 FTE employed
• short lived working groups
• process for review of projects more robust
• delivering opportunities to speak with private sector
• development of communications strategy

£9.300 CNSRP independent chair - impacts:

• improved engagement with Scottish Government
• review of partnership working
• agreement to CNSRP plan

CNSRP resource hub

This year, CNSRP discussed the need for some dedicated resource to allow projects to be progressed at pace. DSRL agreed to fund a pilot project to recruit a business development manager and project manager

£150k DSRL funding - impacts

• 2 FTE employed
• progressed timely bid to STEP (reactor) prospect
• 4 projects delivered or under development: area wide hydrogen, offshore wind marketing collateral, space cluster strategy and space cluster action plan
• regular updates of CNSRP programme
• supported PSO (airport) project
• supported progress of sustainability agenda - early development support for BEST tool (ROSE).

Space Hub Sutherland

A DSRL employee was seconded part time to HIE to support the stakeholder relations workstream of Space Hub Sutherland.

£40,000 DSRL funding - impacts

• 0.5 FTE employed
• marketing material developed
• 4 community newsletters
• 2,800 Twitter followers
• 4 community liaison meetings
• 8 hosted visits to the site
• support to developing local projects
• support to visitor management plan
• support to closing out planning conditions

North Highlands and Moray Space Cluster strategy

The North Highlands and Moray Space Cluster Strategy was undertaken during 2021.

The report commissioned by the Caithness Chamber of Commerce, on behalf of CNSRP, demonstrates the economic benefits that Space Hub Sutherland can bring to the north Highlands and Moray areas.

This work was jointly funded by DSRL and HIE.

• £57,000 total funding

• £34,000 DSRL funding

• strategy delivered on time
• estimated to create by 2030 (in Highlands): 390 jobs in launch activities, 740 jobs created, £22 M GVA generated and £56m GVA potential to unlock

Caithness Chamber of Commerce business mentoring

Funded by DSRL, the Chamber offers business support and mentoring aimed at aspiring businesses in the Caithness and north Sutherland area.

Open to new businesses or those which are less than 6 months old, the Chamber provides support including business planning, employment responsibilities, establishing and registering a business, intellectual property/trademarks, market research, marketing and sales and sustainability

• £57,000 total funding

• £34,000 DSRL funding

• 42 businesses – generic advice
• 4 businesses – sustainability advice
• 8 businesses – start up advice
• number of jobs created: 5.5 FTE
• return on investment: 201%

Scrabster Harbour St Ola Pier development

The development of the St Ola Pier has resulted in the creation of a more versatile port infrastructure that allows an increase of capacity and functionality.

The development will allow Scrabster to access opportunities arising in areas such as offshore energy and cruise markets.

The funding was provided in 2020 with construction work on the St Ola Pier completed on schedule and to cost in 2021.

• £19 million total funding

• £5 million NDA funding

• 6% increase in total vessel tonnage
• 18% increase in port revenues
• 46.3 FTE new jobs
• 30,000 increase in cruise passengers
• 10,500 increase in crew - £1 million spent in local area
• opportunities for local supply chain in energy and tourism sectors

Wick Harbour Authority

In March 2022, NDA provided funding to support the development of an updated robust business case. Following the recent announcement of the Scot Wind leases, Wick Harbour is in an ideal location to secure operation and maintenance bases.

The updated business case will review the markets in greater detail so that a more accurate prediction of both direct and indirect jobs can be identified and has the potential to lead to the required justification for future investment for the harbour entrance protection works project.

• £18,000 NDA funding
• 90 to 170 potential jobs