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An energy giant is set to launch a regional headquarters in Newcastle as part of moves to create jobs and accelerate decarbonisation across the city.

SSE Energy Solutions has signed a Memorandum of Understanding (MoU) with Newcastle City Council in a partnership which is set to accelerate delivery of its Net Zero Action Plan, while also fostering a green skills workforce of the future.

The MOU pledges to provide more long-term, skilled jobs for local people in the low carbon economy, by pushing the city’s position at the forefront of the green industrial revolution.

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The FTSE 100 firm, which is based in Perth, Scotland, operates across the º£½ÇÊÓƵ and Ireland, helping local authorities and businesses on their journey to net zero. Its agreement with the authority comes as Newcastle and the River Tyne Economic Corridor have been designated as a priority area for the £160m North East Investment Zone, which will drive investment and innovation in clean energy.

The North East has the highest concentration of energy-related businesses in England and is recognised by the Department for Business and Trade as a High Potential Opportunity (HPO) for heat decarbonisation, which is a key focus for SSE. It is not yet known where SSE would establish its Newcastle base, but the firm has confirmed its committed to developing strong regional relationships through its intention to have a physical footprint in the city, to contribute to local economic growth and sustainable urban development.

The company, which provides energy infrastructure and supports the decarbonisation efforts of local authorities and businesses, is currently working with Northumberland-based low carbon consultancy Reheat and Northumberland Estates to explore the possibility of launching a clean energy network to supply businesses and public spaces in Alnwick.

City council leader Nick Kemp said: “SSE’s commitment to Newcastle marks a significant step towards the realisation of our net zero ambitions and will help foster inclusive economic growth in communities across the city.

“Newcastle holds the distinction of being the first city in the world where the city council, university and hospital trust each declared a climate emergency and committed to being carbon neutral by 2030 and by joining forces with SSE, we intend to show we are serious about building a more sustainable future for our city and region.”

Neil Kirkby, managing director of enterprise at SSE Energy Solutions, said: “Our partnership with Newcastle City Council is a testament to SSE’s unwavering commitment to supporting the North East’s transition to a sustainable future. By combining our expertise in decarbonisation and renewable energy with Newcastle’s position as a hub for innovation, we aim to create a powerful model for accelerating the net zero transition - one that can be replicated across regions throughout the º£½ÇÊÓƵ and Ireland.

“This collaboration is a prime example of how SSE is investing in the communities where we operate, driving local economic growth, and championing a fair and just energy transition. Together with Newcastle City Council, we will work to unlock the potential of low-carbon technologies, foster the development of a skilled green workforce, and ultimately, build a cleaner, greener future for generations to come.”