In the company’s latest funding round, the Scottish Investment Bank (SIB) committed £1 million on behalf of the Scottish Government via the latter’s Energy Investment Fund (EIF). Marine propulsion and renewable energy company Schottel Hydro GmbH contributed £2.46 million. Schottel transferred all its tidal energy assets, including UK subsidiary TidalStream and Canadian subsidiary Black Rock Tidal Power, to SME in return for equity in January this year, becoming SME’s largest shareholder, .

Initial testing of the PLAT-I system was completed near Connel, Argyll and Bute in 2018. The device was then transported to Grand Passage, Nova Scotia, where it generated power for the first time in February this year.

It is now in a testing and demonstration programme in preparation for  build-out of a larger project at the Fundy Ocean Research Centre for Energy in the Bay of Fundy.

Managing director Jason Hayman said: “Securing new investment from the Scottish Investment Bank and commitment from Schottel for our work in Nova Scotia will enable us to take a significant step forward on our renewable energy journey.”

SIB director Kerry Sharp said: “SME has repeatedly proved its resourcefulness, culminating in the successful testing of its innovative PLAT-I platform and generation of first power. We’ve supported the company every step of the way since it relocated to Scotland in 2016 and have underlined our continued backing by contributing to its latest fund-raise.

“This investment could ultimately see SME further its commercial activity, placing the company at the forefront of the development of tidal energy technologies and further cementing Scotland’s position as a leading player in the global transition to a low-carbon economy.”