A UK Government taskforce has highlighted Peterhead as a key region to deploy Carbon Capture and Storage (CCS) technology.
Banffshire and Buchan Coast MSP Stewart Stevenson has criticised the delay, after plans for Peterhead Power Station were axed less than three years ago.
Peterhead Power Station had been earmarked as a potential site for CCS with oil major Shell and SSE carrying out a feasibility study, however in 2015 then Chancellor George Osborne announced £1billion of potential funding had been axed.
Now, a new report by the Carbon Capture Utilisation and Storage Task Force (CCUS), has described the region as having “unique potential” for the project due to its links with the oil and gas industry.
Commenting, Stewart Stevenson MSP said: “It has taken the UK Government three years to reaffirm what they already knew about the opportunity from CCS.
“In 2015, then Chancellor George Osborne scrapped funding which could have transformed energy in Scotland and beyond and brought hundreds of jobs to Peterhead.
“I am pleased the government has set up a taskforce and is now reconsidering its options but this is a complete waste of money and time given that the benefits were for all to see three years ago.”
The new report makes a series of recommendations on where the UK government could deploy the technology in the coming years in order to meet climate change targets.
It describes the St Fergus gas terminal as a natural hub for CO2 with the potential to ship or export it internationally from Peterhead port.