Hansard

I am pleased to be able to lay the final version of our climate change plan before Parliament today, after many months of constructive engagement with the public, Parliament and stakeholders. I begin by thanking everyone who has taken the time to speak to us and to respond to our consultation, which has strengthened the plan.

The plan is Scotland’s pathway to net zero, and it outlines the action that we will take to meet our first three carbon budgets—targets that the Parliament agreed last year. It is more than a plan to meet our moral and statutory obligations, however. The climate change plan is our route map to realising economic and social gains for people across the whole of Scotland as part of a fair and just transition.

We simply cannot hang about. Scotland faces global competition. If we do not grab the opportunities for economic growth through the first-mover advantages that are outlined in the plan, others most certainly will.

The Scottish Government and I are absolutely up for this challenge. We have already seen what can happen when we take decisive action. When it comes to the renewables industry, the Office for National Statistics estimates that there are more than 35,000 jobs, directly, in Scotland’s low-carbon and renewable energy sector. Scotland has had the largest percentage increase in turnover in this sector of any nation in the United Kingdom: it rose from £5.5 billion in 2015 to £13.3 billion in 2024. That has not happened by chance; it is the result of years of policy certainty and ambition from this Government.

The CCP highlights the potential of growth areas, ranging from renewables and heat networks to the circular economy, and it sets out our commitment to increase investment in areas that will simultaneously decarbonise Scotland and improve lives.

In rural Scotland, people are already benefiting from investment in peatland restoration and tree planting. That includes job creation, community resilience, enhanced biodiversity and improvements in the natural environment, alongside the contribution that many farmers, crofters and other land managers are making on climate action.

To further support those communities and our unique natural environment, we have today also published our first environment strategy, which is designed to create an integrated framework for environment and climate policies while harnessing the powerful synergies between the health of our environment, the wellbeing of Scotland’s people and the success of our economy.

Today, we have also published our circular economy strategy, which underpins delivery of our climate goals by cutting the amount of waste that is produced in Scotland and managing our resources more sustainably to reduce emissions. Together with the climate change plan and the environment strategy, it will support us to become a net zero and nature-positive nation by transitioning towards a circular economy with sustainable levels of material use.

In finalising the climate change plan, we commissioned research from the Edinburgh Climate Change Institute on the wider socioeconomic impacts of the plan. The ECCI estimated almost £8 billion of co-benefits, particularly from the public health benefits of physical activity from active travel and reductions in conditions that are caused by harmful air pollution.

However, despite all the co-benefits and opportunities, the plan acknowledges the inconvenient truth of our age: the most dangerous and expensive choice is not to take any action at all. Do not just take my word for it. The Scottish Fiscal Commission, the Office for Budget Responsibility and the Climate Change Committee have all presented evidence showing that the cost of inaction far outweighs the necessary cost of investing in net zero policies and action. That is a stark warning.

As the current situation in the middle east has shown, we must reduce our exposure to geopolitical shocks by shifting to more secure, domestically based renewable energy systems. Decisions by this Scottish National Party Government have increased the amount of electricity that is generated in Scotland from low-cost renewable sources and have put Scotland in a more energy-secure position. Despite that, it remains the case that the electricity price that people must pay is too often set by high-cost gas. It continues to be absolutely absurd that decisions taken at Westminster by successive Labour and Tory Governments have left Scottish consumers and communities exposed. For me, the answer is clear: Scotland’s energy wealth should, right now, be protecting people here in Scotland.

We are clear that Scotland has obligations abroad to communities in the global south that are disproportionately affected by climate change. Today, I can confirm that we will provide £7.5 million of funding in the next financial year towards climate justice projects in Malawi, Zambia and Rwanda, building on the successes of previous programmes to deliver locally led solutions that centre the needs of women, youth and people with disabilities. That funding demonstrates the Scottish Government’s commitment to international development, and we are proud of the role that Scotland plays on the international stage.

The final climate change plan has been strengthened through our engagement with the public, the Parliament and stakeholders. I am grateful to the more than 500 individuals and organisations who responded to the public consultation and to the nearly 2,000 people who took part in more than 100 events in our public engagement programme across Scotland.

We will continue to engage with the public as we deliver on the plan. To support that, I am pleased to announce that, through our climate engagement fund, we will fund eight organisations in 2026-27 to engage a range of audiences across Scotland, from Argyll to Aberdeenshire, in innovative and inspiring ways. Alongside that, I am announcing £250,000 for the climate action schools programme to support children and young people to learn about and take action on climate change.

Yesterday, I visited Dronley Wood in Angus to see the excellent work that is happening on the ground through the Angus climate hub, which is part of our national network of climate hubs. The hubs will continue their work to support communities to tackle and adapt to the changing climate, with £6 million of funding for next year.

With Scotland’s climate already changing due to accelerating climate adaptation, £1 million this year will support councils, community groups and businesses to strengthen their climate resilience through the Adaptation Scotland programme. The climate ready regions initiative will continue to identify regional priorities to reduce risks from flooding, coastal erosion, extreme heat and water scarcity.

Together, the funding demonstrates the importance that this Government places on empowering communities to take action on climate change.

I am grateful to colleagues from across the chamber for their engagement on the draft plan. We received scrutiny reports from four parliamentary committees and a further six offered evidence to the Net Zero, Energy and Transport Committee. I was pleased to give evidence to the committee in February, following evidence sessions that were undertaken by my cabinet colleagues on their portfolios, and to take part in the NZETC-led debate on the plan, which took place earlier this month.

We have considered every recommendation from each committee and have made changes to crucial areas of the plan. We have responded to the call for more information about delivery by setting out how we will design implementation by working with partners to get the right mechanisms in place, alongside having a robust early warning and monitoring system. Our delivery approach will be agile, pivoting to corrective action if needed and taking advantage of new opportunities.

We have also responded to requests for more information about the methodologies used to evaluate policies and costs by providing a significantly expanded analytical annex. As I have already set out, we have also given much more detail about the benefits and co-benefits of the plan.

In closing, I make it clear that the Scottish Government cannot deliver the plan alone. It is Scotland’s climate change plan, and we need people, communities and businesses to work with us on that shared national endeavour. We also need the Parliament to work with us to deliver the policies. There is no denying that we are witnessing a concerning rise in anti-climate rhetoric, but the plan proves the economic and social case for action, and those of us who believe in the need for climate action, in the science behind it and in the economic imperative that I have outlined must stand firm against those wilfully disruptive and egregious voices.

Just this week, we saw a new warning from the United Nations, which said that the past 11 years were the warmest on record. We should not need any more warnings because the science is clear. We must act, so it is essential that the Parliament works together to deliver the plan and to reach net zero, with all the benefits that that will bring. It is a national challenge that Scotland must meet, because the prize is not only a healthier climate but warmer homes, cleaner air and happier, more equitable and prosperous communities.