THERE WERE assurances all round when bosses of Spanish energy giant Iberdrola met the main Scottish political parties yesterday, writes Steve Bargeton, political editor.

Last week the company announced plans to take over Scottish Power in an agreed £11.6 billion deal.

Yesterday senior Iberdrola figures, including president Ignacio Sanchez Galan, flew to Glasgow for face-to-face talks with First Minister Jack McConnell, Deputy First Minister Nicol Stephen, SNP deputy leader Nicola Sturgeon and Scottish Tory deputy leader Murdo Fraser.

Mr McConnell said he had received specific assurances on a number of key issues.

“It’s clear that should the bid be successful, the management of Iberdrola are not only committed to the existing conditions for service of employees in Scotland but, crucially, the existing Scottish identity of Scottish Power and the corporate headquarters here in Glasgow,” he said.

“They are committed to the existing investment programme of Scottish Power at Longannet. And in renewables and, most importantly, for the longer term they have opened up the opportunity for us in Scotland to bid for and to secure further investment in Scotland in the energy industry in the longer term.

“This is an international company with global ambitions and we in Scotland have the skills and potential in the energy industry that I believe should be attractive to them.”

Ms Sturgeon described her meeting with the Iberdrola president as “very frank and constructive.”

“We expressed reservations about any takeover of Scottish Power and our concerns about Spanish tax subsidies,” she said.

“The focus of the meeting was on Iberdrola’s plans for Scottish Power in the event of the takeover proceeding.

“We received some welcome assurances on the retention of Scottish Power’s identity and Iberdrola’s commitment to renewable energy.

“However, although they seemed optimistic about retaining Scottish Power’s workforce at its current level, they could not give categoric assurances.”

Mr Fraser, too, said he was reassured.

He said, “As far as jobs were concerned, there is no immediate threat and Senor Galan was keen to stress that the headquarters function would be retained in Glasgow because of the separate legal and regulatory framework that Scottish Power would be working under.”