The large hydro-electric schemes developed by the early 1960s now (1984/85) supply 12% of Scottish electricity demand. The pumped storage schemes contribute to the balance of production and demand but are not nett producers of electric power. Schemes remaining for development are numerous but small, in the range below 10 MW. Private development for local use is the best economic prospect for schemes below 500 kW. A rolling five-year programme of 10–15 MW per annum is suggested for the development of remaining resources. In Scottish conditions, peat does not appear to be a viable alternative to diesel power. Wave power is practicable, but probable costs are too high to justify investment at present. Wind power is promising, especially for island sites, but not as a complete replacement for diesel. Developments since 1980 include a successful small machine on Fair Isle and machines at 250 and 300 kW on Orkney where a 3 MW generator is being erected. A 750 kW machine has been ordered for Shetland.