A $16.5 million investment in what may be the largest tidal array shows how Scotland and the British government can work together, a British official said.

The British government said it provided the Meygen project, a tidal array planned for the Scottish coast, with $16.5 million in grants. London said the project will be the largest of its kind once completed, generating enough energy to meet the annual needs of 175,000 average households.

British Energy Secretary Ed Davey said the project will put Scotland and the United Kingdom on the map as global leaders in marine power technology.

"The project also shows what can be done when the U.K. and Scottish governments work together to provide a lasting benefit for the people of Scotland," he said in a statement Friday.

Scotland holds a referendum for independence from the United Kingdom next month. The British government has expressed opposition to the measure, saying the United Kingdom is better off united.

London said investing in renewable energy projects is part of an overall scheme aimed at replacing 20 percent of the country's aging coal- and gas-fired power plants by 2020.

Scotland said it could meet independent energy demands through renewable resources while building an economy around oil and gas reserves.