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He spoke to 105 people at a Otago Anniversary Day luncheon in the Dunedin Club yesterday.
The anniversary lunch is organised by a committee each year. Yesterday marked the 166th anniversary of the foundation of Otago.
Cr Peat, a fifth-generation Scottish settler, said the various Scottish heritage groups in Dunedin needed to work more cohesively and could do with some revitalisation.
''We really need to refocus on what could be of interest. It's an important part of our history and profile,'' he said.
Cr Peat said heritage organisations also needed to attract younger members.
The links between Dunedin and Edinburgh could be strengthened through education involving university students, he said.
''A tattoo-type event could also be run at the stadium, for example. It's not something we can transform overnight, but it's justified in the profile we present as a Scottish heritage city.''
Luncheon committee convener Ann Barsby said other speakers included Dunedin City Council chief executive Sue Bidrose and Otago regional councillor Louise Croot. Malcolm Wong spoke about the history of Chinese settlers in Otago, who arrived 150 years ago.