Gigha Wind Farm Launch

Date : 26/01/2005

community owned wind farm

Gigha wind farm launched – first for Scotland and UK


The only mains-connected community owned wind farm of its kind in the UK was launched today, Friday 21 January 2005, by the Isle of Gigha, which is itself community owned.

In recognition of the importance of the project for the future of the island ‘the Dancing Ladies’, as the windmills have been dubbed by the islanders, were switched on by local school children.

The launch was marked by the first payment for the island’s electricity of a cheque from green energy uk which is buying all the renewable power.

green energy uk won the open tender not only by being competitive financially but also because of an interesting approach to long term sustainability which resonates well with the community’s aims. The company has pledged to give away half its company in shares to its customers and the Trust will also receive shares. Any Gigha customer who converts to Green Energy UK will also receive shares in the company.

Guest of honour George Lyon MSP commented: “The example which Gigha has set in establishing this community owned wind farm will provide a blueprint for other communities throughout the Highlands and Islands“.

Gigha Renewable Energy Ltd, set up by the Isle of Gigha Heritage Trust, built the wind farm and is now charged with managing it, allowing the community to benefit from the profits. The profit is being ploughed straight back into the community and contribute to projects such as the much needed Housing Improvement Programme.

Whilst wind farms are often deeply contentious, the decision to go ahead in Gigha was made by the islanders in a unanimous show of hands by islanders in the village hall.
 
Even allowing for repayments and running costs, the islanders estimate that their windmills will immediately start to generate a profit in excess of £75,000 per year. “This compares to a community benefit payment of approximately £2,000 per annum, if the wind farm was privately owned.” says Willie McSporran MBE, chair of the Isle of Gigha Heritage Trust and a director of Gigha Renewable Energy Company.

Willie McSporran explains; “Until now nobody had managed to crack the financial nut enabling a community with little money to become a significant local generator. The solution we have developed in Gigha works by combining grant funding with loan and equity finance secured at commercial rates. The company simply pays back the loan and buys back the equity within five years. What’s more by year eight we will have built up a capital re-investment fund sufficient to replace the machines without recourse to further financing.”

 The three 225kW machines on the southern tip of the island are placed to maximise use of the wind. “We anticipate total power generation in the region of 2.1 gigawatts a year,” explained Andy Clements, chairman of Gigha Renewable Energy Company. “That’s enough to meet over two thirds of the island’s needs”.

Even before they were turning, the Gigha Windmills had won the prestigious Ernst and Young / Euromoney UK Renewable Energy Award for best community project for their innovative use of second hand machines. The potential for replication, allowing other communities to benefit from wind power and take control of their futures, has already led to considerable interest throughout the UK.

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Notes for Journalists

• The Gigha windmills comprise three Vestas V27 machines each of 225kW installed capacity generating approximately 2.1 gigawatts of electricity per year. Each turbine stands on a 30 metre tower and has a swept area blade diameter of 27 metres.
• Highlands and Islands Enterprise have now established a Community Energy Company with a view to replicating the Gigha model of community ownership of renewable power generation, in communities throughout Scotland
• As well as being a celebration of the “Dancing Ladies”  the launch event will recognise the endeavour of those involved in making the windfarm operational. A wide selection of attendees was invited including George Lyon MSP, local councillors, members of Highlands and Islands Enterprise, ALIEnergy and all major contractors.
• Further information can be gained from Eleanor Logan, Chief Executive, Isle of Gigha Heritage Trust on 01583 505388
• Further information about Green Energy UK:   Ramsay Dunning on  01920 486156
                       [email protected]

               Or:             Eva Maclaine on 020 8372 1831
                    [email protected]

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