Some £3 million of wind farm benefit cash is being paid out to community development projects without a single turbine being built.
A French energy multinational is forking out much of the money under a golden goodbye deal with the South Lochs and Loch Seaforth community after pulling out of a giant wind farm scheme.
Engie – previously GDF-
Windfarm developer forks out millions of pounds in golden goodbye
20 July 2015
Planning permission for some 39 huge turbines is secured but a series of delays in the underwater interconnecter stalled the wind farm construction which was originally due to start in 2013.
It is hoped another developer will step in though the vital infrastructure is now unlikely to come on stream until 2021 at least.
However, Engie has a legal cancellation obligation to the Muaitheabhal Community Wind Farm Trust.
An amicable settlement has been agreed and signed today which will see Engie making a final payment of £1.92 million on top of £1 million previously awarded.
The windfall will fund various community projects in the trust’s priority area covers Pairc and Kinloch in Lewis as well as the Loch Seaforth area of North Harris.
The MCWFT must also give 30% of its net income to the Western Isles Development Trust, a body set up by Western Isles Council.
Iain Maciver, MCWFT chairperson, said: “The prospect of securing this significant payment, without exposing the community to any financial risk, is now a comforting reality.
"Engie have to be commended for the way in which they have dealt with us, honouring their obligations in the process.
“Of added encouragement is the prospect of another developer now stepping in to complete the windfarm.
“Fundamental to that happening is the long awaited subsea link to the mainland needed to unlock the island’s energy resource.”
Steve Riley, president for the Engie’s UK region, said: “It was disappointing that we were unable to pursue the wind farm project due to a number of external delays.
“It is important to us that we honour our commitments to the local community and we are pleased to have reached an agreement with the trust.”
Engie previously made a £20 million deposit to secure its place on the ever-