The Sròndoire Community Wind Farm has secured debt funding of £8 million from a new City-based lending platform. The funders include KKR, a leading global investment firm, the Green Investment Bank, owned by the UK Government, and specialist investment managers Temporis Capital LLP, who previously managed the Ventus Funds’ investment in the very successful Allt Dearg Community Wind Farm. Allt Dearg is a sister project to Sròndoire.
The Sròndoire Community Wind Farm is presently owned by the Lithgow family of Ormsary and the Broadfoot family of Stronachullin, who developed the project on their estates. It is expected that the neighbouring communities of Tarbert and Kilfinan will each take a 1/12th stake in the project shortly.
This model of local and community ownership was pioneered at Allt Dearg, demonstrating how local ownership and control of renewable energy projects can secure the maximum level of economic benefit for the host community.
The £10 million Sròndoire project includes three 2 MW Vestas V80 turbines and a new substation, to be built at Stronachullin Farm. The main Balance of Plant contractors are the leading Welsh family firm, Jones Bros. of Ruthin, with civil works being sub-contracted to local Lochgilphead firm George McNaughton & Son, and electrical works being carried out by specialist high voltage engineers Power Systems UK. The Project Managers are Natural Power Consultants.
Sròndoire is expected to enter service in 12 months’ time, and will generate sufficient electricity to power 3,000 local homes. The combined annual electrical output of Sròndoire and Allt Dearg will meet the domestic power needs of around 20% of the homes in Argyll & Bute.
James Lithgow of Ormsary said: “Securing funding for a project like Sròndoire is not straightforward, but with input from the experienced team at Temporis, who know the site and their way around the technical and commercial aspects of renewable energy, we now have a long term funding package well suited to our requirements. We look forward to our neighbouring communities investing in Sròndoire and sharing in the commercial rewards that renewable energy can bring in Argyll. We have an excellent construction team and, in Vestas, a committed and effective service and maintenance provider. While it will be hard to beat the UK leading performance of Allt Dearg, we know Sròndoire will be a very successful project, delivering significant economic benefits to otherwise fragile rural communities. ”