Albion, one of the largest independent venture capital investors in the UK, has invested £9.3 million in partnership with Perth-based developer, Green Highland Renewables (‘GHR’), to fund the development of a single 2MW hydropower scheme on the Allt A’Chonais, close to Loch Carron in the Scottish Highlands.
The scheme will benefit from the Feed-in-Tariff regime and it is expected to generate its first electricity in Q1 2015. The installation is forecast to generate an average 7GWh of electricity per year, enough to power up to 2,000 households.
This investment is Albion’s eleventh investment into renewable energy and second investment into a hydroelectric scheme, thus underlining Albion’s strategy of expanding into this sector.
Christoph Ruedig, Investment Director at Albion said: “We are excited about partnering with Green Highland Renewables as we continue to diversify our holdings across a range of renewable energy technologies. GHR is one of the leading developers of small-scale hydroelectricity schemes in Scotland, having successfully developed many schemes over the last 5 years. We look forward to working with them on this, as well as future schemes.
This marks our second investment in hydropower and highlights Albion’s continued commitment to the renewables sector. Hydropower is the oldest renewable technology and has a strong track record of performance, which will provide attractive long-term returns for our shareholders.”
Ian Cartwright, Managing Director at Green Highland Renewables said: "Albion has an impressive reputation in supporting businesses in the renewables sector and we are very pleased to be partnering with the team. Their investment in this project is a strong boost to realising our goal of becoming one of the leading owners and operators of small scale hydroelectric schemes in the UK. We look forward to developing this, as well as future hydro projects, in partnership with Albion.”