North Kyle Energy Project

Brockwell Energy are pleased to confirm an application has been made to Scottish Ministers for the development of a wind energy project within North Kyle Forest in East Ayrshire. Incorporating 54 wind turbines, it will be one of the largest such initiatives in Scotland.

Conceived following the collapse of coal industry, its creation recognises the major shortfall in funds available to undertake meaningful restoration across disturbed parts of the North Kyle site and the need to create funding to invest in re-generation in local communities impacted from the demise of coal.

The project includes a commitment to restore parts of the site and assist in regeneration of the area.

The site location has the following favourable characteristics:

• A good wind resource
• Sufficient landholding to accommodate a viable wind project without subsidy
• A position outside the boundaries of any statutorily protected environmental features
• A location where adopted planning policies indicate wind energy projects are likely to be acceptable (“Group 3” location)
• Land with brownfield characteristics and abandoned surface coal mining areas that could be utilised and improved
• A large amount of existing infrastructure, including internal access roads and direct access from the public road
• Potential for re-use of discarded materials related to previous mining activities
• Potential for new internal sources of stone
• Proximity to the New Cumnock substation to allow export of power
• Secured land rights from the two landowning entities involved

Impact Assessment

The application is accompanied by an Environmental Impact Assessment Report (EIAR) that provides a thorough appraisal of likely significant positive and negative environmental effects of the development. The EIAR describes how the project has been carefully sited and designed to minimise significant effects.

As with all large-scale onshore wind projects, there will be some landscape and visual effects. However, given the scale of the development and the benefits it will bring, these will be comparatively modest and acceptable.

Renewable Energy

This will be a sustainable development capable of delivering approximately 530,467 megawatt hours a year of clean, green renewable energy. This is the equivalent of the annual electricity consumption of 130,528 homes and represents a significant contribution to Scottish Government targets for renewable energy.

There will also be decreased greenhouse gas emissions. The project would have an expected payback period for the carbon emissions associated with its construction, operation and decommissioning of 1.8 years, if replacing generation capacity from the ‘Fossil Fuel Mix’. It would save an estimated 244,015 tonnes of carbon dioxide emissions to the atmosphere a year compared to a typical fossil fuel mix of electricity supply.

The development would also contribute to the UK’s indigenous supply of energy, reducing reliance on imported energy.

Regeneration and Enhancement

The application includes a commitment by Brockwell Energy towards restoration and regeneration within and around the site. Since inception, Brockwell have committed that the project will deliver significant additional funding, over and above the standard community benefit, for the restoration of abandoned areas since the project was conceived, and have held on to those principles as plans for the site have evolved.

Approximately one third of the application site has been subject to surface coal mining, with much of this land unrestored and having no prospect of full restoration. The project presents a unique opportunity to assist in restoration of these areas and to help to bring land back into beneficial use – consistent with the policies and plans of the Scottish Government and East Ayrshire Council. The restoration has designed to be complementary and to enhance other current restoration ideas and preliminary designs.

The scheme also offers opportunities for enhancement of the wider area. These are described in a Regeneration and Enhancement Activities Statement accompanying the application. This illustrates how parts of the site could be restored. It is envisaged that detailed proposals would be developed in line with those parameters, in consultation with EAC and the landowners, and liaison with local communities.

The restoration would be secured by legal obligations and undertaken concurrently with construction and commissioning. The works have been valued at £5.2 million and would be a combination of ‘built-in’ benefits, flowing from construction work, and ‘additional opportunities’ secured through a committed £2.6 million of funding from Brockwell Energy through the North Kyle Trust (see below).

The restoration works would principally be focused in the former Chalmerston mine complex to complement restoration works valued at £4.3 million to be secured by East Ayrshire Council.

The opportunities for regeneration, improving the amenity of the area and improving access to North Kyle in the short, medium and long term are exceptional.

The restoration opportunities are consistent with planning policies and are well aligned to many of the objectives and aspirations of the North Kyle Forest Masterplan. The project has been designed to offer:

• Provision of public access along 54km of track to provide routes of varying distance
• Habitat management improvements including encouragement of black grouse
• Restoration of peat and creation of water bodies
• Restoration of c. 97 ha of currently derelict land
• Regrading of tips to improve appeal to forest users such as walkers and cyclists
• Provision of signposting and interpretive displays to aid navigation and provide context
• Early provision of utilities to the ‘Hub’ envisaged by the masterplan as an activity area

The project would use existing infrastructure across the site including, where possible, recovery of construction materials from previous overburden stores and the narrowing of over-widened coal haul roads.

The North Kyle Trust

Brockwell Energy have committed, from the very outset of the scheme, to form a North Kyle Trust with a commitment to initial funding at financial close based on £33,333 per installed megawatt (MW), to provide targeted additional funding to support existing initiatives and projects. On an installed capacity of 226.8MW this would create an initial £7.56 million of funding, which will start to flow as soon as financial close for the Proposed Development is achieved. This will accelerate the commencement of the delivery of community funding. Funding of £2.6 million from the £7.56 million package would be committed to restoration over parts of the site as described above.

This boost funding, completely separate and additive from the community benefit amounts, is truly innovative in nature as it presents an early injection of cash during the construction phase, exceeding best practice guidance and providing financial support for projects and initiatives within 8km of the site. No developer has ever made a voluntary commitment at this level and this reflects the original founding premise of the scheme, that being to find a means of generating significant and meaningful funding to make a difference to the local communities over a long and sustained period of time, both to improve the local environment and invest in the communities.

In addition to restoration, the funding could be used to support the aims of existing initiatives, such as the North Kyle Forest Masterplan, the Coalfield Communities Landscape Partnership, other existing local initiatives, and ongoing site improvement works, as well as new community-based initiatives that may arise.

Brockwell have also committed to provide community benefit funding of £5,000 per MW installed capacity per year (index-linked). Using the example of a 226.8MW development, this means the annual contribution to the fund would be £1.134 million. Over the 25-year operational lifetime of the proposed development this would equate, assuming annual inflation at 2% due to inflation to £36.3 million. This represents a major financial contribution and resource to underpin regeneration and investment locally. The annual payments of this benefit would commence following commissioning of the development and continue for 25 years.

An 8km radius for distribution of the community benefit funding is considered to reflect the particular circumstances of the site, along with local community requirements to achieve locally focused benefits for local communities and environments affected by the collapse of the coal industry.