A public consultation has been launched to shape Scotland’s largest-ever community benefit fund, which will provide more than £20 million per year to local communities.
Glen Earrach Energy (GEE), the developer behind one of the UK’s most significant pumped storage hydro projects, is seeking input from residents, businesses, and organizations on how the fund should be structured, managed, and allocated.
The fund, aligned with the Highland Council’s Social Values Charter, aims to ensure direct investment in communities near the development and across the wider region.
Pumped storage technology allows for large-scale energy storage and is considered a key component in the transition to renewable energy. GEE says the site’s natural topography enables a highly efficient design, generating and storing energy at a lower cost per unit than many other projects. This efficiency, the company states, translates into greater economic returns and, in turn, a larger community benefit package.
Angus MacDonald, Member of Parliament for Inverness, Skye, and West Ross-shire, welcomed the consultation: “The Highlands play a crucial role in the UK’s transition to renewable energy, yet too often, the economic benefits of these developments do not stay in the communities that host them. It is only fair that local people see real and lasting benefits from the projects built in their area.
“This community consultation is an important step in ensuring that the substantial funding available from the project delivers meaningful, long-term investment for the region.”*
Glen Earrach Energy Director Roderick MacLeod emphasized the scale of the project and its potential impact: “Pumped storage hydro projects are vastly larger in scale than traditional onshore wind farms, both in terms of capacity and longevity. Our project alone will generate the equivalent output of all operational onshore wind farms in the Highland Council area, or around 800 turbines. Given the sheer scale of this investment, it’s only right that the economic benefits match that scale, ensuring communities receive meaningful support over the lifetime of the project.”
He added that the fund is expected to surpass the £9.1 million distributed by the entire Highland wind energy sector last year: “We recognise that the best approach to community benefit is one designed with the people who will receive it. A fund of this scale presents an opportunity to support local services, infrastructure, and long-term investment, but it also raises questions about governance, priorities, and distribution.
“One of the greatest strengths of pumped storage hydro is its longevity. Properly maintained, these projects can operate for well over a century. That means communities must see benefits not just in the short term, but for generations. This consultation is a key step in ensuring that we get this right, delivering a funding package that supports long-term prosperity in the Highlands.”
The consultation survey is now open, allowing local communities to provide input on how the funding should be managed and which areas should be prioritized.
