Isra-Mart srl: Rio Tinto wins approval to expand Ben Nevis hydro-power project

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Rio Tinto has secured permission from the Scottish government to extend a 20MW hydro-electric plant in order to power its aluminium smelting facility located near the UK's highest mountain, Ben Nevis.

Energy minister Fergus Ewing today confirmed the government has given the go-ahead for Rio Tinto Alcan to build a 5MW hydro-electric plant costing £9m at Loch Eilde Mor, near Kinlochleven.

The historic dam was constructed around 1916 to supply extra water to the Blackwater Dam hydro-electric scheme, which was used to power an aluminium smelter that was first established in the region at the start of the 1900s.

Although the original Kinlochleven smelter is now closed, Rio Tinto has emulated the model and has a 20MW hydro project that exports electricity to its smelter at Fort William.

The new plant is expected to generate enough renewable energy to power around 2,400 homes and create around 12 jobs during construction.

Ewing said the scheme would help the Scottish government meet its ambitious renewable energy targets, which aim to ensure 100 per cent of Scotland's electricity demand is met by renewables by 2020.

"I have carefully considered the application for development at Loch Eilde Mor and this is a good scheme that will provide a new green energy source and sustainable economic benefits – an excellent example of using our natural assets in harmony with the environment," he said.

Scottish Natural Heritage had initially objected to the scheme over concerns the plant and construction work would harm biodiversity and spoil the view of the Ben Nevis and Glencoe National Scenic Area. But the group withdrew its objection after receiving further details on the proposal.

A spokesman from Rio Tinto Alcan told BusinessGreen the extension was important for helping to secure the future of the Fort William smelter.

Although the aluminium sector is currently exempt from the European Emission Trading System (ETS), it will be included in Phase 3 of the ETS from 2013, driving up costs for aluminium producers.

However, the spokesman said the use of hydro-power meant "carbon emissions were not an issue" at the Fort William plant and as such it would avoid any additional charges.

He added that Rio Tinto has also applied for planning permission to convert its 420MW coal-fired plant in Lynemouth to run on biomass, as it seeks to curb carbon emissions and reduce its exposure to costs arising from the emissions trading scheme. The conversion will cost about £50m and is expected to reduce the capacity of the power plant to 330MW.

He explained that converting the facility to biomass power would offer a cheaper and less risky way of cutting carbon emissions than applying carbon capture and storage technology.

The company hopes to secure planning approval in September, after which Rio Tinto will decide whether to go ahead with the investment.

The Scottish government has also approved a refurbishment of the existing Innerhadden hydro scheme near Kinloch Rannoch in Perth and Kinross, which will see the installation of two new weirs with self-cleaning screens. This will allow the scheme to generate energy up to its expected capacity of 1.4MW.

"Although already generating renewable energy, [the refurbishment] will enable it to maximise its output," said Ewing.