Huge hydro plant to fuel renewables boom
ENERGY giant Drax has underlined its willingness to complete one of the biggest infrastructure projects in Scotland in decades, with the right support.
The company said it wants to help unlock Scotland’s renewables potential by expanding the so-called ‘Hollow Mountain’ hydro power station in Argyll.
The plant by Loch Awe was opened in 1965 following a six year construction period that involved creating a huge turbine hall in the hills.
Drax said the plan it is considering would involve hollowing out another turbine hall.
The company made the announcement on the day that UK Government
Minister for Scotland, David Duguid, visited Cruachan to hear more about its plans.
The company noted: “The construction of a second underground power station at Cruachan would be one of the largest infrastructure projects in Scotland in recent decades, creating jobs and bringing much needed investment to Argyll.”
The work on building the existing Cruachan plant involved a 1,300 strong workforce.
Drax said previously that it saw potential for significant expansion at Cruachan and could be prepared to invest hundreds of millions of pounds in the right project.
It said this would require the Government to help underpin the returns it would expect to make on the huge investment that would be required.
The company made clear yesterday that it thinks there is a real chance that it could go ahead with a dramatic expansion of Cruachan.
Drax said its Scottish Assets & Generation Engineering Director, Ian Kinnaird, had outlined the company’s “exciting” work on plans to build a new second underground pumped hydro storage power station at the Cruachan complex.
Mr Kinnaird reiterated Drax’s view that pumped hydro storage could help Scotland maximise the potential of other renewable energy technologies.
The plants can be used to produce electricity when output from weather conditions are unfavourable for windfarms and solar plants.
The turbines at Cruachan are driven by water as it flows from a reservoir in the hills to Loch Awe below. Electricity produced by windfarms at times of low demand could be used to pump water back up to the reservoir.
Drax noted the process helps stop wind farms being paid to turn off when they are generating excess power.
Mr Kinnaird said: “The UK has led the world in the transition from fossil fuels to renewable power, and Scotland has been at the forefront of this renewables revolution.
“Drax wants to go even further and unlock Scotland’s full renewable potential by expanding the iconic Cruachan pumped hydro storage plant.”
The decision by Mr Duguid to make an official visit to Cruachan signals that the Government may be preparing to provide support for Drax’s plans.
Mr Duguid said: “It was fascinating to tour the underground facility and see first-hand how it produces high volumes of power in such an environmentally friendly way.
“We need to embrace the kind of technology employed at Drax.”
Mr Duguid noted that the Government is preparing to publish a Smart Systems and Flexibility Plan. This will outline steps to remove barriers to smart technologies, to help cut emissions by nearly 80 per cent by 2035.
Drax acquired Cruachan along with a portfolio containing other assets in Scotland from Scottishpower in a £700 million deal in 2018. The portfolio includes the Lanark and Galloway riverbased hydro schemes and a plant at Daldowie near Glasgow that produces fuel pellets from sludge.
The Government could provide incentives for the expansion of Cruachan through arrangements that involved Drax receiving payments based on the electricity produced or stored at the facility.
In April Drax said that Cruachan had helped underpin a solid financial performance by the group in the first quarter.