The project, a joint venture between Gilkes Energy and the Estate landowners, will generate more than 5 Gigawatt hours (GWhrs) of energy annually, enough to power around 1,000 average sized homes. The scheme incorporates a modest amount of water storage which means water can be retained for use during times of peak demand.

Commenting on the news, Carl Crompton, Project Development Manager for Gilkes Energy, said: "We are very pleased to have been awarded planning permission by the Scottish Government, after more than 2 years of hard work. The Ederline Hydro scheme has come to fruition using a partnership approach between developer and landowner. By investing in the scheme Gilkes Energy has a long term stake in the project and shares risk and reward with the landowner. The landowner in turn benefits from Gilkes' considerable experience in developing, financing and constructing hydro schemes."

The project will create around seven jobs during construction and make further inroads towards Scotland achieving its renewables target by 2020.

To read the Scottish Government press release click here: http://www.scotland.gov.uk/News/Releases/2010/12/30125541