Lussa Community Wind Mutual Benefit Society is hosting a virtual AGM for members on 2 August 2022 at 6pm.
Lussa Community Wind has received Year 2 Community Benefit Funds from SPR in relation to Beinn and Tuirc 3 Windfarm.
The total received for Year 2 was £229, 078. Following a Board Meeting where the sum to be temporarily retained to pay for administrative costs would be agreed, the balance will then be donated equally to the three anchor charities for their dissemination to prioritised local causes. The anchor charities are Campbeltown Community Windfarm Fund, East Kintyre Community Fund and West Kintyre Community Fund).
An annual Community Benefit Funding package of £225,000 has been secured for local communities from the recently commissioned Beinn an Tuirc 3 (BaT3) Windfarm. Following many months of negotiations by EKREG (a local volunteer group working on behalf of Kintyre Communities) an agreement has been reached with Scottish Power Renewables (SPR) that ensures the Community Benefit Funds will be paid for the lifetime of the windfarm, rather than the initial 10 years as originally tabled. As a consequence, local communities will receive around £3.4 million more than was originally proposed, the final total amounting to ~ £5.6 million over the coming 25 years. These funds will be equally distributed to the impacted communities of Campbeltown, East Kintyre and West Kintyre, to enable local communities to plan long-term and develop large scale projects that truly benefit the communities in our area.
A Community Benefit Society - Lussa Community Wind Limited (LCWL) - with representation from all 3 communities on its Board, will manage all funds flowing from BaT3 to the Anchor community charities: Campbeltown Community Windfarm Fund, East Kintyre Community Fund and West Kintyre Community Fund. The charities are all Scottish Charitable Incorporated Organisations (SCIO) and will follow a strict set of guidelines when allocating funds for projects to further community development, education and regeneration.
The Community Councils associated with this development have all recently been developing their Community Action Plans to assist the Anchor Charities in delivering legacy projects and priorities identified by the local communities. The application processes for applying for these funds will soon be announced via the Campbeltown Courier and www.kintyrewind.com.
EKREG have been working for 2 years with Local Energy Scotland (LES) with support from professional financial and legal advisors provided for by a LES-CARES grant. Alasdair Bennett (Chair of EKREG) said “We are very grateful for the support from LES and pleased to have been able to help secure this important funding for our communities.”
Speaking on behalf of the communities, Valerie Nimmo, the Convenor of Campbeltown Community Council, said “We are very grateful to EKREG for all the work they have done in securing a lifetime community benefit agreement with SPR in relation to the Beinn an Tuirc 3 Windfarm. The funds are much appreciated and will greatly help us deliver many community projects over the next 25 years.”
Since its establishment in 2019, EKREG has been in contact with 10 companies regarding 18 windfarm developments in Kintyre and South Knapdale with a view to exploring opportunities for shared ownership. With the current energy crisis and tight net zero targets, the growth of windfarms in Kintyre is likely to accelerate in the coming years. While each new windfarm will create employment during the construction phase, there will also be an increased visual impact on our landscape. For every consented windfarm, EKREG will explore opportunities to maximise the financial benefits for impacted Kintyre communities via CSO and community benefit payments.
Further information about the activities of EKREG; Lussa Community Wind Limited; and the Anchor Charities (Campbeltown Community Windfarm Fund, East Kintyre Community Fund and West Kintyre Community Fund) can be found on the Kintyre Wind website www.kintyrewind.com . Kintyre Wind is a collaborative project between EKREG and the Kintyre Community Councils aimed at maximising the financial return to the Kintyre communities from consented local windfarm developments.
Lussa Community Wind Limited donated 100% of the first tranche of funds from Beinn An Tuirc 3 Community Windfarm to the Society’s three anchor charities Each charity (West Kintyre community Fund, East Kintyre Community Fund and Campbeltown Community Windfarm Fund) received £74,925 each.
The Community Benefit Funding agreement for Beinn an Tuirc 3 Windfarm was finalised and signed with Scottish Power Renewables.
Approval for CARES grant change and subsequent engaging of Legal advisor to assist Communities in negotiating a CBF contract with SPR that meets Scot. Government. Guidelines.
Preparations for the SPR-CBF negotiations
Received QMPF review report on the SPR termsheet
Meeting with 3 impacted Community Councils to discuss BaT3 termsheet & negotiations.
Wrote a briefing document for Scottish Government on how changes to the tax laws on land in Scotland could be used to mandate CSO, ensuring a level playing field for all.
EKCF is a charity registered with OSCR (SC050650) in 2021 with the purpose of distributing community funds from windfarms and other sources to community groups and organisations in East Kintyre. Further details of the charity’s purposes and objectives, as well as the criteria that projects will require to meet, can be found by following the links on the EKCF page. The current EKCF trustees are the 3 East Kintyre Community Council office bearers plus Rob Lee (Chair), Russ Baum (Secretary) and Alasdair Bennett (Treasurer) . It is intended that all future Community Benefits from windfarms and other sources will be channelled into this fund along with revenues generated by Community Shared Ownership in renewable developments that impact on East Kintyre. The fund is not to be confused with the East Kintyre Windfarm Trust, which sits under the auspices of the Argyll and Bute Windfarm & Renewable Trust and distributes funds from existing windfarms. NOTE - When the fund opens the public will be notified and an application form, along with guidance and criteria, will appear on these pages.
Further engagement with SPR over the termsheet.
Engagement with the 3 Community Councils to give update on the termsheet
Application for extra marketing funds from the Cour Windfarm Community Benefit Funds, for the Lussa share offer was made and was successful. Tender for the video production (to be paid for by the extra funds secured from Cour) were run and a decision made and communicated.
Engagement with SPR on NDA – NDA agreed for Lussa Community Wind Ltd (the Community Investment Vehicle). Awaiting signed copies of NDA back from SPR and release of the Termsheet.
Engagement with SPR on NDA – by month end, NDA agreed for SPR-EKREG
Further preparation work for Ben Com Share offering – collecting quotes and timelines for producing a marketing video, pulling together and submitting a grant application for the video costs & further preparation of the website and pages.
Further engagement with SPR on NDA.
Further preparation work for Ben Com Share offering – collecting indicative costs and timelines, putting together the broad framework of a marketing campaign & preparing the website and pages.
Approval from FCA on the BaT3 community benefit society – Registered with the FCA as Lussa Community Wind Limited, reg. No 8576.
OSCR approval given for the 2 remaining anchor charities for Lussa CW Ltd – Campbeltown Community Windfarm Trust and West Kintyre Community Fund
Lussa Community Wind Ltd offers Pioneer Membership to its supporters for its start-up. The purpose of this Share Offer is to establish a set of founding members for the society.
Lussa Community Wind Limited has today been registered by the Financial Conduct Authority (FCA) under Co-operative and Community Benefit Societies Act 2014 as a Community Benefit Society.
Kintyre Wind has been launched as the collaborative project of Kintyre Community Councils working together with EKREG Ltd to facilitate and deliver Community Shared Ownership (CSO) to the Kintyre communities.
Engagement with SPR – call with SPR & Abundance regards NDA and Termsheet. SPR agreed to arrange a meeting with their legal.
Preparation work for Ben Com Share offering.
Approval from LES to incorporate the Beinn an Tuirc 3 Community Benefit Society – done, awaiting decision from FCA.
Engagement with SPR regards NDA and Termsheet. Holding pattern maintained by SPR. No change in their position that ‘timing for community investment won’t be an issue’.
Engagement with Community Shares Scotland on process and details for a possible BenCom share under their auspices. Further engagement with Ethex over process of using the website to raise capital.
Engagement with Tarbert & Skipness Community Trust (T&SCC’s delegated vehicle for all aspects of CSO & CBF). MoU signed with T&SCT for EKREG to act on T&S behalf in CSO matters. This means that EKREG now has a ‘fullhouse’ of Kintyre CC’s onboard and will launch “Kintyre Wind” – the community collaboration project for CSO in wind in Kintyre, with all the CSO BenComs being marketed etc through this project.
Initial work-ups and discussion of BenCom Community Share Offer document.
Confirmation from OSCR that the East Kintyre Community Fund is now registered as a Charity with them – this will be one of the 3 Anchor Members of the BenCom set-up for the SPR CSO.
Engagement with SPR regards NDA and Termsheet. Holding email received – now have to wait until the NY
Engagement with Ethex on process and details required for placing of a possible BenCom share offering on Ethex website.
Engagement with SPR – SPR are looking to supply Termsheet in December.
Update provided to the three Community Councils.
Engagement with Abundance regards timing etc of CSO documents.
Initial foundation work on possible BenCom share offering and where to place.
Completion of the East Kintyre grant dispensing charity documentation, agreement over initial trustees and application to OSCR for approval.
MCSOREP Benn Comm model rules marketed via website, local paper and LES newsletter.
Discussion with LES over Community requirements vs need for level of FCA certification in Financial advisor to Community.
Registration documentation for The East Kintyre Community Fund (the charity that is to be established to oversee the dissemination of funds incoming from windfarms to strategic development, education and regeneration projects as outlined in the East Kintyre Local Development Plan) have been submitted to OSCR.
Engagement with the three Community Councils over the template set of documented control processes for the Grant-making Charity needed by each Community Council as Anchor members in the BaT3 Ben Com. Initial structural work on East Kintyre website for access to EK grant forms etc completed. Permission sought and granted from FCA and Companies House for East Kintyre’s charity name.
Engagement with SPR – gave detailed feedback on 1st pass SPR supplied NDA
Work on Guide to the new Multi-Community Ben Com model rules and sponsoring process (for use by other communities) has been completed.
A template set of documented control processes for the Grant-making Charity needed by each Community Council as Anchor members in the BaT3 Ben Com has been drafted and sent to the 3 community councils - a constitution, a code of conduct, a delegation of powers process, a conflict of interest process as well as a grant-making policy. These will be needed in the OSCR registration process.
Engagement with SPR – confirmation that BaT3 CSO termsheet will be presented ‘late Autumn’ .
After further discussions with the FCA, they confirmed REGISTRATION of new model rules for Multi-Community Shared Ownership in Renewable Energy Projects with EKREG Ltd as sponsoring body.
EKREG working on Guide to the new model rules and sponsoring process (for use by other communities).
Discussions with various parties on PWLB Loans for CSO. Requests for Scottish Government Guidelines/advise to Local Authorities have now been submitted into the Scottish Government – at Minister & Cabinet Secretary level.
EKREG's tender process for the BaT3 Legal and Financial Advisers has been put on hold until a Term Sheet is provided by SPR. This will allow a more focussed tendering process and also the new timelines in light of any Covid-19 impact on construction timelines once known.
Following a bid to the Energy Savings Trust, a grant of £950 had been received to reimburse the fee paid to the FCA for their processing of ‘Model Rules’ to underpin the establishment of multi-community BenComm’s.
EKREG Ltd sent out Invitations to Tender on 15 May 2020 for the provision of financial and legal assistance to support the potential community investment in the Beinn an Tuirc 3 windfarm development. The experienced independent advisors will advise the community on all financial and legal aspects associated with the investment, from the incorporation and setting-up of the correct community vehicle, assessing the investment proposition through to finalisation of the funding packages.
EKREG Ltd have signed MoU with the CSO invited Community Councils (EKCC, WKCC, CCC) to act on their behalf in the CSO offer
Initial Outline Community Share Ownership Offer received from Scottish Power Renewables
EKREG Ltd have registered new Community Benefit Society Model Rules with FCA
EKREG Ltd are pleased to announce they have been successful in their application for a Scottish Government Community & Renewable Energy Scheme (CARES) Enablement grant of £25,000. This funding will be used towards the costs for financial and legal advisors that the Community will need along with any set-up costs for the Community Investment Vehicle, should the Shared Ownership in Beinn an Tuirc
Due to the developing Covid 19 crisis, EKREG along with representative from East/West Kintyre, Campbeltown and Arran Community Councils had to move to a teleconference with Scottish Power Renewables (SPR) and their financial advisors to discuss both community benefits and community investment in Beinn an Tuirc 3 Windfarm (now under construction). It was agreed that EKREG will be the engagement vehicle for SPR until such time as the community investment vehicle is established. If successful, this could be the first multi-community investment in a non-subsidy windfarm in Scotland
EKREG held a very successful and constructive meeting with representatives from East Kintyre, West Kintyre, and Campbeltown Community Councils, as well as South Kintyre Development Trust, Carradale Community Trust and Machrihanish Airbase Community Company to update the communities on the work EKREG has been undertaking over the last 5 months and how we might best progress CSO. The presentation provided clarification on current discussions and the future pathway. Briefing Note
Agreements are now in place for EKREG Ltd to take the lead and explore community shared ownership opportunities in new/repowered local wind farm developments on behalf of East Kintyre Community Council (EKCC), West Kintyre Community Council (WKCC) and South Kintyre Development Trust.