Community Council
of the Royal Burgh of Peebles & District
Community Council
of the Royal Burgh of Peebles & District
During PCC's meeting of Thu 10 Sep 2026, Calum Kerr MSP agreed to write to Belltown Power. PCC's letter below sets out the issues.
PCC's letter to Calum Kerr MSP
Dear Calum Kerr MSP,
Leithenwater wind farm community benefit arrangements
Thank you for attending our last meeting and for agreeing to write to Belltown Power about community benefit arrangements for the proposed Leithenwater wind farm.
Despite our best efforts, we have not managed to move Belltown from their standard offering which we are repeatedly told is generous and industry leading. Their offer is – £5k per MW, exactly as per Scottish Government guidance, with a 1% free ownership sweetener and the possibility of buying another 4% "at cost." However, index linking won’t begin until switch on which seriously devalues the offer in real terms. The value of £5k from May 2019 (when the guidance was last set) is actually £3762 in August 2026 (CPIH). Assuming unchanged inflation, that value falls to £2941 at switch on if that takes 5 years. Reversing this, the nominal amounts required to match the 2019 guidance, are £6645 today and £8500 in 5 years' time. Adding in the 1% free ownership still only takes Belltown’s offering to £6350 equivalent – well below parity if switch on was today, and substantially below parity with £8500 for a likely switch on in 5 years’ time. As described when you reviwed our model, we could boost that by perhaps £600 with the additional 4% offering – if we take on £millions in debt and substantial risk.
PCC consulted widely on Belltown’s offering and received feedback from a broad cross-section of third sector organisations during the Peebles Food Bank’s "Tackling Poverty Conference" earlier this year. This informed us that poverty and inequality are pressing problems for about a quarter of the families in Peebles. We were encouraged to press Belltown Power for a more equitable offer as they considered the need to be great and the offer derisible. Consequently, we tried negotiating with the energy company, but they appeared deaf to those arguments. We are very aware that the wind farm’s lifetime may be 40 years and could, change ownership several times, and there appears nothing to compel any owner to increase the benefit stream once a contract is agreed.
Reluctantly – because it felt as if we were letting down the community we serve – we agreed to sign Belltown’s deal as offered. In apparent bad faith, Belltown then changed the wording, pushing back by a year the dates on which inflation adjustments would occur. Our concern is that if in that first-year inflation runs at 10% – which it has recently done and could easily do again – that change would reduce the entire lifetime value of the benefit stream by 10%. This was explained as a "minor tweak” but it was in reality a significant change – hence the discussion at the PCC meeting you attended.
© Nadiia Shumko, used under licence.
Peebles Foodbank Tackling Poverty conference 21 May 2026.
In a wealthy society, where every person benefits from a just transition to net zero, asking for inflation adjusted benefits for our community shouldn’t feel like Oliver asking for more. Even a goodwill gesture of increasing the community benefit component of Belltown's offering to match the SG consultation figure of £6000 per MW would be a substantial improvement.
As representatives of our community, we wanted to share our experience of the realities of negotiating community benefits. We are hoping that an approach by you as our local MSP could concentrate Belltown Power’s minds to act more generously and balance the interest of their shareholders fairly with the interests of the community.
If you need any more information, or we can help you craft that approach, please reach out.
Yours sincerely
Peebles & District Community Council
Michael Marshall, PhD
Vice Chairman and Planning Convener
Article feedback secretary@ccrbpeebles.co.uk