Drax Group, a leader in renewable energy, has received development consent from the Scottish Government for its innovative plans to construct a new underground pumped storage hydro plant at its existing Cruachan facility in Argyll. The project, which is estimated to cost around £500m, marks a significant step in Scotland’s path to net zero, as new long-duration storage plants are crucial for integrating more wind and solar power in the coming decade.

The proposed 600 MW plant at Cruachan is part of Drax’s broader £7 billion strategic investment plan in clean energy technologies, such as long-duration storage and Bioenergy with Carbon Capture and Storage (BECCS), between 2024 and 2030. The new plant, which will be built adjacent to the existing underground facility, will effectively more than double the site’s total generation capacity to over 1 GW.

Scotland’s First Minister, Humza Yousaf, visited the site and reiterated his call for the UK Government to provide an appropriate market mechanism for hydro power and other long-duration energy storage technologies. The expansion of Cruachan and other similar projects will help to strengthen the UK’s energy security, support hundreds of jobs, and provide a significant boost to the Scottish economy. However, the project’s progression requires an updated financial stabilisation mechanism from the UK Government.