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Developers launch legal fight to slash council’s £8million transport bill

Chapelton of Elsick
Chapelton of Elsick

The developers of a new village in Aberdeenshire have launched a legal bid to slash an £8million council bill that would be ploughed into transport and infrastructure in the region.

Elsick Development Company (EDC) – the firm behind the 4,000-home Chapelton of Elsick, near Newtonhill – said it was taking its fight to the Court of Session in Edinburgh as the local authority was asking them for too much money for projects not “directly related” to its own development.

The EDC and Chapelton landowners have been embroiled in a long-running battle with the council’s Aberdeen City and Shire Strategic Development Planning Authority (SDPA), who want them to pay millions towards ventures including a new bridge over the River Dee and a new train station at Kintore.

But the EDC claims that legislation set by Scottish Ministers rules that developers should only contribute to infrastructure related to a particular development – and that they are already investing millions in projects directly linked to the new village.

In March, the Duke of Fife – the Queen’s cousin – and Alexander Shepherd, who own the Chapelton of Elsick site, appealed to the council to have its contribution cut from £8million to £287,000, a revised offer they said would still cover improvements to and from the site.

But their bid to radically alter the terms of the agreement was booted out by councillors, who said the planning application – signed in October 2013 – would never have been supported on such terms.

Last night, Elaine Farquharson-Black at Burness Paull, representing the EDC, said her client was taking its case to the Court of Session to instigate a full public hearing.

She said that legislation drawn up by Scottish Ministers ruled that any transport contributions made by developers and landowners must relate directly to the particular development.

“Instead, the proposed guidance is directing contributions to fund projects in other areas,” she said.

“Furthermore, the SDPA did not, as instructed by the Scottish Government, correctly consult and listen to the views of interested parties before proposing the Supplementary Guidance.”

Aberdeenshire Council’s Head of Planning and Building Standards, Robert Gray, said the local authority was aware of the submission and was awaiting the outcome of the challenge.

The authority has said the bill is based on the impact more than 4,000 new homes will have on traffic and roads across the north-east.

“The Strategic Transport Fund was developed as a way to manage the cumulative transport impact of the significant new developments planned over the next 20 years,” he said.

“The council is always proportionate in the contribution it asks for and this approach has been accepted by developers for the last three years.”