A north-east community group have suffered a major blow after their plans to raise £3million to replace a WW1 memorial hospital collapsed with the withdrawal of Scottish Government funding.
The Friends of Insch had aimed to raise the money after securing £6million funding from the Scottish Government in 2015 for its innovative green energy project.
The venture, which would have seen the Insch Renewable Energy Consortium (IREC) create a local grid for power and donate profits to the hospital fund has now been halted.
Alasdair McCallum, chairman of the Friends charity said: “It is disappointing to see so much voluntary effort by local people, businesses and partner agencies come to nought. We were hit by a perfect storm.
“Last year, the government had a Local Energy Challenge Fund, we made a bid and we were successful in getting just short of £6million worth of funding to get a local heating network for the community.
“But, for one reason or another, the government has pulled the rug from right under us.
“And it was the revenue from these wind turbines which we were going to sell to the local community, and send the profits to the Friends of Insch charity to help fund the build of the new hospital.”
Despite this setback, the Friends will continue to source funding in the hope of saving the hospital.
Mr McCallum said: “We still want to rebuild the memorial hospital. That would have been Plan A, but Plan B is now looking at other options.
“The community is desperately keen to retain the hospital for the local people, but it is running out of time on its usable life – it will soon be 100 years old.
“It is possible the energy scheme may go ahead at a later date, once the oil price bounces back, and the government’s subsidy regime changes.
“We’re certainly not giving up and we will continue to work and talk with NHS colleagues to find alternatives and see how we might be able to raise the funds by some other route.”
West Garioch councillor Allison Grant said: “I am confident that the group has such strength and such a positive approach to the replacement of the hospital that good things will happen in the future.
“Although this particular funding stream isn’t going to work, I am sure the Friends will continue in their fundraising efforts.
“My message would be that nothing is dead in the water, but it’s just this particular project can’t proceed for various reasons.
“But I am confident this group of people will take this project forward and there will be a replacement hospital at some point.”
