Statera is a UK-based energy company that develops, owns and operates flexible generation, battery storage, pumped storage hydro and green hydrogen projects which will all provide critical grid balancing support in a future renewables-led system.

These assets will help the UK build more renewable energy, more quickly, by providing the flexible capacity needed to balance the future grid during periods of extended shortfalls and excesses in renewable generation, due to the variability of wind and solar output. In turn, this technology will lower carbon emissions and deliver best value for energy users.

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Pumped storage hydro is a proven zero carbon technology providing easily accessible medium - long duration energy storage. Pumped storage hydro balances the electricity grid by storing excess energy and releasing it back when it is required on a daily basis. It is the oldest form of large-scale energy storage and works by using ‘paired’ water bodies to store energy as raised water. At times of peak demand, water in an upper reservoir is released to a lower reservoir and flows through a hydro turbine, generating electricity. When demand is low, excess energy on the grid is used to pump water back to the upper reservoir.

Climate change is driving the need for an urgent reduction in carbon emissions. As a result, the UK Government has committed to a decarbonised electricity network by 2030 and a Net Zero economy by 2050.

Renewable energy generation is low cost and carbon free, but its availability is intermittent and constantly fluctuating with the weather. Matching renewables, in particular the ambitious plans for Scotland's offshore wind generation, to consumer demand is critical to securing the UK’s energy supply in a Net Zero future.

Loch Kemp Storage would be able to help balance the daily fluctuations from renewables by storing the excess energy as raised water. Loch Kemp Storage provides a long duration storage solution generating electricity for up to 15 hours during times of peak demand.

The Scottish Government recognises the importance of technologies like pumped storage hydro in the draft ‘Energy Security and Just Transition Plan’ where it states:

‘As we transition to a net zero energy system, renewables and other zero-carbon technologies, including pumped hydro storage, will need to provide all the services required to ensure a secure energy system’

The UK Government supports the development of projects such as Loch Kemp Storage and published a Consultation Paper on Long Duration Energy Storage (LDES) in January 2024.

In the recent consultation Government states: ‘LDES will be pivotal in delivering a smart and flexible energy system that can integrate high volumes of low carbon power, heat, and transport.’

The consultation goes on to outline the scale of the savings to consumers. Government research shows by deploying ‘up to 20 gigawatts (GW) of long duration electricity storage system savings of up to £24bn could be achieved.’

If the UK is to transition from a fossil fuel electricity system to renewable led system and meet its Net Zero targets LDES is essential.

Loch Kemp Storage would save 100,000s of tonnes of CO2 a year.

The UK electricity grid has a fundamental challenge; too much renewable energy is generated in Scotland for its demand and this surplus electricity needs to be transmitted south where there is greater demand, but far less wind. Building enough network to achieve this comes at a vast cost. However, the requirement for such huge amounts of network can be reduced by operating long duration energy storage schemes such as pumped storage hydro in Scotland.

The Highlands of Scotland are well suited to pumped storage hydro with naturally high ground and abundant water. There are many ‘paired’ water bodies in the Highlands but very few of these locations meet the additional requirements which are critical in making a scheme viable. These other factors include; grid network with capacity, elevation, volume of water particularly the size of the lower reservoir, rock type and access.

These factors mean there are few sites which can support this important Net Zero technology. Loch Kemp has all these advantages. Natural efficiency is gained from using the two existing bodies of water, in this case Loch Ness and Loch Kemp which are close together and offer a sufficient height difference to create the force for water to travel downhill to drive a turbine and the volume of water to generate electricity for up to 15 hours. The natural bowl surrounding Loch Kemp allows for the upper reservoir to be expanded.

The project would look to make use of its location and use the existing Caledonian Canal to bring in larger equipment rather than transporting it by road, reducing the number of traffic movements. While the proximity of the site to Foyers National Grid substation offers access to the electricity network.

Hydroelectric schemes have played a critical role in delivering energy across the Scottish Highlands over the last century, creating legacy within communities through jobs and investment.

The Proposed Development will support over 350 jobs during construction and provide 25 locally based permanent jobs once operational.

The scheme will also offer significant opportunities for the local and wider national supply chain to be directly and indirectly involved during the construction and operational phase. Loch Kemp Storage is expected to deliver £30m into the Highland Economy and £57m into the Scottish economy.

Loch Kemp Storage is committed to investment within the local area and strongly supports the Highland Council Social Values Charter.

Feedback given by SEPA has led us to reposition the largest dam in Loch Kemp to minimise disturbance to peat. Peatlands are critical in helping prevent and mitigate the effects of climate change so the scheme has therefore been designed to minimise any disturbance.

As a result of detailed engagement with SSEN it has been agreed that the electrical cable route will be undergrounded from the powerhouse underneath the Special Area of Conservation (SAC), to avoid disturbance to the SAC and to reduce the visual sensitivity in the area.

In June 2025 members of the South Planning Applications Committee at the Highland Council voted to raise an objection to the proposal for Loch Kemp Storage.

We are disappointed by this decision, particularly following the recommendation by its own planning officer not to object.

Throughout the application process, we have engaged directly with all statutory consultees and resolved the issues they have raised with us.

We continue to work with the Energy Consents Unit and relevant bodies to determine the application.