The funding boost comes as part of the Scottish government’s initiative to support nine large-scale, low-carbon energy projects across the country via the Local Energy Challenge Fund of £10 million.
Residents living in the Dumbiedykes estate will benefit from the ‘Tower Power’ scheme – which is partnered with Community Energy Scotland and community development agency Comas – and aims to secure a better deal for energy users through negotiating collective deals and maximizing local options for power generation.
Comas chief executive Ruth Campbell said: “Fuel poverty is a major aspect of the experience of poverty in Scotland. This initiative is a practical solution which, coupled with action on food security and welfare benefits, can change a community for the better, financially and environmentally.”
The government’s challenge fund project manager said that community energy “represents tremendous potential to empower people to make the most of their local resources” and hopes that the fund will help tackle “pressing energy issues”.
The government Local Energy Challenge Fund will also support projects including Montrose Local Energy Project, Energise Galashiels Hydro and River Tay Heat Pump District Heating.