Knockando Woolmill has appointed Octopus Energy as its new energy partner, using Octopus’ innovative Shape Shifter Agile platform to help manage energy use and buy back power generated from the Mill’s soon-to-be-restored hydro generator.

The partnership comes as the iconic Speyside woolmill secures more than £77,000 in funding to reinstate its Victorian overshot waterwheel - once the beating heart of production at the historic mill - transforming a piece of industrial heritage into a working source of renewable energy for the future.

Thanks to the generous support of Highlands and Islands Enterprise, Berry Burn Community Fund and others, the project will now move forward using modern turbine technology to generate renewable energy on site for the first time in more than 75 years.

Expected to generate up to 67kWh of renewable power per day, the restored wheel will dramatically reduce the Mill’s reliance on the national grid, while Octopus’ smart tariff technology will enable Knockando Woolmill to optimise when it uses, stores and exports power. The move represents a compelling example of how heritage businesses can adopt cutting-edge renewable solutions while preserving historic infrastructure.

Lady Irwin, chairperson of Knockando Woolmill Trust, said: “This project represents the perfect meeting point between heritage and innovation. The waterwheel has always been central to the story of Knockando Woolmill and restoring it allows us not only to reconnect with our industrial past, but to safeguard the Mill’s future through renewable energy generation.”

Installed in the 1860s and powered by the nearby Knockando Burn, the waterwheel originally drove production at the Mill until the arrival of electricity in 1949. Its restoration marks a significant milestone in the Trust’s commitment to preserving Scotland’s textile heritage while embracing sustainable innovation.

Working with historic machinery on a Grade A listed site presents inherent energy challenges. However, by harnessing the natural, predictable flow of water from the Burn that has powered the site since at least 1871, Knockando Woolmill will be in a unique position to demonstrate how traditional engineering can provide practical solutions to modern sustainability challenges. The project will also incorporate scalable battery storage, allowing energy generated during higher winter flows to be stored and used during peak production periods.

Emily Scott, merchandising manager at Knockando Woolmill, added: “Restoring the wheel is about more than reducing energy costs. It allows us to reinvest in conserving Scotland’s textile heritage, enhance our visitor experience and continue educating future generations about how historic industry can contribute to a greener future.”