The investment could bring significant long-term ecological benefits to protected species.
Earlier this week, members of the Council's Planning Development Management Committee approved the application by Gordon Investment Corporation Ltd for Culter Burn.
Culter Burn lies within the River Dee Special Area of Conservation and is home to otters, freshwater pearl mussel and Atlantic salmon.
The 0.4 acre site lies north of the bridge at the A93 at the east of Peteculter, close to the Rob Roy statue, and is centred around a historic, derelict five metre high dam, weir, sluice gate, channel and mill lade which were constructed for the former Culter Paper Mill.
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The proposals for the scheme are said to include a hydro-electric Archimides Screw-powered turbine within an Aberdeen granite power house, an 'Alaskan A Denil' fish pass attached to the weir face, an access track, and new intake and outflow channels on Culter Burn.
The fish pass will allow migratory salmonid fish, which are unable to move up the burn catchment beyond the dam, to increase their habitat range and re-establish the natural populations upstream, while the improvement in habitat quality for otters upstream, with increased foraging opportunities, could lead to an improvement in the area's otter population.
With regards to the hydro electric turbine, it will generate 430MWh per annum of renewable electrical energy, saving 233 tonnes of carbon emissions each year. The energy produced will be fed into the national grid.
Committee Convener Councillor Ramsay Milne said: "This is a fantastic opportunity for production of sustainable clean energy and also brings wonderful ecological benefits to the Culter Burn and improved biodiversity for the area."
(JP/IT)
