Fury over demolition of gas tower

• National grid properties want to demolish the Granton gas tower Photograph: Ian Georgeson

A disused gas holder, a fixture on the capital's waterfront for more than a century, faces being torn down just 12 years after being given protected status.

Council officials are recommending demolition of the structure, part of the former Granton gasworks, gets the go-ahead.

But Historic Scotland wants it to be restored and kept in place as "an important reminder of the 19th century gas industry".

At one time the gasworks were the biggest in Scotland and gas production continued on the site until 1987. The surviving holder dates back to 1898 and was designed by the architect Walter Herring.

National Grid Properties, which has spent ten years redeveloping a 110-acre site claims the gas holder is hampering regeneration of the area.

But Historic Scotland is trying to block attempts by the ForthQuarter developer to knock it down without bringing forward details of what it would be replaced by.

The developer has produced images showing an iconic new building on the site of the gas holder, which it claims would be a mixed-use building possibly housing a five-star hotel, art gallery, concert hall, or heritage museum.

The firm insists it has been unable to find an alternative use for the holder and that it is in such poor repair that it would cost around 5.2 million to restore it. But it has never brought forward a detailed scheme for its re-use.

National Grid claims it is blighting its whole development site and demolition is needed to make the area more attractive to potential developers.

It has told the council: "The gas holder is a structure which dominates and restricts opportunity for economic development. It's a physically and functionally obsolescent structure and a financial liability."

However, in a submission to the council, which will discuss the demolition request on Wednesday, Historic Scotland said: "We consider the Granton gasholder an important reminder of the 19th century gas industry and a landmark in Edinburgh's industrial heritage.

"It is in poor condition, but importantly not beyond repair. We view the loss of the gas holder without firm and detailed proposals for the re-use of the site presumptuous."

John Bury, the council's head of planning, said: "There is a compelling argument to retain the building based on its existing condition and its historic and cultural associations, but it is accepted that should the building be retained there would be unreasonable financial implications for the owners."

A spokeswoman for National Grid, which first suggested knocking down the gas holder three years ago, said: "If this decision goes in our favour we could see the realisation of a vision for a building that is a destination in itself, attracting much-needed investment to revitalise the north Edinburgh waterfront area."