A project to insulate an eco-friendly house in mid Wales could have a major spin-off for cash-strapped Welsh sheep farmers.

A pioneering scheme at the Centre for Alternative Technology in Machynlleth, Powys, focuses on using sheep's wool as insulation.

If the scheme is successful, it could re-launch wool as a new material for the lucrative construction industry market.

Three tonnes of Welsh wool are being used instead of less environmentally-friendly fibre-glass in the construction of the centre's Autonomous Environmental Information Centre, which is due to open later this year.

Managers at Machynlleth hope the idea will create a new market for sheep's wool, against a backdrop of falling animal prices.

Market decline

Wales's sheep farmers have seen Russian markets decline and the price of wool plummet worldwide.

But with backing from the Wool Marketing Board, the insulation project is being watched with interest.

The insulation wool is cleaned of grease and dirt before being treated to align the fibres and injected into wall cavities.

Project managers say the wool lining will provide the same insulation as man-made fibres.

CAT centre manager Cindy Harris said: "We wanted to use sheeps' wool insulation because it is a locally-available, renewable resource."

'Kick start'

A centre spokesman added: "Hopefully this will help kick start the market for farmers' wool.

"This project is all about generating sustainable economies and employment. The situation for farmers in Wales is of great concern."

Dafydd Jones of British Wool Marketing Board said: "We welcome the development of alternative uses for wool.

"The wool market has been in a world recession for three years and any new use for wool has to be good for everybody.

"Builders say they find it much easier to use than other materials."