Plans for a cooperage in Keith that would bring 40 jobs to the town has been refused.
But councillors are keen for the applicant to sit down with officers to find a way forward for the development.
Isla Cooperage put forward a proposal for a site adjacent to Kynoch Park, for a cooperage, offices, staff facilities and infrastructure.
40 new jobs
However officers recommended refusal on grounds the plans did not include adequate road links to other land in the area marked for development.
There were also concerns the applicant did not provide enough information on steps to minimise risks to the environment.
Members of the planning and regulatory services committee took over an hour to come to a decision on the Keith cooperage proposal at a meeting on Tuesday.
Keith and Cullen councillor Theresa Coull said: “I’m very much in favour of this going ahead, and to see if we can come to some sort of compromise.”
Fellow ward member Donald Gatt asked if it were possible to defer the application so issues could be resolved.
However officers told them deferral was not an option. A decision had to be made on the plans in front of members.
John Cowe, councillor for Heldon and Laich said: “I just think it’s very unfortunate that this plan has come forward.
Keith cooperage plans ‘unfortunate’
“Because with further consultation, the issue could have been resolved and we could have had 40 jobs in Keith.”
Jim Grant is head of economic development and growth. He told the meeting consultations had been held with the applicant.
And there was an opportunity to appeal a decision if the plan was refused.
Mr Grant said he would be “quite happy” to sit down with the applicant again and see if more could be done.
Members unanimously agreed with officer recommendations to refuse the Keith cooperage proposal.
However they urged the applicant to get round the table with Moray Council officers to resolve access and environmental issues.
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