e.g. in Applecross on the mainland nearby, they're just finishing installation of a community-funded hydro system. It'll produce 90kW, with an income of about 100k GBP a year going towards the community and small shareholders: http://www.applecrosshydro.scot/
90kW is a toy, though. It's not going to provide energy independence for anyone. Rather more significant is the estate across the loch from my father's village, which is installing 3.5MW of private hydroelectricity: http://www.hydroworld.com/articles/2016/06/gilkes-begins-con...
But a 3.5MW plant, if we assume it runs at 100% capacity for a year, is going to produce 0.02TWh of energy, which is about 2 ktoe (kilotons of oil equivalent). In 2015 the UK used 140000 ktoe, of which only about 20000 ktoe are electricity. (https://www.gov.uk/government/uploads/system/uploads/attachm...)
These systems are important locally, but they're not going to run cities.
Edit: misread one of the graphs, corrected the number above. (The stupid graphs all have lines in slightly different shades of bodily function. Maybe they were trying to make a point.)