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Even with Aircon and EFI (this car does not have EFI), the car does NOT need 130Amps.
THE MAIN AIM OF THIS REPORT IS TO SHARE ABOUT THE EASE OF IMPLEMENTING THIS UPGRADE AND POSSIBLY, HOW CHEAPLY IT CAN BE DONE
I had this alternator lying around in my garage and decided it had the best form factor for the conversion. The fact that is is a 130A alternator is actually rather academic. It comes off a Land Rover Discovery 2 V8, Land Rover Part no ERR6413 (Bosch)... but now its mounted to the Series 3.
To mount this alternator:
1) Have the Poly-V pulley replaced with the smallest double V pulley they can fit. The belts only run about 2mm from each other and the pulley must match this criteria as well.
2) OPTIONAL: modify the mounting bracket as follows:
Original:

Enlarge the cutout in the bracket as below. This is only to give the alternator a larger range of movement to make mounting of the fan belts easier. Again, this MAY not be necessary. IF the car's bonnet was off, I would have tried without doing this mod.
Modified:

This modification is OPTIONAL. I believe the implementation can be done without enlarging this cutout.
3) Mount the bottom end of the alternator to the bracket using a threaded rod and spacers. I used a 10mm spacer on the engine side between the bracket and the alternator and a 77mm spacer on the radiator side of the alternator.
4) I made a new tensioning rod using an original tensioning rod (3/8" UNF) used on an XJS alternator (only because I wanted to preserve the original that came with the Butec) and a long M10 bolt which I welded to the side of the UNF rod. This made the 10mm rod line up perfectly with the hole in the tensioning block. Sometimes we need a bit of luck...
5) Wiring: Simply connect the Brown/Red wire to the D+ terminal of the alternator. Leave the Brown/Green wire disconnected at the alternator end. No other wiring mods are required. Also connect the thick wire to the large B+ terminal. Its not even necessary to disconnect the plug from the old alternator regulator.
EDIT: 6) There was no need to change the V-belts to different size.
Comments:
1) Now I'm going to set the car on fire right? The alternator is going to push 130A into wires not designed for 130A right? This will cause them to heat up and catch fire right? I disagree, but I don't have the energy/time to explain myself in this post.
2) If there IS one item in my setup that might protest, it is the large spade lug that connects the thick wire to the alternator B+ terminal. I do not believe this spade lug is up to the task of supporting the current that will be drawn when max amps are drawn (all lights, fans and AC on). I might add another, even thicker wire, terminated with ring lugs and run this directly from the alternator output to the battery +.
3) This alternator outputs 14.2V as measured on the battery.
4) Even though I used the smallest pulley the 10mm V-belts can handle, alternator speed is still a bit slow when the engine idles at low RPM (in Drive eg), due to the small crank pulley. Ideally, a larger crank pulley would have been nice.
5) I believe the 100A alternator (Magneti Marelli) from a Land Rover Discovery 1 V8 would work just as nice.