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Big Island is a census-designated place in far northern Bedford County, Virginia . The population as of the 2010 Census was 303. The small community is located by the James River north of Lynchburg ; it is not on an island, but is named for an uninhabited island in the river upstream from it. It is within the bounds of George Washington National Forest . The Bedford Hydropower Project and larger Cushaw Hydroelectric Project dams are located on the James River nearby.