Absolutely, I just use frylight to fry off the main ingredients and now cook them in the oven using the method in the red pepper risotto recipe given here. It's maybe not quite as creamy but still tastes great.
Yes you can absolutely make a risotto without butter or oil as its a "wet" dish. In fact I'm making a mushroom risotto for dinner tonight! You can stir in some HEA parmesan or quark at the end for extra creaminess.
I made my first risotto out of the sw mag - mushrooms and red pepper. Fry light used and def no oil it was so fab am going to make a prawn one this week.
I just love risotto! Use frylight instead of oil and add whatever you like with stock made from bovril. Mushroom, chicken veg and seafood risotto is scrummy!