Member Article

Deal secured for £160m Brigg biomass plant

Renewable energy business Eco2 has announced the sale of its 40MW straw-powered biomass plant in Brigg, Lincolnshire to new joint venture BWSC PLC - a collaboration between Burmeister & Wain Scandinavian Contractor A/S (BWSC) and PensionDanmark - in a £160m deal.

The new power plant will have a capacity of 40 MW and will be primarily fuelled using locally sourced straw.

The plant is expected to produce enough energy to cover the total consumption of 70,000 households and will result in an annual CO2 emissions reduction of approximately 300,000 tonnes.

Brigg is the second sustainable, straw-fired plant to be developed and financed by Eco2 in less than two years.

CEO of Eco2, Dr David Williams, said: €“This project is a perfect example of sustainable biomass. By using locally sourced straw as feedstock, we’re using surplus residues to generate energy while contributing to the rural economy by providing long-term, stable supply contracts that catalyse straw production in the region.

“These contracts will bring £10m annually to regional farmers, supporting jobs in agriculture.”

BWSC’s share of the investment in the new power plant is £32m and they will be in charge of building, operating and maintaining the plant, which is expected to be operational from early 2016.

BWSC is a global leader with more than 30 years’ experience in developing, building and operating power plants, while PensionDanmark has specialised in direct investments in energy-related infrastructure.

PensionDanmark’s share of the investment in the new power plant is £128m and will be funded via the Copenhagen Infrastructure I fund, which was established in 2012 and is administered by Copenhagen Infrastructure Partners (CIP).

Eco2 is further collaborating with BWSC on projects in the UK and Romania.

This was posted in Bdaily's Members' News section by Mark Lane .