Wilson announces £5 million renewable energy grant
26 Feb 2003
Energy Minister Brian Wilson has announced the award of a £5 million grant to Energy Power Resources Scotland Limited (EPRL) to help with the construction of a wood-fired combined heat and power (CHP) generator for paper manufacturer, Arjo Wiggins.
The money has been allocated for the project from the Department for Trade and Industry's (DTI) Bioenergy Capital Grants Scheme. It is the first application to be granted funding from a new £30 million allocation to promote the use of viable bioenergy projects throughout the UK.
The CHP generator at Arjo Wiggins will replace the existing 40-year-old oil fired generator. In addition to supplying the factory's entire heating requirements it will also contribute up to 80% of their electricity needs with the remaining spare capacity going straight into the national grid.
'We are committed to producing 10% of our energy needs from renewable sources by 2010 and projects such as this are invaluable in taking us towards that goal,' said Mr Wilson.
'Great benefits will be derived from this new generator. By switching from heavy fuel oil to wood, CO2 emissions will be reduced by some 40,000 tonnes. The company estimate that its energy bills could be slashed by as much as £750,000 per year and the plant will provide a major outlet for creating and preserving jobs in the forestry industry.'
