24 May 2007
Helius Energy welcomes increased support for biomass in Energy White Paper Biomass-to-power company Helius Energy PLC (Helius Energy) today welcomed the increased support for biomass projects contained in the UK Government's White Paper on Energy published yesterday.
Helius Energy was established to install and operate both larger 65MW and smaller 5MW biomass-fired renewable electricity generation plants, designed to meet the growing need for reliable power and to support the move away from fossil fuels. The Group is positioned to take advantage of renewable energy legislation developed to combat climate change.
The Company recently announced the appointment of a pre-engineering works contract for its flagship 65MW biomass power plant in Stallingborough, North East Lincolnshire. The plant will burn a range of biomass feedstock, including wood residues and residues arising from energy crops. Under the proposed new banding regime detailed in the White Paper, these forms of feedstock would qualify either as dedicated regular biomass, which would be eligible for 1.5 Renewable Obligation Certificates (ROCs) per Megawatt hour (MWh), or as dedicated biomass burning energy crops which would be eligible for 2 ROCs/MWh. This is a significant uplift on the current regime of 1 ROC/MWh.
Each 65MW plant is expected to save around half a million tones of CO2 each year, and the application for planning permission for the Stallingborough site is at an advanced stage.
Helius Energy is also progressing the development of smaller 5MW Greenswitch biomass power stations that will be co-located with producers of suitable biomass feedstock, such as distilleries and food manufacturers. Power generation from residues from non-energy crops would qualify as regular dedicated regular biomass and would be eligible for 1.5 ROCs.
The Company also welcomed the announcement of the intention to create an independent Infrastructure Planning Commission to determine consents for onshore facilities that deliver at least 50MW. The Commission's target of reducing the time taken to decide on planning applications for such facilities to nine months further supports Helius Energy's strategy to develop and operate a range of large biomass to power plants in the UK.
Helius Energy's Managing Director John Seed said: "The Government's commitment to support dedicated biomass in today's White Paper further strengthens the viability of this important renewable energy resource."
