Large scale UK biomass plant gets go ahead

The £500m Tees Renewable Energy Plant, located at Teesport, and being developed by British company MGT Power Limited has received consent from the British Government under Section 36 of the Electricity Act.

At 295MW capacity, the plant will generate enough electricity to meet the needs of approximately 600,000 homes and will be one of the largest-ever biomass plants to be built in the world, and one of the largest of all renewable energy projects.

The Tees Renewable Energy Plant will enter commercial operation in late 2012.

Chris Moore, Director of MGT Power said: “The Government’s consent is welcome news as we are at an advanced stage with forestry establishment for fuel sourcing, and power plant procurement. We can now mandate our banks, conclude the financing and reach agreement with our preferred technology bidders. We are moving
towards an early construction start with a high degree of confidence.”

The Tees Renewable Energy Plant will help to meet the Government’s environmental and renewable energy targets and add to the country’s growing need to diversify its power generation. It will create 600 jobs during the three year construction period, 150 permanent jobs during the station’s lifetime, and once operating will contribute about £30m per annum into the North East’s economy, supporting a further 300-400 jobs indirectly. It will save 1.2million tonnes of CO2 per year and will account for 5.5% of the UK’s renewable electricity target.

About the plant:

The site is about 6kms east of Middlesbrough and 5kms west of Redcar. It is situated on land adjacent to the main southern dock at Teesport on the south bank of the River Tees. It has a number of advantages: available industrial zone land, suitable dockside acreage in a deep water port, good access to the National Grid and associated electrical infrastructure, excellent highly skilled local industrial workforce and contracting base, and excellent road links.

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