First Grant from UK Biofuels Fund Disbursed

Building on the publication of the UK government’s Energy White Paper, Energy Minister Brian Wilson gave a further boost to Renewable Energy in Scotland announcing a £5 million (US$7.8 million) grant to deliver huge environmental and cost benefits for a Scottish manufacturer.

London, England – March 3, 2003 [SolarAccess.com] Wilson has approved the cash funding to Energy Power Resources Scotland Limited (EPRL) to help with the construction of a wood-fired combined heat and power (CHP) generator for Fort William paper manufacturer, Arjo Wiggins located at Corpach. “This is a great day for Corpach and I am delighted to be in a position to support this new landmark in the history of the Highland timber, pulp and paper industry which is also completely in tune with our drive for cleaner energy,” said Wilson. “We are committed to producing 10 percent of our energy needs from renewable sources by 2010 and projects such as this are invaluable in taking us towards that goal.” 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 (US$ 47 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 percent of their electricity needs with the remaining spare capacity going straight into the national grid. “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 tons; the company estimate that its energy bills could be slashed by as much as £750,000 (US$1.1 million) per year; and, the plant will provide a major outlet for creating and preserving jobs in the forestry industry.”
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