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Canfor 's Bio Energy Plan Approved By B.C. Hydro

By 250 News

Monday, December 08, 2008 04:56 PM

Prince George, B.C.- The Canfor Pulp Limited Partnership’s proposal for a bio energy burning plant at the P.G. pulp mill  has been given the green light by B.C. Hydro. The project is one of four in phase one of BC Hydro’s Bioenergy call for power. It was one of four proposals  presented by  Canfor.
 
"These projects are a tremendous opportunity to create new jobs and diversify the forest economy for B.C. communities through better utilization of the wood waste resource," said Pat Bell, Minister of Forests and Range.
These bioenergy facilities will use forest-based biomass, including sawmill residue, logging debris, trees killed by mountain pine beetle, and other residual wood, to generate electricity. The four projects will generate enough to power more than 52,000 homes.
 
Canfor wasn’t the only Prince George operation to receive approval, PG Interior Waste to Energy Ltd.'s proposal  was also approved.   In  addition Domtar Pulp and Paper Products' Kamloops Green Energy Project in Kamloops, and Zellstoff Celgar Ltd. Partnership’s Celgar Green Energy Project in Castlegar have been .
"BC Hydro is pleased that industries are taking the initiative to provide an innovative source of made-in-B.C. electricity, utilizing a carbon-neutral fuel," said Bev Van Ruyven, BC Hydro Executive Vice President, Customer Care and Conservation.
 
Once signed by the selected proponents and BC Hydro, the electricity purchase agreements will be submitted to the British Columbia Utilities Commission.
It isn’t known how much the new energy will cost although it is expected to be more expensive. During the last financial conference call, Canfor officials said they were trying to work with B.C. Hydro to try and make the project financially viable.
 
As for the value of the Canfor project, the latest B.C. major projects inventory listed it as being worth about $110 million dollars and would produce somewhere between 25 MW and 100 MW of power.  Although we have placed a call to get more details on the project,  Canfor has not yet returned that call.

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Comments

I am confused. Isn't the s.t.g. already producing power and putting into the grid?
I think that this project (green power, it was called) was substantially complete by the end of 2006.
Anybody?
metalman.
The way I understood it was Canfor could sell only excess power when the mills were running. But now they can shut down the mills and keep a skeleton crew on lay everyone else off and sell the power to the grid. Yup they will create a few new jobs and eliminate a lot of old ones!
I wonder if there will be any environmental assessments done or will they be getting the go ahead without full impact assessments like the cogen plant was where it made no difference to the airshed. what happened there was that they shut down the beehive burners but undersized the equipment and brought in wood waste from outside the airshed leading to no improvement in the air quality after promising that the elimination of the beehive burners would have a positive impact
Plus the cool thing is all the people who purchase electricity through BCHydro will get to pay extra so that Canfor can make a guaranteed profit off of this venture, and a very extreme rate actually. Rates have gone up twice this past year, and in each year ahead the rates will be going up, to ensure these independent power producers can make a large profit.
You could always reduce your energy consumption so we wouldn't need more electricity to meet demand.
Just wait until BC hydro gets privatized, Then watch the rates go up.
Then it will be just like Ontario.
What you're saying is interesting Green. Do you have the facts, I mean what exactly did Canfor promise in terms of reduced emissions at the mill and what exactly have they delivered?
I can understand the need to make a profit but in the past bc hydro also made a profit on the power they bought from independant producers and they didn't have to up the rates. All this smoke and mirror stuff is the work of the Grodo crew looking out for their friends. The big question I have is what happens to all these projects that will burn beedle kill wood when all that wood is gone . What will they burn than. Are they going to switch over to coal and are the taxpayer going to have to cover the costs of making sure that air quality is within standards. If the producers can't make a profit at todays rates than they shouldn't go forward
They can't exactly just start throwing coal into a bio-energy burning system. They can burn all of the stuff that doesn't make lumber, pulp, etc. So that includes all of the material that was historically burned in a beehive is used. Also, "waste" material that is left in the field after log processing that is historically burned could be used. If all of the beetle wood is somehow used up (and there's still a lot out there), there'll always be a supply from the logging/milling processes.
Downnotout: You make a good point. If there is no hope for a profit at todays electrical rate then they shouldn't go forward with the building. Swingline makes a good point too. There is plenty of slash left over from todays logging practices to keep a place like this running. However if they shut down all the mills then what?