Sweden’s Bomhus Energy commissions CHP plant
September 13, 2012
By Argus Media
September 13, 2012, Stockholm, SW — Sweden's Bomhus Energy is commissioning a 92MW combined heat and power (CHP) in Gavle, Sweden, which will supply energy to an adjacent mill — owned by packaging manufacturer Korsnas — when it comes on line in February 2013.
Bomhus Energy is a 50:50 joint venture between Gavle Energi and Korsnas. The plant, which will also produce 150MW of heat, cost 1.8bn kronor ($273.5mn).
“All the electricity produced by the plant will be supplied to the Korsnas mill,” Bomhus chief executive Conny Malmquist said. “Around 80pc of the industrial heat and steam will be supplied to the mill, 10pc to a wood flooring manufacturer in the area and 10pc to the district heating network of the municipality run by Gavle Energi.”
The plant will consume a mixture of feedstock including bark, sawdust and recycled wood from the Korsnas mill. By replacing fossil fuel use at the mill, it will reduce carbon emissions by 60,000 t/yr.
“We are already producing small amounts of power and heat while the plant is being commissioned and supplying to the Korsnas mill and earning revenue,” Bomhus production manager Henrik Rystedt said. “We will have reliability tests in December and performance tests in January 2013 before we totally take over the plant from contractors.”
Korsnas is a wholly owned subsidiary of Stockholm-based investment firm Kinnevik, which also owns a 75pc stake in Latvia-based wood pellet producer LatGran.
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