The buyer of failed biomass gasification venture Arbre Energy has been revealed to be Bio-Development International, headquartered in Bedford, New Hampshire USA. Without naming the buyer, administrator Pricewaterhouse Coopers has confirmed that contracts had been exchanged.
BDI has set up a company called DAS Green Energy UK to manage the site. Their precise intentions remain unclear, but they do have existing gasification projects in Italy and India.
The future of the £40 million prototype wood-fuelled plant at Eggborough, in Yorkshire, has been uncertain since last August when it was placed in liquidation by Bristol-based Energy Power Resources (EPRL) with the loss of 40 jobs. The closure came after Yorkshire Water owner Kelda withdrew its financial backing, an option it retained for implementation if it judged the project technically or economically non-viable. The EU, the UK Department of Trade and Industry and regional development agency Yorkshire Forward have all weighed in with the promise of financial assistance to save the site from permanent closure.
The 50 local farmers who grow the wood burned in the plant, organised as The Renewable Energy Growers, fear that Non Fossil Fuel Obligation (NFFO) contracts, which gave EPRI a premium electricity price provided the plant was fuelled by willow, are not included in the deal, and that existing contracts are now invalid. Vice-chairman Gareth Gaunt said: "Our fear is the contracts will not be re-negotiated and an alternative fuel will be used". Gaunt says members are owed in excess of £90 000, but have received no information on any forthcoming payment.
Arbre Energy was originally set up by Kelda in 1998 before being bought by EPRL last year in an acquisition of all Kelda's renewable generation. gasification technology developer TPS holds a 10 per cent stake in the plant.
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