CTO Assessment - European Commission

PIETERSAARI
Alholmens Kraft
Biofuel CHP plant
Contact: Stig Nickull • Managing Director • Oy Alholmens Kraft Ab • P.O. Box 250
FIN-68601 • Pietarsaari, Finland • Tel: +358 204 16 115 • Fax: +358 204 68 550
E-mail: stig.nickull@alholmenskraft.com • Website: www.alholmenskraft.com
Alholmens Kraft Ltd. built the worlds largest
biofuelled CHP power plant and one of
the biggest CFB boilers in Pietarsaari on
the Swedish speaking west coast of Finland.
The plant produces steam for the
forest industry and also operates as a utility
producing district heat for the municipality.
The pulp and paper mill is the largest
employer in Pietarsaari and the new
CHP plant sought to use its by-products
as fuel sources.
Main aims and motivations
The most important aims were to produce
electricity at a competitive price, to exploit
the use of process steam in the paper mill
and the town’s district heating, and to utilize
pulp and paper mill and saw mill byproducts
as fuel. The desire to obtain sufficient
fuel resources within economical
transportation distances was also a factor
considered.
Project details
The plant demonstrates a new multifuel
power plant concept. The latest technology
for solid multifuel and low emission
cogeneration was used but in new commercial
size.
Overall Evaluation
The plant employed 1,300 people in the
year of its construction and continues to
employ 50 people for its operation and
maintenance. Added to this figure are
400 people employed within fuel production
and transportation for the plant.
There is high public support for the project
due to this increase in jobs and the large
contribution to domestic energy supply that
the plant provides. There is cheaper district
heat, which has increased the use of it
in the locality, and the new plant has also
provided cheaper electricity.
Main innovative aspects
Innovative procurement scheme:
A wood fuel procurement system is in place,
based on the bundling of forest residues.
The annual aim is to use 300,000 bundles
of forest residues per annum.
The fuels for the pant are all sourced from
the local area. Wood based fuels come from
the paper mill, sawing and forest residues
from the saw mills nearby and the forestry
sector, peat is obtained from the production
sites close to the plant. Only the coal
and oil used mostly as a start-up or support
fuel is imported.
Enabling factors
The project received financial support from
the Finnish Department of Trade and Industry
and the EU’s THERMIE programme.
Difficulties
There were no major obstacles to the
project. The target was fulfilled in the
timeframe anticipated.
Replication Potential
Alholmens Kraft power plant uses a ‘best
practice’ biomass/fossil fuel-cofiring concept
with an extremely diverse fuel selection,
which is suitable for replication almost
anywhere in Europe. The boiler in
Pietarsaari is twice the size of solid
biofuelled boilers on average but there have
been other projects to follow suit on a
smaller scale.
Change in perception of implementing
RES projects (1999 – 2003)
It was felt that it remains as difficult to
undertake a Renewable Energy project now
as in the past. Despite this, it would be
worth doing if the economic conditions
were favourable.
RES Increase
As a result of the new CHP plant there is a
45% rise in RES share on a local level.
There is a CO2 emissions saving of approximately
390,000 tons
Key facts of the project:
Objective Result
The percentage of fuels used
Biomass
1 new CHP 550 MWth. 1 new CHP 550 MWth.
Bark and Wood Residues
45%
Heat production
700GWh
700GWh
Peat
45%
Electricity
1,300GWh
1,300 GWh
Coal or oil
10%
62 CTO - Showcase