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Energy project receives funding

Upgrade doubles amount of electricity generation

Catalyst Paper Corporation has received $13.3 million in federal funding for an electrical upgrade at its Powell River division. The project involves the installation of a steam condenser on a generator (G12), as well as new waste-wood handling equipment, a sand recycling system and upgrades to an existing power boiler (PB19).

The project is funded by Pulp and Paper Green Transformation Program credits, earned through production of black liquor at Catalyst’s Crofton pulp operation in 2009.

“One of the great strengths at the Powell River operation is our clean-burning power boiler,” said Bob Lindstrom, Catalyst vice-president, supply chain, energy and information technology. “Emissions and air-quality monitoring demonstrate that. Factor in our marine access to waste-wood supplies and our Powell River mill becomes one of the most logical and low-impact places in Canada to generate green energy from biomass.”

Tla’Amin (Sliammon) First Nation supported the project and has signed a memorandum-of-understanding (MOU) with Catalyst in connection with it. The MOU includes provision for a Tla’Amin-Catalyst development fund, commits Catalyst to informing Tla’Amin about fibre supply opportunities and envisions longer-term collaboration relating to skills development.

“We have a good, on-going working relationship with Catalyst,” said Tla’Amin Chief Councillor Clint Williams. “This MOU focuses on areas where we can gain benefits from stronger collaboration that supports capacity building and employment for band members.”

John Weston MP for West Vancouver-Sunshine Coast-Sea to Sky Country, said the government recognizes the important role wood bioproducts, like renewable energy, play in the transformation and renewal of the forest industry in BC and across Canada. “From years of working closely with the people of Powell River, local business and government, and the Sliammon people, I learned the importance to the community of Catalyst, its major employer. I am therefore delighted for the people of Powell River that our team has been able to help facilitate this funding.”

City of Powell River Councillor Dave Formosa, who is also the president of the Powell River Chamber of Commerce, said that Weston has been a “champion of this industry in Powell River and a tireless supporter of the work of Catalyst. Today’s funding announcement will result in the diversification of our local mill and provide an important economic stimulus for our city.”

The project is considered a green-energy initiative that will produce low-carbon electricity and is one of the cleanest waste wood co-generation projects anywhere in Canada. The electricity will be certified under the federal EcoLogo program.

Waste wood, mostly tree bark, is burned in PB19 to create steam for both paper making and electricity generation. Manufacturing-related steam requirements were reduced when kraft pulp production ended at Powell River in 2001. The new steam condenser will allow PB19 to once again be operated at capacity and G12 electricity generation double from 14 to 18 megawatts (MW) to a range of 32 to 36 MW.

Waste wood or biomass is classified as a carbon-neutral fuel under international carbon accounting protocols and widely accepted standards. The project will help achieve BC’s carbon-reduction and energy self-sufficiency goals. The same amount of fossil fuel-generated electricity would typically create nearly 100,000 tonnes of greenhouse gas emissions each year, equivalent to the operation of 25,000 cars.

The project’s impact on the mill’s environmental performance has been modelled and assessed, as required by the Canadian Environmental Assessment Act. The electricity from this project will displace natural gas generated electricity for a net annual reduction of 96,500 tonnes of carbon emissions.