Company bids for biomass contract
energy

Company bids for biomass contract


Plan aims to restart Millinocket mill

MILLINOCKET, Maine — Brookfield Renewable Power has bid to supply electricity to the state’s utilities from a biomass boiler it hopes to install at its local paper mill, a next step among several needed to restart the mill, a company spokeswoman said Wednesday.

Brookfield submitted the bid for a 20-year contract to the Maine Public Utilities Commission last week and hopes to have negotiations concluded within two months, said Julie Smith-Galvin, the company’s spokeswoman.

A signed contract to supply electricity to Bangor Hydro-Electric Co. and Central Maine Power Co. would not guarantee a mill reopening, nor set a timeline for its restart, but it would make finding a partner to run the biomass operations much easier, Smith-Galvin said.

“It’s a very important step in getting there,” Smith-Galvin said Wednesday. “We have found that we really need this contract to attract one [a partner]. We definitely won’t reopen the mill without the biomass boiler there.”

Evelyn deFrees, public information officer for the Maine Public Utilities Commission, declined to comment on any bid submitted by Brookfield.

“Names and information about any entity bidding long-term contracts are confidential, including confirming whether or not one or another has bid at all,” deFrees said via e-mail on Wednesday.

Millinocket Town Manager Eugene Conlogue said he was unaware that Brookfield had submitted a bid.

“We have not been made aware of any progress recently,” Conlogue said.

Daniel Whyte, a vice president at Brookfield Renewable Power, told town leaders during a 1½-hour meeting in March that Brookfield must secure 15- to 20-year contracts with the PUC for the 40 megawatts generated by the mill and the company’s hydropower dams. He said the company also needs similar contracts with several large landowners, who would supply biomass for the electricity-generating boiler, before an investor will come forward to run the biomass operations and help restart the mill, which makes coated calendar papers.

Landowners have expressed interest in supplying biomass to the mill and Brookfield has been working on its electricity bid package since then, company officials said.

The town’s biggest employer, the mill shut down in September 2008, idling most of its 207 workers, because of its profit-killing use of oil, which the mill burned to create steam needed for papermaking. The mill burned more than 200,000 barrels of oil in 2007.

Under Brookfield’s plan, the new boiler would reuse mill steam and burn biomass — tree bark and other wood waste — to generate steam and electricity for the mill and state utilities. Talks with several landowners have been very fruitful, and Brookfield plans to apply next month to the PUC to secure a contract allowing the mill to sell electricity to the grid, Whyte said.

However, the biomass conversion itself will take 10 to 12 months once a partner is found. Brookfield thought it had one in summer 2008, but that party dropped out when it learned of the engineering work needed to install a biomass boiler at the mill.

Brookfield Asset Management, a Toronto-based parent company of Brookfield Renewable and Katahdin Paper, subcontracted for and finished that work over last winter, but has no interest in installing or running a biomass boiler at the mill. Such work is outside the multibillion-dollar international conglomerate’s “core competencies,” company officials have said.

Town, state and federal officials have promised to do all they can to revitalize the mill.

nsambides@bangordailynews.net

794-8215

Not registered? Click here
E-mail this
Print this
Guidelines for posting on bangordailynews.com

Bangordailynews.com is pleased to offer a forum for readers to react to our stories, discuss them and provide additional information. We are reluctant to delete comments, but do reserve that right for those who abuse our forum. For more on using this site, please see our terms of service.

The primary rule here is pretty simple: Treat others with the same respect you'd want for yourself. What does that mean specifically? Here are some guidelines (see more):

Comments
21 comments on this item

Well, this is actually quite encouraging.

With power demand at peaks all over the country, and an estimated increase of 22,000 MW's of electricity needed over the next 10 years, this is a logical step towards justifying the creation of a biomass co-generation plant in Millinocket.

This will obviously make the venture much more viable and the contract with the PUC will provide a strong backbone for the plan.

A few more years is definitely worth the wait if this comes to fruition.

Power companies are some of the most stable business' run in the U.S. There will always be an increasing demand for electricity.

To be able to start #11 back up along with the creation of a power producing entity is a win win for both sides.

The production of electricity will provide stability, and the usage of biomass as fuel for the boiler will considerably cut down on the operating costs associated with the #11 machine.

I know everyone is down on Brookfield. But let me say that the business they are in is a good one, and we should support and encourage this expansion proposal, I'm sure it will attract the right partner, or else they wouldn't have done all the legwork to submit the paperwork for the PUC contrace.

This is just what Millinocket needs at this point. Solid tax base that will keep the mill workers employed, the woodsmen employed, the truckers employed, and contribute to the need for electricity as well.

Let's hope it all works out.

Now you are talking real jobs. Go Brookfield power!

You lead the way with intelligence and planning.

Oh we are all worried about 207 60 year old people and there jobs! BS!!! what about the 4,000 that already lost there jobs in the 80,s and 90,s all so a couple of hundred kyakers could use the west branch, again BS. Any one remember Big A??? I hope all of the people that voted that down are now unemployed and homeless.

Woodsmen need jobs. That is the group that this will help.All the jobs lost from NAFTA and loss of manufacturing is something else entirely. There are a lot of woodsmen who live near Millinocket that will be happy that Brookfield is doing this.

Have no idea what 207 60 year old people with no jobs means. Sounds like you know about the mill folding . I don't. People getting to retirement and their jobs going overseas / no retirement is the new American way. Our Senators both vote against unions. Vote them in and then suffer.

This brings to the surface the same power struggle that Governor Baxter was fighting one hundred years ago. The battle is rural Maine can not compete with the grid in the use of power, The rural area’s lose every time. This happened with the hydro power. Just as soon as the power could be sold to other entities the paper machines began to be shut down. The regulations, that were put in place one hundred years ago, kept us prosperous. We, as a area, need to demand protections of our economies through lobbying the P.U.C. and the State Legislature. We must insist that the resources of rural Maine benefit the people who live in Rural Maine.

Very well said dogfight!!!!!!

If the people of Maine could see how many logs are going to Canada they would scream!!!! All jobs that should be in Maine!!!!

The article states ( A signed contract to supply electricity to Bangor Hydro- Electric Co. and Central Maine Power Co. would not guarantee a mill reopening, nor set a timeline for it's restart, but it would make finding a partner to run the biomass operations much easier, Smith-Galvin said. The restart of #11 (as much as we would hope) is not in the cards. But with that said the news of a possible biomass plant is good news.

To say that the restart of No. 11 is not in the cards is premature. Biomass boilers make the most economic sense when the steam they create has a use: In this case, as part of the papermaking process or some other industrial use. The No. 11 machine is a valuable commodity and however much the company is doubted, Brookfield has never wavered in saying that it wants to restart the mill.

Nick, Bookmark this article and we can talk about it in 5 years. I think you are a little naive if you don't think this company has wavered about the restart of #11. And I hope I'am wrong on this but we will see!!

wonder why they did get some of the money that Bucksports getting from the goverment with the help of the state to study alturnitive (?) engery . its going to be on the news at 5pm on ch 2 it maybe on at noon .....

atvrider, Kind of makes one wonder???? Looks like they may have wavered.

Nick you really really really got to get better sources bud. 'Cause whoever's hosing you is doing a dang good job! Everything is being cut up and sold for scrap as you sit there and type out these articles. Don't believe me? Go sit there and watch the trucks leaving. Follow them right to the scrap yard. The only place #11 is starting back up is China!

If you would like to email or telephone me, anotherneighbor, please do.

Nick, ole buddy....I'd be real careful of where you hang your credibility on. You're dealing with snakes - and you should know that

Dogfight...the resources of rural ME are not just going to big corporations now. They are going to other countries. Rural Maine is targeted for wind farms. The huge transmission lines needed to take the power from rural ME to Mass go thru town. If this sounds ridiculous. Harvard University is buying 10% of it's power from Stetson II. Stetson II is not online and probably never will be. Harvard is also buying carbon credits. Ilegal to sell them unless a power plant is online . As an example , the new Kibby wind farm built by TransCanada , I think, can't sell RECs because they do not have access to the New England Grid. Stetson doesn't either. But Stetson has a friend in the WH ...or First Wind does...which built Stetson. Larry Summers...he has so much clout First Wind's RECs can be sold even though they are not on the grid. While Kibby, built by another corporation , has to obey the law. Harvard is falling for the scam.

Giggles Nick you know who I am. And if I could find your number here on my computer table now that I've moved you bet I'd be a calling ya! Would have looked for ya at the fire tonight but that plate full of Seafood Alfredo at Gilmore's was just a little more inviting than smoke and exhaust fumes from what seemed like a re-make of Close Encounters of the 3rd kind with all the millions of flashing lights on Broadway!! Besides the only camera I had with me was the cell phone! We definetly need to talk.

anorthernneighbor

you get around pretty good don't you?

looks like you're eating crow with this article, I told some other lady just the other day that she had it all wrong about what they were scrapping out of the mill.

you people amaze me, starting rumours when you don't even know what's going on.

#11 will restart and when it does I'm going to laugh at you.

it would be great if you would take your negative comments elsewhere.

we don't need them in Millinocket.

Yes on I you crack me up. Unfortunatly for you the fat lady has already sung your dream is over. Rise and shine your alarm is going off. Oh and by the way I'm not a state sucking welfare rat. But I'm guessing that you know that already! I'm not eating any crow because I know that poor Nick has been hosed again by the monkeys trained to do just that! And if you read ALL the comments there's a certain papermaker up there ^^^ telling Nick a little kinder than I did that his sources suck as well!

so you're telling me you're disputing the fact that they submitted the paperwork to the PUC?

just to clarify, is that what you're saying??

Nice....................she's a looney.

You must be logged in to post a comment. click here to log in.

Powered by: Creative Circle Advertising Solutions, Inc.