Teesside biomass berth agreed

Oct 30 2009 by Kelley Price, Evening Gazette

PLANS to build a major new £500m biomass power station on Teesside have taken a significant step forward.

A giant berth has been given the go ahead at Teesport to accommodate the world’s largest woodchip vessels for MGT Power’s site.

Construction on the plant is due to start early next year, which will be fed by sustainable forestry.

PD Ports will develop the 260 metre-long berth in readiness for the massive build, after receiving environmental impact assessment consent from the Marine and Fisheries Agency.

MGT Power also announced a twin scheme on the banks of the Tyne earlier this year.

The company has been inundated with more than 1,000 enquiries from contractors and individuals about the Tees Renewable Energy Plant, which will create 600 construction jobs and 150 on-site roles, and up to 400 jobs each year for the local supply chain.

The Teesport plant’s first power customer - Tesco - was secured earlier this month, after MGT Power struck a deal to supply 100% of the green electricity for the supermarket giant’s 1.2m sq ft warehouse. It is hoped the supermarket giant will be the first in a line of industrial neighbours to follow suit. The Tees Valley plant, which will operate round the clock, will produce as much green electricity in one year as a 1,000MW windfarm.

Chris Moore, director at MGT Power, said the consent for the berth at Teesport was another strong and supportive message about the plans to build the plant.

“This maintains our great progress towards a world class facility,” he said. “We have received tremendous interest from third parties wanting to get involved in the construction of the power station. We aim to start work on the site in the first quarter of 2010, subject to finance.”

Jerry Hopkinson, PD Ports’ managing director for bulks, ports and logistics, said: “This is another very significant step forward on the project and we’re pleased to have received consent in a very short timeframe.

“This has been a joint effort between PD Ports and MGT Power, working closely with regulators and we very much look forward to seeing this major environmentally friendly power project begin construction.”

The Tees Renewable plant, which could be operational by the end of 2012, will use short rotation forestry from North and South America and the Baltic states and, in the longer term, the UK. Around 2.4 million tonnes will be needed each year. The large quantities of feedstock that can be transported by sea makes shipping the greenest option compared to road.