Laidlaw Energy: Berlin, NH
Timeline:
December 15, 2009 – date application submitted
January 15th, 2010 – date application is accepted or denied by the NEW HAMPSHIRE SITE EVALUATION COMMITTEE
September 15th, 2010 – date application is approved or denied.
Fall 2010 – Construction begins (after application approval) The Project construction period is estimated to be 24 to 32 months.
Application of Laidlaw Berlin Biopower, LLC for a Certificate of site and facility for a renewable Energy Facility in Berlin, New Hampshire.
Summary:
• Laidlaw Berlin BioPower, LLC (“LBB”) is proposing to convert and upgrade much of the remaining facility equipment and infrastructure located at the former Fraser Pulp Mill in Berlin, New Hampshire in order to develop a biomass-fueled energy facility.
• LBB will use whole tree wood chips and other low-grade clean wood as fuel, and will be capable of generating up to 70 Megawatts (MW) of electric power.
• The Project’s use of biomass fuel will also help reduce reliance on fossil fuels such as oil and natural gas
• At approximately 70 megawatts in size, the cost of constructing for the Project will be approximately $125 million. (page 99)
Primary Source of Supply:
• An 11 million acre wood basket that is within a 100 mile (3 hour drive) radius of Berlin. According to a fiber study completed by LandVest, Inc. there is ample supply for the Project in excess of current demand
• The Project’s use of this low-grade biomass, harvested in a sustainable manner, will significantly contribute to the health of the surrounding forests. It has been widely acknowledged that
Properly managed and healthy forests are an important tool in fighting global warming through their ability to sequester CO2, a leading greenhouse gas.
Project Components:
• The black liquor recovery boiler currently located at the Site will be converted to a biomass fueled unit. The boiler was manufactured by Babcock & Wilcox (B&W) and originally installed in 1966 and refurbished in 1993
• Development of the overall Facility will also include construction of a new turbine building adjacent to the boiler building, which will house the steam turbine generator
• new cooling tower will be installed near the western edge of the property behind the boiler building
• Two wood fuel off-loading and storage areas will be developed. Each wood handling and storage area will be paved and systems will be installed to properly manage stormwater.
• A rail siding that previously existed on the Site will also be re-constructed to allow for deliveries of wood fuel to the Site
• A new Wood chipping building to produce wood chips from whole logs, will be built on site
• An electric transmission interconnection line will be installed between the site and the existing high voltage transmission line operated by Public Service Company of New Hampshire (PSNH).
• In early December 2009, Laidlaw received the final version of an interconnection feasibility study from the Independent System Operator of the New England (“ISO-NE”) transmission system the entity charged with oversight over the local transmission system. The results indicate that Laidlaw’s project will be able to connect to the transmission system with upgrades estimated to be less than $1 million. The Study takes into account all existing facilities connected to the transmission system in the vicinity of the facility, as well as projects currently under development and ahead of Laidlaw in the ISO-NE queue.
Project Finance:
• At approximately 70 megawatts in size, the cost of constructing for the Project will be approximately $125 million. (page 99)
• $80 million of debt and $30 million of equity
• LBB has entered into a Development Agreement with PJPD Holdings, LLC, whereby PJPD has agreed to provide capital to fund the development of the project until such time as all construction financing is in place.
• The equity capital will be provided by PJPD
• City of Berlin Property tax revenue associated with the biomass facility is anticipated to be in excess of $1 million.
• The Project will sell electricity into the New England power market.
• Terms sheet for Power Purchase agreement with Public Service of New Hampshire (PSNH) (20 year contract to purchase 100% of LLEG's power)
• Berlin Water Works has the adequate water supply and infrastructure to provide Laidlaw Biopower, LLC with up to 1.8 million gallons of water per day
Water Charge $279,736.16
Assessment Charge $505,356.60
Customer Charge $ 2.05
Fire Protection $ 5.00
Quarterly Charge $785,099.81
AI
