Howe Sound Pulp and Paper to get $36.7 million funding from NRC for energy upgrades

Sep 08, 2010. /Lesprom Network/. Howe Sound Pulp and Paper and BC Hydro have reached an agreement under BC Hydro's Integrated Power Offer that will help to reduce the mill's electricity consumption and enable the mill to sell surplus clean electricity to BC Hydro, company said in a statement received by Lesprom Network. BC Hydro's Integrated Power Offer helped the Howe Sound Pulp and Paper identify renewable power generation and energy conservation opportunities that enabled the mill to qualify for $36.7 million in Pulp and Paper Green Transformation Program funding from Natural Resources Canada (NRC). "With these funds and the support we are receiving from BC Hydro, we will be making continuous improvements to our mill's energy management and energy efficiency that will enable us to become a significant renewable clean power generator," said Mac Palmiere, President and CEO of Howe Sound Pulp and Paper. "The addition of a third product — electricity — transforms our business and enhances our viability for years to come," Palmiere added. According to Howe Sound, the energy-efficiency upgrades will enable the mill to save approximately 65 gigawatt hours of electricity every year. In addition, a refurbished boiler at the mill will enable it to operate its generators at a higher capacity using 100% biomass fuel, resulting in the generation and sale of 400 gigawatt hours per year of clean electricity. BC Hydro will purchase all of the electricity produced as a result of the boiler upgrade - enough power for about 36,000 homes. By enabling the efficient use of biomass fuel, the boiler upgrade will also reduce the mill's natural gas consumption by 6.5 million cubic meters annually and significantly reduce the mill's greenhouse gas emissions by more than 12,000 tonnes per year, the company said. Howe Sound Pulp and Paper operates a kraft pulp and paper mill at Port Mellon, on B.C.’s Sunshine Coast, with an annual production capacity of 400,000 tonnes of bleached kraft tonnes and 230,000 tonnes of mechanical printing papers. BC Hydro is a commercial Crown corporation owned by the Province of British Columbia. BC Hydro is one of North America’s leading providers of clean, renewable energy and the largest electrical utility in British Columbia, serving approximately 95% of the province’s population and 1.8 million customers.