SCA forms new business unit

Oct 08, 2010. /Lesprom Network/. SCA Forest Products will merge it operations in the field of renewable energy into one new business unit. In addition to encompassing such existing business operations as wind power, forest-based fuel and fuel pellets, the new unit, which will be called SCA Energy, will assume responsibility for the development of new business opportunities in the energy sector, company said in a statement received by Lesprom Network. “Our annual sales of renewable energy already total about SEK 800 million ($119 million),” says Åke Westberg, who has been appointed Manager of SCA Energy. The new business unit will include SCA Norrbränslen, SCA’s forest-based fuel business that delivers logging residues, peat and other unprocessed fuels, SCA BioNorr, a producer of fuel pellets from saw dust and other residual products from sawmills in facilities in Härnösand and Stugun, and SCA’s growing wind-power business. “SCA Energy will also coordinate our development initiatives in the energy area. This may involve new steps in terms of processed biofuels and, ultimately, perhaps also liquid biofuels. We want our development efforts to be closely linked to our business operation to achieve the optimal effect,” says Åke Westberg. SCA Energy will not engage in the supply of energy to SCA’s own production units, such as the procurement of electricity and natural gas. The management of this task will continue as before. SCA Energy will commence business operations at year-end.