First Minister, Rhodri Morgan performed the official opening ceremony for Wales’ first commercial scale biomass plant, in Port Talbot, on 8th September 2009.

The £33 million Western Wood Energy Plant, which is now fully operational, generates enough electricity to power the equivalent of 31,000 homes a year.

Developed by Cardiff-based international renewable energy company, Eco2 Ltd, in partnership with Good Energies and the Port Talbot located Western Log Group,  the project created 200 local construction jobs during its two-year build phase. The Plant now directly employs 20 permanent staff responsible for operating the plant as well as sustaining many jobs in the local timber and engineering businesses through fuel supply and maintenance activities.

The 14 Megawatt plant uses only wood as the fuel, the majority of which is sourced locally from Welsh forests and by products from timber industries. A significant proportion of the 160,000 tonnes used annually is supplied by the Forestry Commission.

Through its renewable energy credentials, the plant developers were able to secure substantial build grants from programmes including the DTI Bio-energy Capital Grant Scheme. The project has also been backed with £9.6m from the European Union’s Objective 1 programme through the Welsh Assembly Government.

The plant is owned by a consortium comprising Good Energies (UK) LLP and the Western Log Group operating as Western Bioenergy Ltd.

First Minister, Rhodri Morgan said, “This is a flagship project for Wales, that has been recognised as one of the best performing biomass sites in the UK. It provides a sustainable benefit to the local economy, not only through the people it employs on-site, but also through its commitment to using wood sourced from Wales to power it. 

“The Assembly Government is actively working on ways to increase use of bio-energy and the sustainable supply of biomass for energy generation. This plant demonstrates just how serious Wales is about addressing the issues associated with climate change through sustainable technology that is truly world beating in terms of its innovation and efficiency.”

The plant’s combustion process will result in no net increase of carbon dioxide as trees draw this greenhouse gas from the atmosphere. The project will also avoid 47,000 tonnes of carbon dioxide emissions otherwise produced by an equivalent fossil fuel power station.

David Williams, CEO of Eco2 Ltd said, “It is fantastic that The Western Wood Energy Project is making a real and tangible contribution towards the Welsh Assembly’s target of a 34% reduction in greenhouse gases by 2020.

“Climate change is a critical issue, and we all have a responsibility to reducing our carbon emissions. Eco2 is committed to developing a range of renewable technologies as part of the energy mix, including wind energy, tidal power and biomass to meet our future energy needs, but there is still a long way to go.

“We are working hard to meet these targets, and are proud to be part of this project, which is at the forefront of renewable energy development in Wales, and provides such a major boost to the local economy.”

The main funding to construct and operate the plant was provided by renewable energy financial investor Good Energies (UK) LLP, with project debt provided by the Bank of Tokyo Mitsubishi UFJ and a consortium of other banks.

Adrian Whittall – Commercial Director of Western Log Group said, “It is exciting to see our initial concept producing major benefits to local energy generation, proving that biomass plants can provide an efficient, clean, and unobtrusive answer to Wales’ future energy needs.”

The power station took honours in the category of Sustainability at the LABC Building Excellence Awards earlier this year.