If Public Service of New Hampshire has Iits way, its Schiller Station power plant in Portsmouth may soon be burning wood.
PSNH has asked state regulators for permission to replace one of its coal burning boilers.
The company claims the 70 million dollar project will boost New Hampshire?s struggling low grade wood market.
And the company claims burning wood will significantly cut pollution from Schiller?s smokestack.
The proposal seems to appeal to regulators, loggers, and environmentalists.
But these groups still have concerns.
New Hampshire Public Radio's David Darman reports.
Public Service of New Hampshire says the proposed new wood fired boiler would use advanced technology to reduce air pollution.
Company spokesman Martin Murray says the innovation helps the utility meet the targets set in New Hampshire?s Clean Power Act.
10 27 we are required, by 2006, to have made significant reductions in four major pollutants. Nitrogen oxides, sulfur dioxides, carbon dioxides and mercury. And this is going to help us with all four of these pollutants. 10 45
PSNH also promises the new boiler would help the state?s ailing low grade wood industry.
Murray says the company believes that?s one of the proposal?s best selling points.
07 206 we will burn at that plant, somewhere around 400,000 tons of wood products each year. In order for us to consider this a success, a substantial amount of that wood is going to come from new Hampshire. 07 218
PSNH could expand the market for low grade wood in New Hampshire by more than 30 percent.
Granite State loggers and woodland owners would appreciate such a large addition to the market.
Since 1994, four of the state?s eight wood burning plants have shut down.
And Frasier Paper?s Pulp mill in Berlin does not buy as much low grade wood as it once did.
Jason Stock is the executive Director of the New Hampshire Timberland Association.
He likes PSNH?s proposal for Schiller.
But he says he isn?t satisfied that it would benefit his organization?s members.
05 118 the question that we have is, where will the wood come from, and from what type of source? Will the wood come from nh, and in essence benefit nh land owners and loggers? Or will it come from out of state, from construction demolition type processes, or land conversion harvesting, that type of thing. 05 143
PSNH?s officials say they aren?t ready to make any promises about how much wood would come from the state.
But they say they intend to buy as much NH wood as is economically feasible.
But while they won?t make any commitments on wood purchases, officials are eager to boast about reduced air emissions.
And less air pollution would qualify PSNH for a new energy market.
Company spokesperson, Martin Murray:
09 140 because it is so modern, so energy efficient, and is powered by a renewable energy source, it would produce renewable energy certificates. These pieces of paper could basically be sold in a marketplace that exists today in new England, and right now is participated in by energy suppliers in ma and ct. 09 203
Currently, Massachusetts and Connecticut law require 1 percent of their state?s energy to come from renewable sources, beginning in 2004.
Utilities in each state can meet that requirement by generating renewable power.
Or they can buy certificates from out of state utilities that produce clean, renewable energy.
PSNH intends to sell certificates in each state for 35 to 40 dollars a megawatt.
The new boiler is expected to produce up to 50 megawatts an hour.
So PSNH is hoping to make enough from the sale of the certificates to pay for the new wood boiler.
PSNH?s proposal is now before NH?s Public Utility Commission.
Tom Frantz of the PUC says at first blush, the proposal looks good for loggers and for the environment.
But Frantz says the commission has to get beyond that initial impression and double check details of the plan.
13 414 at this stage, our primary concern is looking at the cost of the project, and the anticipated effect on rates. That is the primary inquiry at the moment.
The problem with the state?s older wood plants is that their power tends to cost more than other sources.
Most of the plants are more than 20 years old.
Their boilers are obsolete and in many cases inefficient.
Charlie Niebling of the Society for the Protection of New Hampshire Forests says PSNH?s Schiller Station plan could provide a good example for these older plants.
11 638 but we?re hoping if psnh can show its possible to make money converting one of their boilers at schiller to burn wood, through a much more efficient combustion technology, that maybe the current owners of these facilities, these other facilities, or future owners, can figure out a way to make money doing it, too. 11 658
PSNH officials hope to have the wood plant at Schiller operating by December of this year.
The PUC has tentatively scheduled hearings about the plant for November.
