Charlotte takes a further look at the background to the proposed biomass plant. Ed
You may have been following plans for a Biomass Plant in Stag Lane, Newport, for a while, but if not, here is what has happened, from the beginning.
2009: “Restricted marketing exercise”
In late 2009, the IW Council undertook a “restricted marketing exercise” for the former Stag Lane Tip site to find a renewable energy scheme for the area.
March 2010: Three bidders considered
On the 10th March 2010 three bidders were considered by the Cabinet.
Party A wanted to use the site for “mining of biodegradable and organic matters from the site to generate heat and electricity through a specific pyrolysis process. It would also receive biomass refuse derived fuel from on and off the Island.” This would have created nine megawatts of electricity.
Party B wanted to use the site for “a large dedicated biomass combined heat and power unit through the combustion of biomass fuels from the Island, the UK mainland and Europe. The associated aspect comprises a fuel processing plant on the site which would convert biomass into a biomass fuel for use by the Party B facility and for export to coal-fired power stations across the UK.”
At this date it was stated this facility would create 50 megawatts of electricity.
This was the option chosen by the cabinet to become the “Preferred Bidder”.
The company was originally known as Real (Renewable Energy And Landscape) Ltd, changing its name (on 28th January 2009) to Real Ventures Ltd (Company info).
Party C wanted to use the site to build “a technology centre for research and development for renewable energy.”
Declaration of interest
During this meeting Cllr Bingham, Cllr Brown, Cllr Pugh and Cllr Giles declared an interest in these proposals, stating they knew some of the people involved.
April 2011: 15 month extension granted
On the 12th April 2011 the Cabinet extended the preferred bidder status to Real Ventures for a further 15 months “to enable up to 12 months of ground testing plus subsequent analysis of findings.”
During this meeting Cllr Pugh, again, declared a personal interest in the proposal because he knew some of the parties involved. Cllr Brown was in attendance at this meeting, but did not declare an interest.
Why the reduction in megawatts?
By this meeting the expected electricity output of the biomass plant had been reduced to 49 megawatts.
The difference between 50MW and 49MW might seem small in number, but in terms of legal issues, it’s considerable. A 50MW station is scrutinised by a national body – a 49MW one is considered at the local level.
April 2012: Request another extension and an option to buy
On 28th April 2012, CEO of Real Ventures, Ray Tucker, wrote to the Council asking for a further extension.
They stated that if they were allowed an extension, they would immediately enter into negotiations with the Council to secure a purchase option on the Stag Lane Site. “We suggest the option should be valid for two years and that together we should look to complete negotiations and take the option to signing within a three month period (and prior to the final preparation of the planning application.)”
May 2012: Further 12 month extension granted
On 22nd May 2012 the Cabinet once again extended the preferred bidder status for another 12 months to give Real Ventures “further time complete the ongoing site monitoring” as well as the formal risk assessment and discussions with the Environment Agency to permit waste to be moved around the site.
Declaration of interest
The CP reported that during this meeting both Cllr Pugh and Cllr Brown declared a personal interest in the proposal.
It’s currently unclear if Real Ventures gained their option to buy. We will research and update.
Once again the output of the plant was expected to be 49 megawatts.
The current preferred bidder status runs out at the end of July 2013.
Documents
The council documents related to the Real Ventures proposal are embedded below for your convenience.
Image: Andrew Michaels under CC BY 2.0
