Minister of Economic Affairs: Biogas to be included in distribution obligation

Minister of Economic Affairs Mika Lintilä visited together with Member of Parliament Juha Pylväs in Haapavesi power plant on Monday morning to get acquainted with the NordFuel biorefinery project. During the visit the updated status of the project and current topics were discussed.

Minister Lintilä’s view on including transport biogas in the distribution obligation would be a significant improvement on the current situation, as it would create a wider market for biogas. It would be profitable for distribution companies to expand their gas distribution network, as with biogas they could also fulfill their obligation to mix biofuels in fuels sold in Finland. Currently, the distribution obligation is 20 per cent, which means that one fifth of the share of transport fuels must be bio-based: bioethanol or biodiesel made from renewable resources.

In the beginning of summer NordFuel biorefinery got a positive investment subsidy decision from the Ministry of Employment and the Economy. Investment support is intended for large renewable energy technology demonstration projects. If realized, NordFuel will be a major producer of wood-based bioethanol and biogas, which contributes to the national target of increasing the share of transport biofuels.

More about this topic in Haapavesi newspaper (in Finnish).

Petri Vesanto has been appointed Project Director as of November 1st 2020

Petri Vesanto, M.Sc. in Chemical Engineering, has been appointed Project Director for the design phase of NordFuel’s biorefinery investment. Petri has worked over 35 years in management positions in investment, design and development projects in the energy and chemical industries e.g. in Kemira and Ekono-Pöyry companies. Since 2002 Petri has managed the engineering office he founded, Novox Oy.

Tendering and selection process of biorefinery’s technology supplier is currently ongoing. After this, NordFuel will be able to start the engineering phase of the project together with the selected technology supplier and the main engineering contractor of the biorefinery.

”Petri has very diverse experience in management positions in the planning of large investment projects. This experience perfectly meets the needs of the next phase of the NordFuel project. It is also valuable that Petri has a thorough knowledge of the project and the project organization.” says Andreas Rasmus, CEO.

Additional information:

  • Andreas Rasmus, CEO, NordFuel Oy, +358 44 781 5396
  • Petri Vesanto, Project Director, NordFuel Oy, +358 50 517 6268

NordFuel Oy is s Kanteleen Voima Oy’s 100 % owned subsidiary, which is preparing the construction of a biorefinery producing second-generation (so-called 2G) biofuels for transport in Haapavesi. The biorefinery will produce 65,000 tons of 2G bioethanol and 200 GWh 2G biogas annually. The biorefinery will be locally a significant employer.

Novox Oy operates in NordFuel Oy’s biorefinery project as owner’s engineer. Novox is an engineering consulting company specialized in new and renewable energy and in energy economics, whose areas of expertise also include projects related to the management and development of environmental issues in industrial and production facilities.

Regional State Administrative Agency has granted an environmental permit to Kanteleen Voima Oy’s NordFuel biorefinery

NordFuel Oy is preparing to build a modern biorefinery in Haapavesi that will produce biofuels for transport sector. According to RED II regulations produced biofuels enables remarkable CO2 reduction and it will cover the annual biofuel need for approximately 450 000 passenger vehicles.

Side products such as lignin will be used for the energy production of the facility. All energy produced in Haapavesi for the biorefinery will be 100% renewable. Haapavesi is excellent location for the biorefinery as it is right next to the raw material and it has good logistic connections.

Project owners are numerous private, and municipality owned energy companies who operates all around the Finland.

”Environmental permit is great and long expected decision. Regional State Administrative Agency’s decision to grant a permit shows that it is possible to produce sustainably biofuels with state-of-the-art technologies without negative impact to the environment. NordFuel biorefinery enables more than 300 000 t reduction of CO2 emissions annually which would support significantly Finland’s transport sector CO2 reduction targets by 2030”, says project director Timo Strengell.

”Positive investment subsidy in June and the recent environmental permit to biorefinery gives good bases to proceed to the facility design phase of the project. The project also strengthens the bioeconomy ecosystem in North Ostrobothnia and thereby creates opportunities to new domestic innovations and businesses”, says Andreas Rasmus, CEO.

Additional information:

  • Timo Strengell, Project Director, NordFuel Oy, +358 40 738 48 60
  • Andreas Rasmus, CEO, NordFuel Oy, +358 44 781 53 96

NordFuel Oy is Kanteleen Voima Oy’s 100% owned subsidiary. NordFuel biorefinery will produce 65,000 tons of 2G bioethanol and 250 GWh 2G biogas annually, making the refinery the largest biogas production unit in the Nordic countries. NordFuel Oy will be locally a significant employer.

NordFuel Oy’s Haapavesi biorefinery has a positive investment subsidy decision from the Ministry of Employment and the Economy

NordFuel Oy is preparing to build a biorefinery in Haapavesi that will produce biofuels for transport. In the spring of 2019, investment support for large energy technology demonstration projects was applied for from the Ministry of Employment and the Economy. Investment support is intended for projects that provide future energy solutions to meet both national and EU climate and energy targets for 2030. The aim is also to promote internationally replicable solutions based on new energy technologies.

“A positive support decision is excellent news for us. Society’s support and commitment to the new technology project will also strengthen the confidence of domestic and foreign investors in the project. The biorefinery is a major investment, in the order of EUR 300 million. The biorefinery will also be a major employer both during the project and after the plant is completed. The project also enables the construction of a new kind of bioeconomy ecosystem and thereby creates new know-how and technology export opportunities”, says project director Timo Strengell.

“We welcome the ministry’s decision. This will help to take the project forward as planned. Next, we are waiting for the environmental permit decision, after which the project has the prerequisites to proceed to the plant design phase”, says Andreas Rasmus, CEO.

Additional information:

  • Timo Strengell, Project Director, NordFuel Oy, +358 40 738 48 60
  • Andreas Rasmus, CEO, NordFuel Oy, +358 44 781 53 96

www.tem.fi  

NordFuel Oy‘s biorefinery will produce 65,000 tonnes of 2G bioethanol and 250 GWh 2G biogas annually, making the refinery the largest biogas production unit in the Nordic countries. NordFuel Oy will be a locally significant employer.