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.

Kanteleen Voima and Puhuri are preparing for their investment phases

Kanteleen Voima Oy and its previously fully owned subsidiary Puhuri Oy are both in the process of entering an investment phase. Kanteleen Voima for the NordFuel -project and Puhuri for several wind power projects.

In order to improve the efficiency of the corporate structure Puhuri Oy’s ownership has been transferred from Kanteleen Voima directly to the ownership of the parent company shareholders, and therefore the consolidated corporation will be dissolved during fall 2019.

Antti Vilkuna, who has been CEO of Kanteleen Voima since 2006, continues as CEO of Puhuri Oy. Andreas Rasmus, Production Director of the Katternö Group, will start as CEO of Kanteleen Voima on December 1, 2019. Vilkuna will start as Vice Chairman of the company’s Board.

“The NordFuel -project has developed well and we are next moving to project planning phase. At the same time Puhuri’s projects are becoming eligible for investment. Clarifying the corporate structure and organisation is good to be done at this point”, states Kanteleen Voima’s outgoing CEO Antti Vilkuna.

“The NordFuel -project is proceeding according to plan. Planning work of the plant is progressing, and test runs are done with our technology partner’s facility in Sweden. Now we are waiting the decision of environmental permit from Regional State Administrative Agency as well as the decision of investment support from Ministry of Economic Affairs and Employment of Finland”, tells Project Director Timo Strengell.

Puhuri Oy is also increasing its resources. Harri Ruopsa has been nominated as the company’s Project Development Manager, previously working as Production Manager at Porkka Oy. Jaakko Tyvi has been nominated as a Construction Manager, previously working as a Construction Consultant at Ramboll. Puhuri is currently building Parha’s wind power project in Pyhäjoki. Several other projects are entering to investment phase also.

“The revolution in the energy sector is clearly visible in these acts. Tackling climate change requires actions from the 28 energy companies that owns the Kanteleen Voima and Puhuri. With this additional resourcing we can better guide Puhuri’s increasing wind power investments and bring Kanteleen Voima’s NordFuel -project into the investment phase. We thank Antti Vilkuna for his contribution as the CEO of Kanteleen Voima. Especially the NordFuel -project has progressed excellently under the leadership of Antti, and his expertise will continue to benefit the company in his work as a Board member. Andreas Rasmus has been on the board of Kanteleen Voima for a long time, he knows the company well and takes the NordFuel -project forward”, says Roger Holm.

“I have been following Kanteleen Voima’s development long time through board work and I am looking forward to receive this new task”, tells Andreas Rasmus.

Additional information:

  • Roger Holm, Chairman of the Board, Kanteleen Voima Oy / Puhuri Oy, tel. +358 40 585 2495
  • Antti Vilkuna, CEO, Puhuri Oy, tel. +358 44 022 0919
  • Andreas Rasmus, CEO, Kanteleen Voima Oy, tel. +358 44 781 5396

Kanteleen Voima Oy is a Finnish electricity producer established in 2006. It is owned by 28 private and municipal small and medium size energy companies. Kanteleen Voima’s power plant in Haapavesi, works currently as operating reserve plant.

The NordFuel refinery would employ a significant number of people locally, generate electricity flexibly and produce 65.000 tonnes of ethanol for transport every year. The refinery would also have the capacity to produce 250 GWh of biogas each year, which would make it the biggest producer of biogas in the Nordic countries.

Puhuri Oy is a Finnish company that develops and invests in wind power projects, builds wind parks and produces electricity for its owners. The total power output of the wind parks managed by Puhuri is 60 MW. Puhuri has wind power development projects in Haapavesi, Kannus, Pyhäjoki, Pyhäjärvi, Raahe, Salla and Sievi. Puhuri’s sister company Vetelin Tuulivoima Oy develops wind power projects in Veteli. Puhuri is owned by 28 Finnish energy companies.

Biorefinery’s and power plant’s environmental permit applications are announced

Kanteleen Voima Oy is applying for an environmental permit for biorefinery which will produce 2G bioethanol and side products biogas, lignin and crude turpentine. The environmental permit application has been announced on 28 February 2019 and the documents of permit application are available from 4 March to 3 April 2019 at the Haapavesi city office. The announcement and the main content of the application or documents are also available in address www.avi.fi/lupa-tietopalvelu.

The energy required for the biorefinery will be provided by a power plant located on the same site, and a separate environmental permit application regarding power plant’s changing operations will be announced simultaneously.

Bioproducts from sustainably managed forests

The biorefinery consists of a bioethanol plant, a biogas plant, a storage facility for liquid fuels and chemicals, a raw material terminal, a possible sludge combustion boiler and a gas boiler, and treatment of process waste water. The biorefinery would produce annually 65 000 tons of bioethanol (calculated as 100 % ethanol) for transport, 250 GWh of biogas and 230 000 tons of lignin. The planned operating time of the biorefinery is approximately 8000 hours per year. As a raw material the biorefinery would use wood-based raw materials, such as sawmill by-products and forestry residues in total 700 000 m3 annually.

The condensing power plant is transformed into an industrial CHP-plant

If biorefinery is built, the power plant will be transformed from a condensing power plant into a power plant connected to the biorefinery, which will generate electricity and supply process steam to the biorefinery. In addition to existing fuels, the power plant uses by-products of the biorefinery: lignin, biogas and crude turpentine. The odour gases generated by the processes are also burned for energy in the boiler of the power plant for energy.

Additional information:

  • Teija Mäyrä, Head of Technology, tel. +358 44 5549 381

The NordFuel refinery would employ a significant number of people locally, generate electricity flexibly and produce 65 000 tonnes of ethanol for transport every year. The refinery would also have the capacity to produce 250 GWh of biogas each year, which would make it the biggest producer of biogas in the Nordic countries.

Timo Strengell to start as a Project Director of NordFuel -project

Kanteleen Voima’s NordFuel -project is proceeding forward as planned. NordFuel project organization will be enforced to meet the upcoming increased resource needs. As of January 1st Timo Strengell will start as a Project Director of NordFuel -project. He has a long experience from bio-based technologies and a strong professional hands-on competence from project preparation, execution and management.

Timo has an educational background of Master of Science and he has a long working history from forest industry for example from UPM.

”NordFuel-project has been developed with existing organization remarkably far. Now we are in the project phase where we need a person to take the project forward with a full day responsibility”, Antti Vilkuna, CEO of Kanteleen Voima, mentions.

”I’m very excited to start in this interesting and meaningful project. There is a huge potential existing in this NordFuel initiative. It is a forerunner project both locally and globally. At the same time, it will help Finland to meet its targets for renewable energy”, says new Project Director Timo Strengell.

“Biorefinery producing fuel ethanol and biogas made from second generation wood based raw material will also meet the coming requirements for renewable energy in EU. With this investment we enable the increased usage of biofuels and also decrease development of the greenhouse gases”, Timo continues.

Additional information:

  • Timo Strengell, Project Director / NordFuel (as of Jan 1st , 2019), Kanteleen Voima Oy, mobile: +358 40 738 4860
  • Antti Vilkuna, CEO, Kanteleen Voima Oy, mobile: +358 44 0220 919

NordFuel-refinery will produce 65.000 tons of bio-ethanol to market and will be flexible power supplier at the same time. NordFuel will be significant employer locally. Refinery is also able to produce biogas 250 GWh/a which makes the refinery the biggest biogas producer in the Scandinavia.