Alberta's forestry waste becomes
a bright light for clean energy
Oct 15, 2009 - M2 Presswire
Scrap treetops and branches from forestry
operations in Alberta will soon help power consumers'
daily lives with clean energy. The Government of Alberta
is providing $25 million to develop a first-of-its-kind
waste-to-energy production facility in the Town of
'The Drayton Valley Energy Campus is
an excellent example of Alberta's investment in a
sustainable future,' said Alberta Environment Minister
Rob Renner. 'It's a win-win-win for Albertans. We're
producing electricity, turning forestry waste into
valuable commodities, and reducing Alberta's greenhouse
The Otoka Energy Corporation is receiving a $20 million
grant from Alberta's share of the Canada ecoTrust
for Clean Air and Climate Change. The project also
received $5 million in July 2009 through Alberta's
Biorefining Commercialization and Market Development
Program, a program administered by Alberta Energy.
'The Town of Drayton Valley is delighted to have Otoka
Energy Corporation as part of our community,' said
Drayton Valley Mayor Moe Hamdon. 'We have a shared
interest in finding clean, renewable and rewarding
energy solutions and this project complements our
bio-mile development, an ongoing initiative to create
industrial development without waste.'
Otoka's Drayton Valley Energy Campus will convert
380,000 tonnes of wood waste into electricity each
year. By using a renewable source to produce energy,
the project will reduce Alberta's greenhouse gases
by about 400,000 tonnes each year.
'We are thrilled to be recognized by the province
of Alberta as part of the climate change solution,'
said Otoka President and Chief Executive Officer Michael
Muston. 'The Drayton Valley Energy Campus is a project
designed to showcase technology that can drive a renewable
energy economy and support Alberta's vision to be
a leader in sustainable development.'
The Canadian government established the Canada ecoTrust
for Clean Air and Climate Change in 2007 by distributing
$1.5 billion among all the provinces and territories
to assist with clean air and climate change initiatives.
Alberta's share of the ecoTrust is $155.9 million.
The remaining funds will be distributed by the Government
of Alberta to support projects with a strong potential
to reduce Alberta's greenhouse gas emissions or improve
Alberta Energy's Biorefining Commercialization and
Market Development Program aims to encourage the growth
of a sustainable bio-energy industry.
For more information on Alberta's Climate Change Strategy,
How did the province choose this project for ecoTrust
The project was chosen by a provincial cross-ministry
team composed of Alberta Environment, Energy, and
Advanced Education and Technology. Project proposals
were submitted through an expression of interest process.
Proposals were evaluated on their potential to reduce
emissions in five key areas: clean carbon; carbon
capture and storage; renewable energy; clean air;
and energy efficiency.
The Drayton Valley Energy Campus
The project will convert by-products from forestry
operations, such as treetops and branches, into consumer
electricity. An estimated 380,000 tonnes of wood waste
will be converted to electricity each year once the
project is fully operational. The renewable energy
project is expected to reduce Alberta's greenhouse
gases by more than 400,000 tonnes of carbon dioxide
each year.This is the equivalent of removing approximately
80,000 cars from Alberta's roads each year.
Otoka has plans to develop its Drayton Valley operations
in three phases. Phase one includes the construction
and operation of the Drayton Valley Energy Campus.
The cost of this development is estimated at $100
million. Alberta's $25 million in funds will support
The next two phases are estimated to
cost an additional $140 million and will add a methanogenic
reactor to produce natural gas and an upgrader to
Are there other renewable energy projects Alberta
is supporting with ecoTrust funding?
On October 1, 2009, the Government of Alberta announced
it will provide $7.45 million in ecoTrust funds to
support a renewable energy project that will transfer
residual energy from a City of Edmonton biofuels facility
to heat a neighborhood in Strathcona County. The project
will reduce greenhouse gas emissions by about 7,000
tonnes per year when operational in 2011.
Additional ecoTrust projects in Alberta will be announced
later this fall.
CONTACT: Ogho Ikhalo, Communications, Alberta Environment,
Government of Alberta Tel: +1 780 427 6267 Tel: +1
310 0000 Nathan Smith, Vice President of Corporate
Development, Otoka Energy Corporation, Government
of Alberta Tel: +1 952 400 0397 Manny Deol, Manager,
Town of Drayton Valley, Government of Alberta Tel:
+1 780 514 2202
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