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Last Updated: Wednesday, 22 March 2006, 07:17 GMT
Wood-burning plant given boost
The plant will use woodchip from sawmills and forestry
A green energy company says it is almost ready to start work on a wood-burning plant in Port Talbot.

Eco2 has signed a multimillion-pound finance deal for its Western Wood Energy biomass plant.

The money will also fund other projects for the Cardiff-based company, including a windfarm which is already being built in northern Scotland.

David Williams, managing director, called the deal a "really positive step for us".

He added: "It secures funding for the projects as well as our long-term involvement in them.

"It will also allow Eco2 to continue developing successful projects throughout the UK. We're looking forward to working with our new investment partners."


The company has linked up with the Western Log Group to develop the 13.8MW energy plant at Longlands Lane in Margam.

Planning permission has been granted and it will create 20 jobs when it is built.

The biomass plant will use sawmill and forestry woodchip and provide power for the equivalent of 31,000 homes.

Meanwhile, Scottish Power has signed a 15-year power purchase agreement for the output from the company's Dummuie wind farm at Huntly, Aberdeenshire which is already being built.

The finance has been secured with renewable energy investor Englefield Capital, including the backing of a Japanese bank.

  • The chair of Tower Colliery told Welsh MPs that renewable energy was mostly "bull" and urged them to choose between backing coal or nuclear power.

    Tyrone O' Sullivan was giving evidence to a cross-party committee looking into future energy needs of Wales.

    He told the Welsh Affairs Select Committee that there was plenty of coal still available but not the political will to invest in it.

    The MPs will also hear from anti-nuclear campaigners who want them to stand against any proposals to build a new nuclear power station on Anglesey.

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