Ignis Biomass Limited (Ignis Biomass) is pleased to announce that it is now the owner-operator of the district heating scheme in Wick, Caithness, Scotland. Ignis Biomass will provide low carbon energy to nearly two hundred households at thirty per cent less cost than the nearest alternative, the majority of whom have chosen to upgrade to a new smart meter and payment technology which will help them to more easily control their energy use and costs.
The district heating scheme was due to close down earlier this year, following a decision by the Highland Council. In May, Ludgate Environmental Fund Limited announced a £3.1 million investment in Ignis Biomass for the construction of a biomass plant in Wick. Ignis Biomass has since entered into a heat supply agreement with Inver House Distillers for the Pulteney distillery in Wick, additional customers are anticipated in 2012. These funds and contracts secure the long term viability and longevity of district heating in Wick.
Effective from October, the 3.5 MW biomass plant will replace oil-fired heat production, simultaneously increasing energy output and achieving an estimated 2,000 tonne per year reduction in carbon dioxide emissions from the existing district heating system.
Craig Ibbetson, Director of Ignis Biomass said: ‘We are thrilled to commence the construction of our first biomass project to supply our Wick customers with low cost and low carbon energy, which is in keeping with the original intent of their district heating scheme to help alleviate fuel poverty in this part of Caithness. This project is a sensible use of Scottish biomass resources and is consistent with Scottish Government plans for local renewable energy development.’
Commenting on the announcement, Bill Weil, Chief Investment Officer of Ludgate Investments Limited, the Investment Adviser to LEF said: ‘We are delighted with this investment because it combines tangible benefits for households with the environmental advantages of renewable energy. It is exciting to invest in a growing UK company that has real potential for expansion in the energy generation market using renewable fuels.’