The European Union has given its approval for MGT Power to convert its coal-fired power plant into a biomass unit using wood pellets.
The pant, to be built in the Tees Valley in North-East England, will generate 299 megawatts of electricity running only on biomass. It is expected to start operations in July 2018. “The Commission concluded in particular that the project would further EU energy and environmental objectives without unduly distorting competition in the Single Market,” the ZEU said in a statement.
In November 2014, the U. K government notified the EU of its plans to support the operation of the combined heat and power plant. The EU has rules in place for approval to be sought for any project that is to receive large government funding.
The government estimates the project to save approximately 32 million tons of CO2 over its 30-year lifetime and supply about 2.1 TWh of electricity. MGT Power is a subsidiary of Drax Group Plc.