Submitted to Shelton Blog by Tom DavisExcerpts from:
Duke Energy biomass venture suspends operations
By John Downey
Adage, the joint venture of Duke Energy and Areva, has canceled plans for a biomass plant in Washington state and has suspended plans for any construction in the face of low demand for biomass energy.
Adage spokesman Tom DePonty says a number of factors left the three-year-old joint venture without a market for its product.
There is generally weak demand for power because of the recession, he says. The low prices for natural gas recently have made it the preferred alternative for new power plants.
And he says Duke and Areva had anticipated more movement by states and the federal government to mandate wider use of renewable energy.
The joint venture will continue, he says. But it has essentially ended all operations for the time being. “We don’t anticipate significant investment at this time while the market conditions are so poor,” he says...
The company still has a permit to build a 55-megawatt plant in Hamilton County, Fla. But DePonty says there are no plans to start construction.
“We are in a holding pattern there, but the permit will expire in June,” he says. The company intends to let it lapse.
Last year, Adage abandoned plans to build a plant in Gretna, Fla.
The joint venture has yet to build a biomass plant anywhere. DePonty says it is clear that Adage will not achieve the goal announced when Duke and Areva formed it to build 10 to 12 biomass plants around the country by 2013.
Link to complete article:http://www.bizjournals.com/charlotte/blog/power_city/2011/03/duke-energy-biomass-venture-suspends.html?surround=etf&ana=e_article
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