Tees Renewable Energy Plant, Teesside, United Kingdom

Tees Renewable Energy Plant

Tees Renewable Energy Plant (Tees REP) is a 299MW biomass-powered, combined heat and power (CHP) plant proposed by MGT Teesside, a wholly owned subsidiary of MGT Power.

MGT Power proposed the project in 2007 and established MGT Teesside in 2008 to oversee the project development. The subsidiary is collaborating with Korea South-East Power (KOSEP), KDB Daewoo Securities and Eco-Frontier to implement the project.

The necessary approvals for the project were secured, and the financial closure for the project was achieved in August 2016. Construction works are expected to start in early 2017 and the new plant is scheduled to come online in 2020.

Project investment is estimated to reach £650m ($1bn), which will be partly financed through funding from the European Commission. Macquarie Capital, Macquarie's Commodities and Financial Markets Group, and Ernst & Young are supporting MGT Power to obtain the required funds.

Project benefits of Tees REP

Construction at a new bio fuel pellet plant at the Balcas timber processing facility outside Enniskillen, Fermanagh, in Northern Ireland was completed in 2005..

Tees REP will diversify the UK's energy resources and enable it to meet the larger target of generating 15% of all energy consumed from renewable sources by 2020. The project will specifically account for approximately 1% of the larger target.

Tees REP will generate approximately 2.4TWh of electricity a year, enough to power 600,000 homes, which is equivalent to annually displacing 1.2Mt of CO2 emissions. The project is also expected to generate approximately 600 construction jobs and ten full-time jobs, contributing approximately £30m ($46m) a year to the local economy.

Tees Renewable Energy Plant location

Owned by PD Teesport, the project site covers an area of 14ha and is located approximately 5km east of Middlesbrough and 6km west of Redcar, on an industrial zoned land adjacent to Teesport, Teesside.

The project will benefit from the existing Teesdock (No 1 Quay), which is directly adjacent to the project site, good access to the National Grid and ancillary electrical infrastructure, highly skilled local workforce and contractors, and the presence of existing rail and road links.

Tees biomass-powered CHP plant make-up

Major infrastructure will include a single 299MW circulating fluidised bed (CFB) boiler, a steam turbine, a generator, air-cooled condensers (ACCs), a selective non-catalytic reduction (SNCR) unit, fabric filters, a CFB exhaust stack, a fuel storage area, and electrical transformers and switchgear buildings.

The CFB exhaust stack will be 95m-high, the CFB boiler house will be 71m-high, and the pellet storage building and ash silos will be approximately 65m-high.

The Teesside renewable power facility will further accommodate ancillary plant and equipment, additional necessary buildings, including administration offices, workshops and stores, and an approximately 50,000t/y wood chip dryer.

Supply of wood pellets and chips for the biomass-fuelled power plant

The plant is expected to use more than 2.4Mt of wood pellets and wood chips a year. The feedstock will be sourced from certified sustainable forestry projects developed by the MGT team and partners in North and South America, as well as the Baltic States, and supplied to the project site by ship.

"The plant is expected to use more than 2.4Mt of wood pellets and wood chips a year."

Power generation at Tees REP

The CFB boiler will burn the feedstock to generate steam at 565°C that will drive the steam turbine, which will rotate the generator to produce electricity. The generated power will be conveyed to the National Grid.

The exhaust steam generated by the steam turbine plant will be condensed by the ACCs and re-used, whereas the flue gases from the CFB boiler will be discharged via the exhaust stack.

Nitrogen dioxide (NO2) emissions will be minimised using the SNCR technology, fabric filters will reduce emission of particulate matter or dust and check the sulphur content of the fuel feed, while sulphur dioxide (SO2) emissions will be reduced through limestone injection into the CFB boiler.

Contractors involved with Teeside plant

Parsons Brinckerhoff (PB) Power prepared and submitted the initial environmental report for the project in July 2008, while the updated environmental statement report was prepared by Ramboll and submitted in June 2015.

Pöyry Energy and PB Power are the engineering consultants for the project.

Samsung C&T Corporation received an engineering, procurement and construction (EPC) contract to construct the biomass power plant. Samsung C&T will build the plant under a joint venture agreement with Tecnicas Reunidas (TR).