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HEP developing cogeneration on forest biomass

Published

March 2, 2016

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Published:

March 2, 2016

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Future combined heat and power plants in Sisak and Osijek, valued at over EUR 35 million in total, will be the first in state-controlled HEP Group’s portfolio with statuses of privileged producers. Portal Poslovni.hr reported the company launched construction of the two forest biomass–fuelled facilities in January. HEP secured supply by signing a long-term arrangement for wood chips. The cogeneration plants are planned to be launched next year.

Generated electricity will be delivered to the grid in accordance with the statuses of privileged producers. The facilities will enable steady supply of steam for Osijek’s industrial producers and heat for district heating operators in both towns, according to the article in Poslovni, which adds efficiency will be greater than 65%.

The control of wood chips quality will be conducted in HEP’s central laboratory, certified for testing solid biofuel. HEP said the projects are aimed at diversifying fuel sources in the group, to introduce energy technology and to add jobs in the construction and installation of the facilities as well as in commodity supply.

National electricity utility HEP Group signed a deal in April last year for the construction of two wood-fuelled combined heat and power (CHP) plants in Sisak and Osijek, hiring companies HoSt and Đuro Đaković. The contract for the Sisak facility is worth EUR 18.95 million and the project of BE-TO Osijek 2 has a value EUR 16.25 million.

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