- The project requires an estimated BRL 400 million (USD 76.9m) in investments
- Operations to commence between the end of 2023 and the beginning of 2024
Veolia, French water, waste and energy management group, has started the construction of a biomass-fired power plant that will supply steam to Brazilian thermoplastic resin producer Braskem SA.
The project is located at the Marechal Deodoro industrial hub in Alagoas state and requires an estimated BRL 400 million (USD 76.9m) in investments. The plant will have four industrial boilers that will operate round the clock every week. This is to ensure an uninterrupted supply of steam for Braskem’s PVC factory, the off-taker noted.
Based on the agreement, Veolia will supply steam from the biomass-based plant for a period of 20 years. The facility is scheduled for commencement of operations between the end of 2023 and the beginning of 2024. Additionally, Veolia will also be responsible for the operation and maintenance (O&M). The firm will use biomass from eucalyptus and other types such as industrial waste, and bamboo, among others.
Braskem estimates that the steam supply will allow it to reduce its greenhouse gas emissions by around 150,000 tonnes annually, equivalent to 30% of its emissions in Alagoas, the company noted.