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Construction of bioenergy plant
28/01/2009
The construction of Diageo Scotland's £65 million bioenergy plant will help create a greener Scotland, improve our renewables sector and create up to 20 new long-term jobs.
The First Minister officially marked the start of building works on the pioneering renewables project at Diageo Scotland's Cameronbridge Distillery in Fife, which will also support 100 construction jobs over a three year period.
The new facility will generate renewable energy from spent wash - a mixture of wheat, malted barley, yeast and water - produced during distillation to replace 95 per cent of its fossil fuel usage with green energy.
Diageo is building the plant in partnership with energy management company Dalkia.
First Minister Alex Salmond said:
"Diageo's innovative bioenergy facility adds to the momentum building in Scotland in terms of leading the way in clean, green energy.
"The benefits to Scotland's environment are quite staggering with the reduction in annual CO2 emissions estimated to be 56,000 tonnes - the equivalent of taking 44,000 family cars off the road.
"No other non-utility company in the UK is believed to have embarked on a renewable project of this scale. This investment signals Diageo's commitment to Scotland's environment and the Scottish economy with the creation of up to 20 long-term jobs and support for 100 construction jobs over the next three years.
"Today's Scottish GDP figures show the full extent of the challenge we face. Scotland is not immune from global recession but by concentrating on our strengths we can emerge stronger from the downturn. We must continue to attract investment, promote competitiveness and support businesses to help reflate the economy.
"These jobs are in addition to the 100 strong workforce at Cameronbridge which is excellent news, not just for Fife and the surrounding areas, but for all of Scotland. I am delighted to welcome Diageo's latest investment in Scotland and of course its supply of cleaner, greener energy secures a prosperous and sustainable future for the company in Scotland."
Bryan Donaghey, Managing Director, Diageo Scotland, thanked the Diageo team behind the project for their innovation and commitment.
"Three years of work has gone into the research and preparation behind this facility and, with construction now underway, it is incredibly rewarding for the project team here at Cameronbridge to see their careful planning start to become a reality.
"We are immensely proud of this project which will create a showcase bioenergy facility and is, without question, the right way forward in terms of our environmental ambitions," said Mr Donaghey.
The new bioenergy plant is due for completion in summer 2010.
The new facility will provide 98 per cent of the thermal steam and 80 per cent of electrical power used at the distillery.
The facility will generate renewable energy from spent wash - a mixture of wheat, malted barley, yeast and water - produced during distillation. The spent wash is separated into liquid and dry solids. The liquid is converted, via anaerobic digestion, into biogas and the dried solids form a biomass fuel source.
The Scottish Government's Energy Consents Unit is currently processing 30 renewable project applications - 23 wind farms and seven hydro projects, with more applications expected.
The Scottish Government has determined 24 energy applications, including approval for 18 renewable and one non-renewable project since May 2007 - more determinations than over the whole of the previous four years. New applications are being dealt with in line with the Scottish Government's new target to come to a decision within nine months, where there is no public inquiry.
Scottish Government targets are to meet 50 per cent of electricity demand from renewables by 2020, and an interim target of 31 per cent by 2011.
Total installed capacity of renewables in Scotland is over three Gigawatts. Adding in all the potential energy from already consented renewable projects to those already operating brings the total to 5.5 Gigawatts, meaning the Scottish Government is set to surpass the 2011 target.
Between 2006 and 2007, data published in the latest Energy Trends bulletin shows that: Renewable electricity accounted for 20.1 per cent of Scottish gross consumption in 2007, up from 16.9 per cent in 2006
Electricity generated by renewables increased by 18 per cent - electricity from hydro natural flow increased by 11 per cent, electricity from other renewable sources increased by 29 per cent
Electricity generated from nuclear power fell by 13 per cent, mainly due to unplanned outages at nuclear stations
Electricity from fossil fuels fell by 12 per cent, with increases in gas (8 per cent) offset by larger reductions in coal (-21 per cent) and oil (-33 per cent). The changes are linked to the price of gas relative to the price of coal
As a result, Scotland generated 48,217 Gigawatt hours (GWh) of electricity, a reduction of almost eight per cent compared to 2006
Over 15 per cent of all electricity generated in 2007 was exported.