Greencoat acquires 41.8 MW biomass plant from Glennmont Partners
MGEP has been operational since May 2019 and is one of the largest biomass plants in the UK, with a processing capacity of c.290 thousand tonnes per annum (ktpa) of waste wood. The plant’s net capacity of 41.8MW is sufficient to offset around 150,000 tonnes of CO2 per year.
The acquisition is Greencoat’s third investment in large-scale bioenergy plants, following the acquisition of Templeborough Biomass Power Plant in 2019 and Sleaford Renewable Energy Plant in 2020.
MGEP combusts low-quality waste wood, which is contracted to be supplied under a long-term, fixed-price supply agreement with Esken, the largest supplier of waste wood feedstock to the UK biomass sector.
The UK supply of low-quality waste wood is forecast to increase in line with economic growth and construction and demolition activity, with MGEP placed to benefit from these trends. The only other viable alternatives for these grades of wood aside from biomass are landfill or export, meaning that MGEP converts what would otherwise be waste into power.