Mainebiz

W W W. M A I N E B I Z . B I Z 15 J U N E 2 6 , 2 0 1 7 F O C U S E N E RGY Wood pellets lost amid recent low energy rates B y L a u r i e S c h r e i b e r Demand was slack for the wood pellet industry this past winter, due to contin- ued low oil prices and an average win- ter, says Maine Pellet Fuels Association Executive Director Bill Bell. The pellet industry took off eight years ago, when pellet boilers and stoves became available and forest product companies in Maine began looking at the fuel as a strong new market. "Maine very quickly became the lead- ing state in the country for producing pellets for domestic use," Bell says. The industry got a boost through the American Recovery and Reinvestment Act of 2009, which awarded $11.4 million to the Maine Forest Service to fund pellet boiler installation projects in municipali- ties, schools, colleges, universities and a hospital. Those projects, says Bell, stimulated further interest among resi- dential customers. Effi ciency Maine sub- sequently instituted an incentive program that initially offered a $5,000 rebate for residential users who were installing pel- let boilers; today, the rebate is $3,000. Wood pellet use in Maine is still a relatively small part of the market. Bell estimates about 1,000 homes have pel- let heat, and about 40 institutions, with the Jackson Laboratory in Bar Harbor as the biggest consumer. Homeowners use eight to 10 tons of pellets for central heating, and three to four tons for pellet stoves, per year. The industry's target is to have 10% of the homeowner market. "The problem is, three winters ago, you couldn't get enough pellets, and you had pellet firms making huge invest- ments in upgrading their equipment in order to meet demand," Bell says. "Then the price of oil dropped signifi cantly." Who owns Maine's largest power plants O n Page 30, Mainebiz lists the largest power plants in Maine, ranked by peak generating capacity. While power plants are often high-profile landmarks — think of the Cousins Island plant whose chimney is visible throughout Casco Bay — we often know very little about who owns the sites. In a number of cases, Maine's largest power plants are owned by large, publicly traded companies and may be part of a large portfolio of sites. S T A R T I N G O N F O L L O W I N G P A G E » S O U R C E : Companies, Mainebiz research Calpine Corp. NYSE: CPN Owns: Westbrook Energy Center G1, Westbrook Energy Center G2 Headquarters: Houston In brief: Calpine is the largest generator of energy from natural and geothermal resources in America. The Geysers, its northern California operation, operates on geothermal power and has 13 plants with a capacity of 725 megawatts. Calpine employs 2,400 in 25 states, as well as Canada and Mexico. Website: www.calpine.com Dynegy Marketing and Trade LLC NYSE: DYN Owns: Maine Independence Station 1, Maine Independence Station 2 (both in Veazie) Headquarters: Houston In brief: Has 50 plants in 12 states, employing 2,853, Dynegy has a generating capacity of 31 million MW and has 963,000 residential customers and 42,000 commer- cial, industrial and municipal customers. Website: www.dynegy.com Bucksport Generation LLC Owns: Bucksport Energy 4 Headquarters: Bucksport In brief: Formerly Verso Bucksport Power, since January 2015 it has been a subsidiary of AIM Development, itself a subsidiary of Montreal-based American Iron and Metal Co. Inc. AIM is redeveloping the former paper mill site. Eastern Maine Redevelopment Corp. is seeking bids for a brownfields plan to demolish everything on the 274-acre site not related to the power-generating plant. Website: N/A NextEra Energy Inc. NYSE: NEE Owns: Yarmouth 4, Yarmouth 3, Yarmouth 1, Yarmouth 2 Headquarters: Juno Beach, Fla. In brief: NextEra has annual revenue of $16.2 billion and has 45,900 megawatts of generating capacity. It has 14,700 employees in 30 states. It also owns NextEra Energy Partners LP (NYSE: NEP). Websites: www.NextEraEnergy.com, www.NextEraEnergyResources.com, www.FPL.com Emera Energy Services NYSE: EMA Owns: Rumford Power Headquarters: Halifax, Nova Scotia In brief: Emera bought the Rumford plant, along with plants in Bridgeport, Conn., and Tiverton, R.I., for $541 million in 2011. Rumford Energy is an affiliate of Emera, as is Emera Maine, a distribution and transmission utility that was formed by an integration of Bangor Hydro and Maine Public Service and serves 154,000 customers in eastern Maine. Emera has $29 billion in assets and is involved in electricity and gas transmission, generation and disbursement, as well as utility energy services. Website: www.emera.com Brookfield Renewable Power NYSE: BEP Owns: Great Lakes Hydro America, Millinocket Headquarters: Toronto In brief: Brookfield Renewable, a subsidiary of Brookfield, owns more than 215 hydroelectric dams worldwide, including 38 in Maine. Brookfields operates in 30 countries, and oversees renewable energy including wind, hydro, pumped storage and biomass. It also oversees real estate, infrastructure and private equity invest- ments, with $250 billion under manage- ment and 70,000 operating employees. Website: www.brookfield.com ReEnergy Holdings LLC Owns: ReEnergy-Stratton Headquarters: Latham, N.Y. In brief: ReEnergy Statton uses biomass to supply power to 46,000 homes, with the balance being sold to utilities, energy service companies and municipal co-ops. The plant opened in 1989 and was bought by ReEnergy in 2011. ReEnergy operates 10 plants in the Northeast, including Maine sites in Stratton, Ashland, Fort Fairfield, Lewiston and Livermore Falls. Website: www.reenergy.com " " " " Colors Pantone 2747 Pantone 1807 IT Solutions Designed for Your Business Finding the right IT partner is one of the most important decisions your company can make. At WGTECH, making information technology work for your business is our core competency. We develop individualized solutions that help you grow your business, improve operations, and boost efficiency. We're Northern New England's resource for advanced technology – we'd like to partner with you. www.WGTECH.com 207.856.5300 Control Costs & Increase Productivity

• Cover