Michigan Community Capital and other mission-driven partners supported the construction of a biomass fuel renewable energy project at the Verso Quinnesec Mill, with a New Markets Tax Credits investment. Located in the Upper Peninsula of Michigan, the primary purpose of the project was to increase the renewable electricity generation capabilities of the mill through the installation of a new 28 MW steam turbine generator, upgrading the pre-existing biomass boiler to allow for increased steam output, purchase and installation of biomass material handling equipment, and construction or installation of related improvements, infrastructure, and equipment.rThe mill plans to produce electricity from biomass in support of both State and Federal renewable energy goals. With this project, the mill doubled its average annual production of electricity from biomass to about 50 MW.rrPROJECT BACKGROUND:rVerso Paper Corp. is a pulp and paper company based in Memphis, TN. The company has approximately 3,000 employees and operates four paper mills in the United States: Jay, ME, Bucksport, ME, Sartell, MN, and Quinnesec, MI. This project is anticipated to improve the cost competitiveness of the mill by reducing dependence on purchased electricity and creating a new revenue stream with Renewable Energy Credit sales. Both of these factors will increase the long-term viability of the mill, which is a critical economic driver for the local economy. The mill will also purchase approximately $6M annually in biomass to support the project. This will create new long-term employment in the Forest Products industry in the region. The replacement of fossil fuel-based generation with biomass-based generation will reduce greenhouse gas emissions by approximately 147K metric tons of carbon dioxide equivalents per year.
