SSE to build multifuel power plant in West Yorkshire

SSE, the power company formerly known as Scottish and Southern Energy, has entered into a 50:50 joint venture to develop a new 300m-pound multifuel power plant at its Ferrybridge site in West Yorkshire.

The joint venture - Multifuel Energy Ltd - expects to begin construction of a 68MW facility in late 2012 and complete the project by early 2015.

SSE claims hundreds of jobs will be created during the construction phase, while 50 new full time jobs will be required once the plant is fully operational.

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The joint venture has entered into a long-term fuel procurement contract with 3SE, another joint-venture, this time with waste management outfit Shanks. This contract will provide waste-derived fuels using waste taken from nearby Barnsley, Rotherham and Doncaster councils.

SSE makes clear the new multifuel pant is not intended to replace the existing 1,000MW of coal capacity which is closing in 2015. SSE says it has not yet made a decision on the future of Ferrybridge power station.

SSE's Managing Director of Generation, Paul Smith said: "Multifuel technology is a tried and tested way of generating clean, base-load power. This new multifuel plant will provide additional diversity to SSE's generation portfolio and make a useful contribution to ensuring we have reliable energy supplies for the future."

SSE shares were flat in morning trading.

BS