Germany-headed specialty paper and energy company Koehler Holding SE & Co. KG (Koehler Group) has announced that it will invest approximately EUR 60 million to convert a coal-fired combined heat and power (CHP) plant in Oberkirch to operate on biomass. Commissioning of the converted facility is anticipated by the end of 2024.
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In Germany, Koehler Group subsidary Koehler Paper operates five production mills – Oberkirch, Kehl, Greiz, Weisenbach, and Willstätt. At its Oberkirch location, also the headquarters of the privately held group, Koehler operates three paper machines, including the associated auxiliary systems.
By switching from bituminous coal to biomass as the primary fuel for our location here in Oberkirch, we will be cutting more than 150 000 metric tons of CO2 emissions a year, said Kai Furler, CEO of Koehler Group.
The first dedicated heat and power plant for the mill was built in 1943. This was replaced with a new coal-fired combined heat and power (CHP) plant in 1987, and with subsequent capacity upgrades currently supplies the paper mill with 100 GWh of electricity and 330 000 tonnes of steam annually.
In addition, the residual waste heat is used for the open-air public swimming pool in Oberkirch. The fuel used to date has consisted of bituminous coal, along with paper sludge from the mill.
Fast-tracked investment
As a Group, the company says that it has had a number of “extremely successful” projects designed to reduce the energy consumed in its paper production operations.
In 2012, the Group formed the Koehler Renewable Energy GmbH subsidiary to develop renewable energy as a business. As a Group, Koehler was planning to be producing more energy from renewable sources than would be required for its own needs by 2030.
Koehler Renewable Energy invests and manages renewable energy assets, and currently has a portfolio of eight biomass cogeneration plants in Germany and a wind farm in Scotland.
The conversion of the Oberkirch mill’s coal-fired CHP plant to biomass is part of this overall plan and was first discussed in 2018. The German Fuel Emissions Trading Act has prompted the Group to fast-track the implementation of this conversion, three years ahead of the original plan.
Woodchips instead of coal
External planning agencies were consulted when planning the conversion, and a total of 13 different versions and conceptual designs were fleshed out.
Converting the existing CHP plant, which uses circulating fluidized bed (CFB) combustion technology, to operate on locally sourced woodchips, green waste, and paper sludge were found the most cost-effective solution with minimum impact on the surroundings.
The switch represents an investment of just under EUR 60 million with commissioning anticipated at the end of 2024
With the conversion away from fossil fuels, Koehler is proactively playing its part in reducing global warming, ended Kai Furler.