WORK on a £40m green power station in the region will begin on Friday.
French-owned Dalkia’s proposals for a combined heat and power plant in Chilton, County Durham, were backed by planners last year.
MP David Kidney, a junior energy and climate change minister, will mark the start of construction on Friday.
Once complete, the plant will include a mill for converting waste wood into pellets, which will then be used to produce electricity.
A spokeswoman for the firm said: “Dalkia will deliver the benefits of biomass fuel use for heat and power to energy users in the housing, commercial, industry and public sectors.
“A new company will also establish a major presence in the waste wood recycling industry, enabling companies to dispose of their wood by-products in an environmentally responsible fashion, while ensuring that this carbon-neutral fuel source is used to its full capacity.”
The development will be capable of diverting up to 115,000 tonnes of wood from landfill and producing 50,000 tonnes of wood pellets, hot water and 15 megawatts of electricity – enough to power 15,000 homes.
The plant, on Chilton Industrial Estate, will employ 20 permanent staff and 50 workers during its two-year construction.
Half of the £40m cost of the scheme will be spent in this region.
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