HomeRenewablesBiomassFinancing woes threatens Irish biomass CHP plant

Financing woes threatens Irish biomass CHP plant

The Mayo Renewable Power (MRP) project in western Ireland has run into financial difficulties, with its main contractor suspended due to inability to meet the facility’s construction costs.

The project’s management has released a statement claiming that it has suspended its main contractor due to its inability to source finance for the biomass processing plant at Killala.

The 42 MW woodchip biomass combined heat and power generating station project was approved in June of last year and an investment of EUR180m was projected to be required to complete the plant that has a biomass fuel processing facility at the old Ashi site in Killala.
Mayo Renewable Power
New Jersey-based Wiechert Enterprise, have spent EUR90m so far on the project and now hopes to use the suspension period to review its options to be able to complete it.

Authorities had claimed at the launch that the plant would create 350 jobs and provide power to over 70,000 houses in the region.

Now, with the announcement of the suspension of project, 150 jobs are said to be at risk.

Opposition members have urged the government to secure the required funding and complete the construction even as the company assured that the suspension period would be used to review options to complete the project.

The project was due to be completed in 2017.