Enviva, one of the leading manufacturers of processed biomass fuel in the form of 100% wood pellets in the U.S. and Europe, has entered into a multi-year contract with E.ON, an investor-owned power and gas company, to supply 240,000 metric tonnes of wood pellet per year.
The deal between the companies commences in early 2013 and Enviva will deliver the renewable wood pellets from its Southeastern US plants.
John Keppler, Enviva’s Chairman and CEO, remarked that demand for clean and renewable biomass resources similar to their sustainably sourced wood pellets is continuously growing. The reason for this increased demand is energy producers make investment in efficient alternatives to conventional fossil fuels. The collaboration of both companies enhances the environmental and economical benefits attained from renewable biomass resources used in the production of energy.
Biomass is one of the cheapest renewable sources available in the market. E.ON’s Manager Biomass Sourcing, Jan Groeneveld noted that collaborating with firms like Enviva, who focuses on increasing biomass supply, will help the company to promote sustainability and to invest in renewable biomass generation. E.ON plays a major role in the growth of the global renewable industry and it is currently active in biomass, photovoltaic, concentrating solar power (CSP) and onshore and offshore wind technology.