Tyre-burner plans third plant for UK

ELM ENERGY, a US company pioneering tyre-burning power stations in the UK, says it wants to build a third plant despite fierce opposition to its operations in Scotland, writes Russell Hotten.

The company, owned by the US power firm Nipsco, based in Indiana, said it was now in talks with several local authorities and electricity companies about further plants in south-east England.

Nipsco, under the direction of chairman and chief executive Gary Neale, is using Elm as a stepping stone into the increasingly deregulated UK power industry and is exploring the potential of building tyre-burning plants next to the sites of industrial companies to provide their electricity needs.

Elm's first 30-megawatt generating station officially opens in Wolverhampton next month. Electricity from the pounds 50m plant, which will generate enough power for about 25,000 homes, will be sold to Midlands Electricity. The project has qualified for the Government's non-fossil fuel subsidy.

A second station, planned for East Kilbride, has been delayed by local opposition. Thousands of people have signed a petition, despite an environmental report which says the plant would be safe.

(Photograph omitted)