$760,000 USDA grant awarded to Skanden Energy and Maine School Administration District No. 58 for conversion of schools from oil to wood pellet heating

SALEM — Skanden Energy LLC and Maine School Administration District No. 58 have been awarded a $760,000 USDA Rural Development High Energy Cost Grant. The grant, together with 10 percent matching funds and additional in-kind contributions by MSAD #58, will be used to install Skanden Energy biomass heating systems in two Maine schools to displace oil, lower heating costs and stimulate the local economy.

MSAD #58 uses approximately 44,000 gallons heating oil annually to heat Strong and Kingfield Elementary Schools. This will be replaced with inexpensive carbon negative wood pellets produced by a local mill. Savings will be 50 percent the first year, and escalate as oil prices rise. It is estimated that in addition to temporary jobs related to installation, four permanent jobs will be created.

The pellets will be burned in a Scandinavian designed system that has been proven for over 20 years in Scandinavia where nearly 50 percent of heating is done with biomass. All aspects of combustion, from oxygen level to fuel feed rate and draft, are regulated to maintain combustion at 2000°. This ensures that all of the energy is utilized and not released up the stack in the form of emissions. Independent lab testing has confirmed efficiency at over 90 percent.

USDA High Energy Cost Grants are aimed at renewable energy projects, energy efficiency and energy conservation projects in rural communities with high energy costs. This is the first biomass thermal project awarded funding. Unfortunately, this project may be the last, as the program's funding is likely to be eliminated.

In obtaining the grant, MSAD #58 and Skanden Energy enjoyed tremendous help and support from Senators Collins and Snowe, Congressman Michaud and Governor Baldacci. These politicians have been important advocates for biomass thermal energy. Despite the fact that Energy Information Administration data indicates that in most of the U.S., more energy is used for heating than for electricity and transportation combined, there is still little U.S. governmental support for alternative thermal energy. Collins, Snow, Michaud and Baldacci are working to change this.

MSAD #58 serves the towns of Avon, Eustis, Kingfield, Phillips and Strong in Franklin County and hopes to convert all of its schools to locally produced carbon negative biomass heat by 2015.