From the MI Oakland Press (May 23rd, 2011)
By JOSEPH SZCZESNY
For Journal Register Newspapers
Novi Energy LLC has lined up financing for a Michigan plant capable of producing methane and organic fertilizer from waste.
Anand Gangadharan, president and CEO of Novi Energy, said the Fremont Community Digester is scheduled to begin commercial operation in 2012.
The Fremont plant owned by Novi Energy is one of the first large-scale anaerobic digesters in the United States, said Gangadharan, who started his company as a consulting firm nine years ago, but plans to build as many as 10 commercial plants to process food waste.
“This project will help the West Michigan regional economy by adding investment, jobs and taxes locally, bringing together industrial and agricultural interests and adding reliable, renewable electricity to Michigan’s electric grid,” Gangadharan said, adding he has licensed the technology from its Danish inventor.
The digester can be the first of many such projects, addressing environmental concerns,” he said.
The $22-million project will process approximately 100,000 tons per year of both organic and agricultural waste into “green” biogas, which will be used to generate about 3 megawatts of renewable electricity.
The power will be sold to Consumers Energy on long-term contract. The plant also will produce dilute liquid fertilizer and compost for purchase by regional agricultural businesses, he said.
In addition, the Fremont digester will reduce organic waste sent to landfills near feedstock suppliers, improve sustainability of area farms and improve the environmental quality of runoff water in the area.
The project has signed feedstock supply contracts with Gerber Products Co. and several other major regional food processors and agricultural operations. Supplying organic waste to the digester can be a key component of an organization’s zero-landfill strategy.
The plant’s majority owner is INDUS Energy LLC, a Bingham Farms-based investment group. North Central Cooperative of Wabash, Ind., is a minority owner and will market the plant’s fertilizer.
Comerica Bank is providing debt financing for the project with the backing of a debt guaranty awarded by the U.S. Department of Agriculture (USDA) under its 9003 Biorefinery Assistance Program.
NOVI Energy contact:
Aditya Gangadharan, 248.735.NOVI (6684) x 127, adganga@novienergy.com