Södra and Statkraft launch fuel company
Södra and Statkraft have signed a cooperation agreement to start a jointly-owned company for the future production of biofuel at the former Tofte pulp mill in Norway.
According to Södra, the company's first task is to find a cost-effective technology for profitable production of second generation biofuels based on forestry raw materials. A future commitment depends on whether the authorities facilitate the increased use of biofuels through tax changes and other attractive incentives.
– Statkraft views forest-based biofuel as a potential new growth area in renewable energy. I think that the collaboration with Södra constitutes a solid basis for developing a commercially-viable and profitable project, said Christian Rynning-Tønnesen, CEO of Statkraft.