Council approves funding for bio-energy cost overrun

Total cost of the project, including the cost overrun, was $285,000

The new biomass heater at Dutch Lake Community Centre produces only a whiff of smoke.

The new biomass heater at Dutch Lake Community Centre produces only a whiff of smoke.

During its Dec. 15 meeting, town council approved an extra $16,000 to cover a cost overrun for the new bio-energy plant at Dutch Lake Community Centre.

Reason for the overrun was unanticipated costs for the relocation of a propane tank from the front parking lot to the back of the building, plus an extra work order to install an underground connection from the plant into the building, chief administrative officer Leslie Groulx reported to council.

Groulx noted that during the previous two months, with the bio-energy plant working, the heating bill for the former Dutch Lake School was just $2,200 (including $1,000 for propane and $1,200 for chip delivery).

During the same two months last year the propane bill to heat DLCC was nearly $14,000.

Groulx added that it was important to note that there was a three-week period of -20C weather in November, 2014.

Canfor-Vavenby has been providing chips for the bio-energy plant without charge, so the only cost to the district is chip delivery.

Total cost of the project, including the cost overrun, was $285,000.

 

Funding for the project came from Southern Interior Beetle Action Committee (SIBAC), an interest-free loan from Wells Gray Community Forest, and the federal Gas Tax.