AUSTRIA Pakistans first renewable energy project to use sugarcane-waste biogas created from the production of ethanol recently began supporting the national grid. The plant is powered by eight of GE Energys ecomagination (TM)-certified Jenbacher biogas engines.

The commercial start-up of sugarcane milling company Shakarganj Mills Ltd.s new biogas power plant in Jhang, Pakistan comes as the country is working to overcome its current 3,500-MW energy shortage. The new plant will generate enough power to support more than 50,000 homes in Pakistan.

The new biogas plant also is providing a new reliable, on-site source of power to help the mill and other industrial operations meet production requirements and remain competitive.

The biogas used to fuel the Jenbacher gas engines is extracted from spent wash -- a residual of Shakarganj Mills ethanol production operation that uses sugarcane molasses as a raw material.

As a renewable energy project, the plant is eligible for carbon credits because it enhances energy efficiency at the mill and displaces the national grids energy generated from fossil fuels. By using the biogas instead of fossil fuels for power generation, the plant is expected to produce approximately 20,000 tons of certified emissions reductions (CERs) annually under the Kyoto Protocol.

The expected income from these CERs was instrumental in the customers financial decision making process. The project will be registered with the UNFCCC by Carbon Services Pakistan and First Climate AG.

"The project is Pakistans first sugarcane biogas power plant," said Mohammad Asghar Qureshi, Managing Director and Kashif Raza Kazmi, General Manager (Project) of Shakarganj Mills Ltd.

"The plant is seen as a successful demonstration project for the region. With 225 million liters of ethyl alcohol produced annually in Pakistan, we expect many other distillery companies to install similar plants to support the energy needs of the national grid."