JOHNSON CITY, Tenn., Aug. 16 /PRNewswire-FirstCall/ -- Energy Systems
Group, LLC (ESG) and the Board of Commissioners of Johnson City, Tennessee
(city) have agreed to develop a landfill gas recovery project that is a major
benefit to the local community. The project will provide a new source of
revenue for the city, help alleviate pressure on community taxes, make
available a local and alternative energy supply for several Johnson City
companies and reduce air emissions for the area over the next two decades.
Under the agreement, ESG will purchase Iris Glen landfill methane gas from
the city for the next 25 years, providing the community a new and long-term
revenue stream. This supplemental revenue will enhance the city's financial,
taxation and budget flexibility. Through this project, methane gas emitted at
Iris Glen landfill will be processed to serve as an alternative fuel for the
natural gas currently used by several local companies. ESG will develop,
implement and manage the infrastructure to deliver the methane to the local VA
medical facility and the Johnson City Medical Center (a 500+ bed primary care
facility).
"The city gains incremental revenue from what was a waste gas and local
business consumers receive a renewable fuel source that is lower in cost than
their current supply," said Jim Adams, president of ESG. "This project is an
ideal fit for Energy Systems Group and our vision to find opportunities that
deliver innovative solutions which improve our client's finances, productivity
and efficiency. Also, the $5 million investment we are making in Johnson
City, coupled with the air emissions this project will offset, follows our
company's commitment to improve the communities in which we live and work."
This landfill gas, a natural byproduct of waste decomposition, is
currently burned off on-site. Now, through an innovative technology
application by ESG, the methane will be processed and compressed at the
landfill and will be shipped to end users as a replacement for the natural gas
currently used to produce electricity, steam and hot water at local
facilities. What makes the Iris Glen project unique is that this will be one
of the first of its type in the United States (currently there are more than
380 landfill gas to energy sites active in the United States) to use a
membrane filtration system to process the landfill methane for industrial use.
The membrane system cost-effectively removes impurities from the landfill gas
and provides a fuel source well suited for industrial applications.
"Johnson City prides itself on being a leading municipality and today we
have proven this once more. Using a waste gas for productive work while
increasing city revenues and reducing local emissions is a super project,"
noted Phil Pindzola, director of public works for Johnson City. "We look
forward to a day very soon when operation of the new processing and
distribution system will begin and all parties can start to benefit from this
innovative partnership."
The project helps reduce fuel costs and the energy price risk for the end
users, along with making them a key participant in using local renewable
resources that helps improve the environment. Using this new process reduces
the carbon dioxide -- greenhouse gas -- emissions by more than 139,000 tons
per year in the local area. This is the equivalent of removing more than
27,000 cars from the roads or planting more than 40,000 acres of trees.
"This is a great win-win project for the people of Johnson City, the
businesses purchasing the landfill gas, and Energy Systems Group," said ESG
Account Executive Russ Nelson. "Our team is excited to take the lead in
bringing this idea to life and processing a waste gas for use as a fuel for
local business and as a source of funds for local government."
"The EPA is extremely pleased to have worked with Johnson City on this
project, and looks forward to its completion," said U.S. EPA Landfill Methane
Outreach Program manager Chris Voell. "Johnson City and its partner ESG are
to be commended for their vision in making this project a reality. The
environmental and economic benefits that will be realized by the local
community and the two medical facilities show the incredible power of landfill
gas as an alternative energy source."
The site development and construction should take 12 months to complete
and includes the installation of filtering equipment, compressors and a three-
and-a-half mile gas pipeline to deliver the clean methane gas to local
business customers. Once completed, the energy delivered to the local economy
is the equivalent of that used in more than 6,000 homes.
ESG is an award-winning energy solutions and performance contracting
company providing innovative and self-funding solutions improving the
efficiency, operation and finances of facility owners. We deliver these
improvements through offices in Evansville, Indianapolis, Chicago, Atlanta,
Johnson City, Raleigh, Nashville, Clearwater, St. Louis, Louisville and
Richmond. To learn more about Energy Systems Group, visit our web site at
http://www.energysystemsgroup.com . ESG is a wholly owned subsidiary of
Vectren Corporation.
Vectren Corporation (NYSE: VVC) is an energy and applied technology
holding company headquartered in Evansville, Indiana. Vectren's energy
delivery subsidiaries provide gas and/or electricity to over one million
customers in adjoining service territories that cover nearly two-thirds of
Indiana and west central Ohio. Vectren's non-regulated subsidiaries and
affiliates currently offer energy-related products and services to customers
throughout the Midwest and Southeast. These include gas marketing and related
services; coal production and sales; and utility infrastructure services. To
learn more about Vectren, visit http://www.vectren.com .
SOURCE Energy Systems Group, LLC
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Related links:
http://www.energysystemsgroup.com
http://www.vectren.com
CONTACT:
Norm Campbell, Director of Marketing of
Energy Systems Group, +1-812-471-5000
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