State energy regulators have approved Georgia Power’s plan to acquire approximately 80 megawatts of electricity generated from burning wood chips, despite concerns from opponents who argue the costs exceed the project’s benefits for the forestry industry.
In a vote by the Georgia Public Service Commission on Tuesday, the proposal received a 4-1 approval. The sole dissenting vote came from Commissioner Tricia Pridemore, who expressed worries about the financial implications during a hearing last week.
Of the total power, 70 megawatts will be sourced through a 30-year power purchasing agreement (PPA) with Altamaha Green Energy LLC, which plans to establish a mill in Wayne County for biomass production. The remaining power will come from two 10-year PPAs with International Paper Co., sourcing biomass from existing mills in Port Wentworth and Macon County.
Proponents of the project argue that it will provide a much-needed boost to the forestry sector in rural South Georgia, which is struggling with an oversupply of wood that has led to plummeting prices. The initiative has garnered support from the Georgia Farm Bureau, the Georgia Agribusiness Council, and the Georgia Forestry Association.
However, environmental and consumer advocates contend that burning wood for electricity generates more climate-warming emissions than burning coal. They have also warned that the new Altamaha Green Energy biomass plant will cost Georgia Power ratepayers more than three times its economic value.
“It is unacceptable for commissioners to require Georgia Power customers to subsidise a dirty, costly industry while many are already struggling with rising energy bills,” stated Codi Norred, executive director of Georgia Interfaith Power and Light, a nonprofit environmental organisation. “It’s clear that the commission is not focused on protecting customers.”
Aradhana Chandra, an attorney with the Southern Environmental Law Center, which represented Georgia Interfaith Power and Light, highlighted that biomass is often less reliable than other energy sources. She noted that nearly 90% of Georgia Power’s biomass portfolio was unavailable during the peak of Winter Storm Elliott in December 2022.
