Wind trumps biomass in vote for Olla plant
250 jobs, $100 million wood sales on hold

By Tom Kelly
Editor and Publisher

A new North Louisiana green energy project to generate an estimated 250 direct jobs, and purchase of up to $10 million annually in woody biomass fuel was on track for construction in LaSalle parish at Olla, but has been derailed by a specification by middle-south energy giant, Entergy, which petitioned for the right to purchase energy from West Texas wind farm producers.

Supporters of the biomass co-generation plant, to be located at Olla, in LaSalle Parish, Louisiana, near the former Urania Lumber Company sawmill, hoped that the Louisiana Public Service Commission would reject the out-of-state power purchase, opening the door for a 50 megawatt woody biomass plant proposed to be built by Rollcast Energy of Charlotte, North Carolina. However, according to a statement by District 5 PSC Commissioner Foster Campbell of Shreveport, the Commission was advised by legal counsel that a ruling to shut out the Texas wind farm electricity purchase would be in violation of the U.S. Constitution's so-called "commerce clause," and was sure to bring on an unwinnable lawsuit against the Commission. The commerce clause has long since been interpreted by the courts to mean that states may not prohibit the movement of products and services across state lines.

Based upon legal advice, the Commission voted 4-1 to allow the purchase of wind farm electric power by Entergy. District 4 Commissioner Clyde Holloway of Forest Hill was the only "no" vote, with Commissioners Campbell and Eric Skrmetta of Metairie, James C. Field of Baton Rouge, and Lambert Boissiere III of New Orleans, voting "yes."

Commissioner Campbell, who represents the northern tier of 24 Louisiana parishes containing much of the Louisiana timber belt production, said he supports the development of the biomass plant. "I don't see why it would not be feasible. The timber industry is hurting, and the trees are a renewable resource."

The venture, if and when it comes to pass, involves a combination of Louisiana forest-based interests, working with Rollcast Energy, Inc.

Collin Franceschi of Rollcast told The Piney Woods Journal that his company submitted a proposal based on the request by Entergy. However, he said, "with the current incentives, wind is more competitive" against biomass on a cost per megawatt generation.

The Olla plant if it becomes operational, would provide up to 250 direct jobs, including 25 plant personnel, and others in services involved in operating a 50 megawatt plant. Up to $10 million would be spent in wood procurement. Franceschi said the power output would serve the equivalent of 30,000 to 40,000 homes.

Rollcast currently has under construction biomass plants in Lamar County, Georgia, Heard County, Georgia, and Newberry County, South Carolina. Rollcast manages a 38 megawatt recycled wood plant in Cadillac, Michigan.

Franceschi said Rollcast remains interested in the Olla, Louisiana plant, if it is able to secure a contract with a major retailer to take the projected 40 megawatts of power to be produced from woody biomass.

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