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Region's Largest Renewable Biomass Energy Project Announced

Region's Largest Renewable Biomass Energy Project Announced

Click here  for a PDF version of this press release.

April 24, 2008

Tacoma, WA - Simpson Tacoma Kraft Company, LLC announced today a new project to produce renewable biomass energy at its pulp and paper mill in Tacoma, WA. Simpson will sell the project output to Portland, Ore., based PPM Energy. Simpson is investing approximately $100 million to build the project of which $20 million will be in new jobs for construction of the facility. The project will employ cogeneration technology to produce two forms of energy (electricity and steam) from one source of renewable fuel.

"We are excited about our new venture in renewable energy. We have a long track record of investing in our business and the environment and see this project as a continuation of this commitment to our community," said Ray Tennison, President of Simpson.

The project will generate up to 55 megawatts of renewable biomass energy, with commercial operation scheduled for August 2009. The power output from the energy facility is equivalent to that needed to power 40,000 homes. According to the USA Biomass Power Producers Alliance, the facility will be the largest single cogeneration renewable energy project built in the U.S. in the last decade.

Tacoma Power partnered with Simpson to define the infrastructure and power needs to support the cogeneration facility. The utility, which provides power to Simpson's operations in Tacoma, will provide transmission service to PPM Energy for the renewable power purchased from Simpson.

PPM Energy plans to integrate the output of Simpson's project with its growing portfolio of clean and renewable resources. PPM will offer the energy produced to utility customers throughout the West Coast.

"We are excited about this opportunity to bring Simpson's extensive experience in wood products and biomass fuel together with PPM's preeminent position in wholesale energy markets and Tacoma Power's quality infrastructure to deliver renewable energy at a time when it is needed most," said Peter van Alderwerelt, Senior Vice President at PPM Energy.

About Simpson

Simpson, Headquartered in Tacoma, Washington, is a forest products company in operation since 1890. Simpson operates 5 wood product manufacturing plants, one pulp and paper facility, and two door manufacturing plants in Washington State, along with 2 wood product manufacturing plants in South Carolina and one in Georgia.

About PPM Energy

PPM Energy, headquartered in Portland, Oregon, is one of North America's leading wind power providers with more than 2,000 MW of wind power in operation, plus over 800 MW of clean gas-fired generation and over 50 BCF of gas storage. PPM is part of Iberdrola Renewables, the leading wind energy provider in the world, with more than 7,700 MW of wind power online worldwide and with a pipeline of more than 42,000 MW of wind power. For more information, visit

About Tacoma Power

Tacoma Power provides electric service to approximately 160,000 customers in Tacoma and Pierce County. It owns and operates seven hydroelectric projects, 2,300 miles of electric transmission and distribution lines, and the Click! fiber-optic broadband network.


For Simpson Tacoma Kraft Company LLC: Dave McEntee, 253-779-6405
For PPM Energy: Art Sasse, Director, Communications & Brand, Iberdrola Renewables, 503-796-7740
For PPM Energy: Paul Copleman, Media Relations, Iberdrola Renewables, 207-641-2805
For Tacoma Power: Chris Gleason, 253-502-8222

About Avangrid

About Avangrid: Avangrid, Inc. (NYSE: AGR) aspires to be the leading sustainable energy company in the United States. Headquartered in Orange, CT with approximately $44 billion in assets and operations in 24 U.S. states, Avangrid has two primary lines of business: networks and renewables. Through its networks business, Avangrid owns and operates eight electric and natural gas utilities, serving more than 3.3 million customers in New York and New England. Through its renewables business, Avangrid owns and operates a portfolio of renewable energy generation facilities across the United States. Avangrid employs approximately 8,000 people and has been recognized by JUST Capital in 2021, 2022, 2023 and 2024 as one of the JUST 100 companies – a ranking of America’s best corporate citizens. In 2024, Avangrid ranked first among utilities and 12 overall. The company supports the U.N.’s Sustainable Development Goals and was named among the World’s Most Ethical Companies in 2024 for the sixth consecutive year by the Ethisphere Institute. Avangrid is a member of the group of companies controlled by Iberdrola, S.A. For more information, visit


About Iberdrola: Iberdrola is one of the world's biggest energy companies and a leader in renewables, spearheading the energy transition to a low carbon economy. The group supplies energy to almost 100 million people in dozens of countries. With a focus on renewable energy, smart networks and smart solutions for customers, Iberdrola’s main markets include Europe (Spain, the United Kingdom, Portugal, France, Germany, Italy and Greece), the United States, Brazil, Mexico and Australia. The company is also present in growth markets such as Japan, Taiwan, Ireland, Sweden and Poland, among others.

With a workforce of nearly 40,000 and assets in excess of €141.7 billion, across the world, Iberdrola helps to support 400,000 jobs across its supply chain, with annual procurement of €12.2 billion. A benchmark in the fight against climate change, Iberdrola has invested more than €130 billion over the past two decades to help build a sustainable energy model, based on sound environmental, social and governance (ESG) principles.

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