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Value of Stormont woody biomass contract leaps to £7.25m

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A Stormont contract to source wood pellets to heat government buildings has increased more than three times, reported The Irish News.
In August last year, Northern Ireland's Department of Finance granted timber firm Balcas a £7.25 million contract.
Beginning last October, the six-year supply contract involves sourcing wood pellets for biomass boilers for use in dozens of government buildings until 2030.
The Department of Finance said the value of the replacement supply contract had increased in response to extra demand from government bodies.
“The contract is demand driven and the increase in the estimated value of the contract reflects additional users and allows sufficient scope for any unforeseen demand for the supply of wood pellets during the life of the contract,” said a department spokesperson.
“There is no guaranteed level of spend under the contract.”
The additional bodies include St Mary's University College Belfast, the Northern Ireland Fire and Rescue Service and the Belfast, Western and Southern health trusts.
It’s understood there were just two bidders for the new tender.
Balcas was originally awarded a Stormont contract to supply wood pellets to a limited number of government sites in 2010.
Balcas became the major supplier of wood pellets following the introduction of the renewable heat incentive (RHI) scheme by the former Enterprise Minister Arlene Foster in 2012.






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