Metso’s plant will supply district heating for the city as well as help lower its carbon dioxide emissions.

The plant is scheduled to begin operations by late-2014.

Valued at nearly €25m, the contract includes delivery of a power plant that uses bubbling fluidized bed combustion technology and a flue gas condenser.

Automation at the plant will be based on Metso DNA technology and the company will also provide installation, training and commissioning services.

The boiler plant will produce 26MWth of thermal power and 7MWe of electrical output, while the flue gas condenser will generate 4.5MWth of heat.

Electricity produced, using local forest residues such as bark and wood chips as fuel, will be distributed to the national grid.

Vimmerby Energi & Miljö AB project manager Mats-Lennart Karlsson noted, "We chose Metso as the supplier because they are able to deliver a solid industrial-scale combined heat and power boiler capable of satisfying our need to supply various types of energy."

Metso power business line sales director Mikael Barkar added, "The project has been started successfully and in good cooperation with VEMAB."