Powers Energy Hires Three Lake County Construction Firms for Garbage-to-Ethanol Plant in Schneider, IN

November 10, 2010

BY DIANE KRIEGER SPIVAK, (219) 648-3076 Powers Energy on Tuesday named the three Lake County construction firms that will hire 400 union workers to build a $254 million garbage-to-ethanol plant in Schneider.

Superior Construction Co., Inc., of Gary; Morrison Construction Co., of Hammond; and Continental Electric Co., Inc., also of Gary have formed a joint venture, SMC LLC, for the project, according to a news release Powers issued late Tuesday afternoon.

Powers Energy has also contracted with Robinson Engineering Ltd., Merrillville, to provide civil engineering support during design and permitting.

Powers has a 20-year-renewable contract with the Lake County Solid Waste Management District to process 8,000 tons of municipal waste into ethanol per day.

Funding for the project should be completed some time next month, according to company president Earl Powers, who promised no taxpayer dollars would be involved.

"One hundred percent of the project funding is from debt financing," Powers said, adding that financial backers, none of whom are from Indiana, would be identified after funding documentation is finalized.

"Lake County residents and public entities will have no financial liability for any portion of the project before or during construction and operation, or after facility closure," Powers said.

The plant is projected to operate for 30 years.

Powers hopes to break ground on the two-year project next summer, Powers engineer Ken Bosar said. The company must first apply for various permits from the Indiana Department of Environmental Management, which should take place early next year, Bosar said.

"We're pleased the project is moving forward and happy that Powers Energy is keeping its promise," Solid Waste attorney Cliff Duggan said Tuesday.

Northwestern Indiana Building & Construction Trades Council Business Manager Randy Palmateer said all three companies are contractors with the council.

"They employ local building trades men and women," Palmateer said.

"We've looked at manpower projections with Mr. Powers," Palmateer said. "It's going to be a great project for our trade council. We're not at full employment, so this will be a nice jump-start."

Palmateer said a building trades presence will attend the Nov. 18 Solid Waste Board meeting in support of the project.

Powers Energy is scheduled to attend the meeting to answer questions submitted regarding the project.

"We're 100 percent behind this," Palmateer said, adding that 20 percent of the 50,000 union trades workers are currently unemployed.

"Hopefully, individual municipalities will sign into these local agreements to send their trash there," he said. "We're in a green era now."

This article brought to you by the Indiana Renewable Energy Association.