Penza, 9 December 2011. PenzaNews. The deputy chief of the regional government of housing and communal services Yury Ilyin considers that it is necessary to develop manufacturing of alternative fuel in the Penza region and use it more actively in far away areas. Yury Ilyin said: “Gas is extremely dangerous. Last emergencies in the region show that we can’t use gas careful. For example, the pensioner forgot about milk, it overflowed, fire went out but gas wasn’t off”.

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He added: “Secondly, due to new reforms, the price for gas will raise. Thirdly, not every house can have gas connection according to technical requirements”.

He underlined that the residents of the region can use so-called pellets or fuel granules.

The deputy head of department of housing and communal services said: “Manufacturing pellets isn’t a problem in our region. There are a lot of woods in the Eastern part of the Penza region. Fuel is underfoot and it’s the sin not to use it. The woodworking industry also is developed”.

LLC “Lespromhoz “Kuznetsk” has manufactured pellets from wood waste in the Penza region since spring 2010. The factory has already sold more than 600 tons of fuel granules.

The chief executive of LLC “Lespromhoz “Kuznetsk” Victor Pavlenko said: “At first it was difficult to create the client base, therefore in 2010 the enterprise worked only 4 months. However from April till December 200 tons of fuel granules have already been sold. This year the number of the clients using pellets for heating increased considerably”.

As he said, production made by the enterprise, is delivered now not only to the Penza consumers, but also in some other regions of the country — the Nizhniy Novgorod, Moscow, Saratov and Samara areas, and also Republic Tatarstan.

Victor Pavlenko said: “In the Penza region alternative fuel is used by four fuel stations “Tatneft’”. Besides, in the nearest future pellets will be used for heating the school which is 2 thousand square meters in village Srednyaya Elyuzan. At present the boiler has already been installed and it is prepared to be started”.

According to the chief of LLC “Lespromhoz “Kuznetsk”, the total cost of the equipment for manufacturing pellet is more than 9 million rubles. The Agency on support and development of business of Kuznetsk area of the Penza region gave favourable terms of 5 years for 6 million rubles credit to the enterprise for successful start of the project.

Victor Pavlenko said: “If there is the average quantity of orders the project payback period will be 2 years. But in our region pellets are not very popular as alternative yet, therefore we expect to return the credit within 4-5 years”.

He added also that fuel granules will gain more popularity in the future.