Under the terms of the agreement, China Everbright International will invest in, construct and operate agricultural biomass utilization and central heating projects in Sucheng District and Guanyun County.

In addition to using biomass pellet fuel manufacturing plant to convert agricultural waste and straw into pellet fuel, Sucheng project will use heat source plant which will use the pellet fuel to produce heat and steam for the Sucheng Economic Development Zone and the Suzhou & Suqian Industrial Park.

The Guanyun and Sucheng projects, which will have an investment of approximately RMB180m and RMB170m respectively, will feature advanced biomass central heating and gas treatment technology, equipped with three 45t/h furnaces.

China Everbright International CEO Chen Xiaoping said Group has now developed three biomass industrial utilization projects in Jiangsu Province using the Pellet Fuel & Central Heating business model.

"This type of project provides an effective solution to simultaneously address the problems which arise from the nationwide prohibition of straw burning and the lack of heat supply in development zones, by converting waste into usable energy and helping to mitigate air pollution," Xiaoping added.

"With our abundant experience and technical strength in the environmental protection industry, plus the highest construction and operation standards, the Group will ensure the plants in Sucheng District and Guanyun County are model projects which not only have economic and social benefits, but also contribute to people’s welfare and environmental protection."