The U.S. Department of Energy is replacing an old coal-fired plant at a site near Augusta that processes nuclear materials.
The project is one of the largest energy improvement projects within the federal agency.
The plant will provide energy to the Savannah River National Laboratory…a technological research and development facility near Augusta.
The fuel will come from wood chips collected from forest management activities at the Savannah River Site, which processes nuclear materials.
Officials say the energy is cleaner and cheaper, saving about $1.5 million a year.
"The cost savings comes through the operations of the plant, requiring inexpensive wood chips versus coal, reduced emissions and it’s going to be a smaller plant," says James Giusti, a spokesman for the U.S. Department of Energy.
The project replaces a coal-fired plant built in 1951.
Officials expect operation of the new plant to begin by autumn.
