Korsnäs, in collaboration with the municipality of Gävle and private investment company Investment AB Kinnevik, plans to invest around €173m in a new bio-energy power plant at its site in Gävle. The power plant is slated to be completed in autumn 2012. Korsnäs will invest the equivalent of €31m in Bomhus Energi AB, a joint venture between Korsnäs and the municipality of Gävle. The company will also invest another €14m in the existing facilities in Gävle in order to supply surplus heat to the local utility Gävle Energi AB. The goal of the investments is to reduce Korsnäs’ oil consumption as well as to increase in-house power generation from 38% to 45% of its total energy needs.