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Committee hears $10 million request for anaerobic digester to process metro food waste

2717210 · March 20, 2025
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Summary

Representative Tim Johnson and county and industry officials described House File 701, a $100 million anaerobic digester project in the Twin Cities metro seeking $10 million in state support to process 75,000 tons of organics per year and produce renewable natural gas and biochar.

Representative Tim Johnson introduced House File 701, requesting $10 million in state assistance toward a $100 million anaerobic digestion facility meant to process food waste from Ramsey and Washington counties and other interested jurisdictions.

The measure would support construction of an anaerobic digester that backers say would add about 75,000 tons per year of organic-processing capacity, produce renewable natural gas (RNG) sufficient to heat about 2,500 homes annually, and generate roughly 8,000 tons of biochar each year. Washington County Commissioner Fran Miron, vice chair of the Ramsey–Washington Recycling and Energy Board, told the committee that “organics, such as discarded food scraps, make up over 20% of the collected trash.”

Miron and Bill Keegan, president of Demcon Companies, described how the project fits into recent county efforts to expand household food-scrap collection. Miron said the board has launched a food-scrap pickup program that supplies green compostable bags to participating households; those bags are sorted at a county facility and a share would be delivered under a 20-year contract to the Demcon digester in Newport. Keegan described the digester technology and the planned products: “You put the food in and it processes the food and it produces liquids, solids, and gases. The gases are collected as renewable natural gas, and we would connect directly to the pipeline and sell those.” Keegan added the project would produce biochar used as a soil amendment and for remediation projects.

Officials provided several technical and commercial details. Keegan said the digestion and subsequent processing would yield renewable natural gas that utility companies have included in plans filed with the Public Utilities Commission; the project’s developers have identified CenterPoint Energy and Xcel Energy as potential off-takers. The project team estimates greenhouse-gas reductions of about 30,000 metric tons CO2e per year, which Keegan said is “the equivalent of removing about 7,000 cars per year from the roads.” Keegan also said the biochar process runs at high temperatures (he cited roughly 1,200 degrees Celsius) and that testing of the post-process material showed PFAS levels below laboratory detection limits on samples the company provided.

Commissioner Miron told the committee the recycling board has contracted with Demcon for annual tonnage and has researched participation rates; he said the counties have discussed expanding participation from other counties to ensure steady supply. Miron said the board has secured some federal grant commitments that are currently in congressional-level review and that the Minnesota Pollution Control Agency has indicated the funds are available, though the project is monitoring that process.

Committee members pressed on costs, collection logistics and contamination. Keegan and Miron said curbside collection can be handled within existing trash routes using compostable bags, and Miron provided an estimated 6% failure rate for the compostable bags based on the board’s research. Keegan said Demcon would invest about $45 million of private capital in the project and that the company expects the facility to be economically viable without long-term subsidies once operating and contracting arrangements are in place.

The committee adopted an author’s oral amendment (H0701A3) to the bill — inserting a parenthetical item on the funding line and changing a year reference to 2026 — and laid the bill over as amended for possible inclusion in other legislation. No final appropriation was voted on by the committee during the hearing.

Supporters invited lawmakers to visit existing county sorting operations and noted letters of support in the committee packet. Several members, including Representatives Hollins, Tapke and Carroll, expressed support in committee remarks.