SMART Papers, a Hamilton, Ohio-based manufacturer of specialty paper, has begun construction of a $30 million generating facility that will produce its own fossil-free energy by late 2009. The company says it will use cellulosic biomass - including such materials as yard waste, industrial wood, and fiber waste - to generate that electricity and steam necessary to operate the paper mill. No food crops or harvested timber will be used. The 40-megawatt co-generation system consists of four turbines, two condensers, a cooling tower, and auxiliary equipment that were supplied by Honeywell International. SMART Papers expects that by 2010, the new facility will generate 100 percent carbon-neutral power credits that can be sold on the open market.