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Mar 8, 9:43 AM EST

Developers abandon plans for Preston tire burning plant

PRESTON, Minn. (AP) -- Plans for a controversial tire burning plant in this southeastern Minnesotan town "are no longer under consideration," according to a letter the developers have delivered to the city.

Mayor Kurt Reicks said the letter from Heartland Energy and Recycling Inc. owner Bob Maust said it would be "better to take our project to an area where the investment and jobs" would be appreciated.

Residents in southeastern Minnesota have objected to the plant, which developers said would burn 200,000 discarded tires each week. Opponents fear the plant and its 20-story smokestack will pollute the air and water in the area.

In January, more than 100 people attended a hearing in which a residents' panel of the Minnesota Pollution Control Agency decided that more environmental review was needed before the plant could be built.

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That came after heavy public pressure from environmentalists and residents in Minnesota and western Wisconsin. Critics said the plant's tire-burning technology was new and untested at full scale.

However, the MPCA staff studied the project last year and concluded that emissions "are not expected to be very much different from other conventional fossil fuels." The staff said no further study was needed.

Maust has said the plant would bring 30 jobs or more, create electricity and chip away at the millions of tires stockpiled across the country.

Reicks said Maust's letter, delivered Monday, said the project had "succumbed to mob rule." The planned site of the plant in Preston's industrial park will be put on the market.

Elaine Maust, Bob's wife and partner in the project, confirmed the letter's contents to The Associated Press on Tuesday. She had no comment on whether they would build the plant elsewhere, although Bob Maust told KTTC television in Rochester he had invitations from several other communities.

Just two other tire-burning plants are used to generate electricity, and Maust's would have been the first that recycles all of the steel inside a tire. It was to collect tires from as far as Chicago to the east and Kansas City to the south.

Reicks said it was not clear how the decision would affect Preston. "We need some economic development," he said.

"I'm hoping it's true," said Councilman Robert L. Sauer of the shelving of the divisive project. "Neighbors will start waving to each other again and talking."

Environmentalist Guy Wolf of Stoddard, Wis., said, "We're obviously just thrilled he's changed his mind."

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Information from: Winona Daily News, http://www.winonadailynews.com

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