JUNEAU, Alaska — The Alaskan Brewing Co. is going green, but instead of looking to solar and wind energy, it has turned to a familiar source: beer.
The Juneau-based beer maker has installed a special boiler system to cut its fuel costs.
It purchased a $1.8 million furnace that burns the company’s spent grain — the waste accumulated from the brewing process — into steam, which powers the majority of the brewery’s operations.
Company officials now joke they are now serving “beer-powered beer.”
What to do with spent grain was seemingly solved decades ago by breweries operating in the Lower 48. Most send the used grain — a good source of protein — to nearby farms and ranches to be used as animal feed.
But there are only 37 farms in southeast Alaska and 680 in the entire state as of 2011.
The problem of what to do with the excess spent grain — made up of the residual malt and barley — became more problematic after the brewery expanded in 1995.
Alaskan Brewing Co. had to resort to shipping its spent grain to buyers in the Lower 48.
Shipping costs for Juneau businesses are especially high because there are no roads leading in or out of the city; everything has to be flown or shipped in. However, the grain is a relatively wet byproduct of the brewing process, so it needs to be dried before it is shipped — another heat-intensive and expensive process.
“We had to be a little more innovative just so that we could do what we love to do, but do it where we’re located,” Alaskan Brewing co-founder Geoff Larson said.
But the company was barely turning a profit by selling its spent grain. Alaskan Brewery gets $60 for every ton sent to farms in the Lower 48, but it costs them $30 to ship each ton.
So four years ago, company officials started looking at whether they could use spent grain as an in-house, renewable energy source and reduce costs at the same time.
They contracted with a North Dakota company to build the special boiler system after the project was awarded nearly $500,000 in a grant from the federal Rural Energy for America Program.