Worsley's new venture, Tempe, Ariz.-based Renegy Holdings Inc., plans to open a $53 million, 24-megawatt biomass power plant this spring near Snowflake, Ariz. Renegy also recently bought a shuttered biomass plant next to a sawmill that closed in 2003 near Susanville, Calif. Just over 200 biomass plants operate in the U.S.

Renegy has amassed about 300,000 tons of wood chips and is collecting "green waste" from landfill drop-offs across northern Arizona. The company also has deals for forest-thinning projects that are designed to prevent massive fires. Arizona's two largest utilities have agreed to buy electricity from the project.

Fire suppression has caused many forests to become choked with smaller trees that can cause unnaturally large fires. But as forest managers thin the thickets, the trimmings usually either are burned in place with controlled fires or sent to a landfill.

"We are part of the solution to have an economic place for the material," Worsley said.

Anyone who has sat around a burning campfire might doubt the cleanliness of burning wood for energy, but Worsley says the biomass burning plant is much cleaner than it would appear.

For starters, all of the particulate matter that makes visible smoke is removed from the emissions, so there are no visible emissions except possibly heat shimmers.

Burning biomass only releases the carbon dioxide from plant material that already cycles through the atmosphere. That makes it less of a contributor to the greenhouse effect and global warming than carbon from underground sources like coal.

Furthermore, if foresters thin the trees in fire-prone areas and leave the waste in place, it remains a fire hazard. If they burn it under controlled conditions, it causes particulate pollution, and if it is sent to the dump, it releases methane as it decomposes, a more effective greenhouse gas than carbon dioxide.

Forest conservation experts are supportive of biomass projects so long as they remove a sustainable amount of material from the forests.

"It is critical that the tail of (industry) doesn't wag the forest-management dog," said Ethan Aumack, director of restoration programs for Grand Canyon Trust.

A massive 2002 wildfire fire in Arizona was the spark of inspiration that led to Worsley's green waste idea.

After selling SkyMall Inc. in 2001 for about $47 million, Worsley bought 100,000 acres across northern Arizona and mineral rights stretching from Albuquerque to Kingman.

He hoped to develop solar or wind-power projects and tap into existing transmission lines in the area serving coal-powered plants. But when the Rodeo-Chediski fire scorched 469,000 acres in the area, he had a better idea - using the wasted wood to make electricity.

As he searched for a site for his proposed biomass plant, Abitibi-Consolidated paper mill officials called and offered free sludge if he built the plant next door.

The plant makes newsprint from 100 percent recycled material, but some of the old paper brought in isn't strong enough to reuse, and the company has to dispose of it.

Renegy has 20-year contracts to sell its energy to Salt River Project and Arizona Public Service Co. beginning sometime around February, although a start date hasn't been announced.