Within the framework of the THERMIE Programme 1994 of the European Union (EU), a group of European organisations constituted by USF/Smogless S.p.A. (a subsidiary of US Filter), EDP-Electricidade de Portugal S.A., Energia Verde S.p.A., and Lurgi Energie und Umwelt GmbH is implementing the THERMIE Energy Farm (TEF) project aimed at the demonstration of the technical and economic feasibility of power-generation from biomass, using the Integrated Gasification Combined-Cycle concept. At a site close to Pisa (Italy), a plant with a net power output of approximately 12 MWe will be erected; it will feature an atmospheric, air-blown, circulating fluidized-bed (CFB) gasifier, integrated with a 10.9 MWe, single-shaft, heavy-duty gas turbine, suited to burn the low-calorific value fuel gas produced by the gasifier, and a heat recovery steam generator which provides steam to a 5 MWe condensing steam-turbine. The design fuel consists of a mixture of wood chips from short rotation forestry and forest and agricultural residues, including olive stones and grape-seed flour. The financial viability of the project relies on the incentive provided by the Italian government with a premium price per kWh of electricity produced from renewables and on the financial contribution from the EU. The implementation phase was started in May 1997, when three main supply-contracts were signed. The commissioning phase is envisaged to commence during autumn 2000.