SITA UK and its consortium partners have signed a 30 year PPP contract with the Merseyside Waste Disposal Authority (MWDA) for the conversion of household waste into energy. SITA UK, a recycling and resource management subsidiary of Suez Environnement, along with its consortium partners Sembcorp Utilities UK and the Itochu Corporation, was announced as preferred bidder for the contract in April 2013. SITA Sembcorp UK will finance, build and operate new infrastructure to manage over 430 000 tonnes of household residual waste each year, by converting it to 49 MW of electrical energy to be fed to the grid.
Over its duration, the contract is worth up to £1.2 billion in municipal revenue and approximately£1.8 billion in total revenue - which includes the management of third party waste and the sale of electricity to the National Grid.
SITA Sembcorp UK will spend over £250 million (€295 m) on new infrastructure to service the contract, which includes a new rail-linked transfer station in Knowsley and a new energy-from-waste facility in Teesside. The new infrastructure is expected to create 75 permanent jobs, and hundreds of people will be employed during construction.
The contract will provide services and facilities to the Merseyside and Halton Waste Partnership, formed by the metropolitan boroughs of the MWDA and the unitary authority of Halton Borough Council, which together represent over 600 000 households.
Residual waste will be taken to a new 49 MW energy-from-waste facility at the Wilton International industrial estate at Teesside. Subject to local site demand, the energy-from-waste facility will also be able to provide heat to local businesses, with the capacity to deliver 190 tonne/h of steam to neighbouring industrial businesses via a district heating system.
This solution will enable the Merseyside and Halton Waste Partnership to divert more than 92% of its residual waste from landfill, and result in a CO2 reduction of approximately 127 000 tonnes a year.
Linkedin
