A consortium led by SITA UK has signed a Public Private Partnership (PPP) contract with the West London Waste Authority to recover energy from residual waste over the next 25 years.
Announced as preferred bidder last April, SITA UK along with its partners Scottish Widows Investment Partners and the ITOCHU Corporation, will design, finance, build and operate infrastructure to manage up to 300,000 tonnes of residual municipal waste every year. The contract is reportedly worth £1.4bn in total, while £244m will be invested into new infrastructure.
Residual waste generated by the 1.6m population of the London boroughs of Brent, Ealing, Harrow, Hillingdon, Hounslow and Richmond-upon-Thames that has not been able to separated for recycling will be transported by rail to the new Severnside Energy Recovery Centre (SERC) in South Gloucestershire, which already has planning permission, under the terms of the new agreement. The 34MW facility will produce enough electricity to power the equivalent of 50,000 homes and could also provide heat to local businesses – further increasing its environmental performance.
SITA reports that this will enable the West London Waste Authority to divert 96 percent of its waste from landfill, and is expected to save 2m tonnes of CO2 over the duration of the contract.o
Construction is expected to begin at Severnside in December, with operation to commence in 2016. From January 2014, SITA UK will take over the operation of the two rail-linked waste transfer stations at Transport Avenue and Victoria Road, which will both be substantially modernised as part of the investment programme.