Veolia Australia & New Zealand has been selected to operate and maintain the first Energy Recovery facility in the country which will be known as the Kwinana Project.
Construction of the site will create over 800 jobs with a further 34 permanent positions create once the plant is operational.
It is the first ever project to of its kind in Australia, and the new state-of-the-art plant will initially generate 40 MW of clean energy.
In a statement Veolia said the new plant will provide a more sustainable solution for the effective management of waste, and will bolster local energy supply to drive energy security and affordability.
Located in Kwinana, near Perth, the plant will process process 400,000 tonnes of municipal solid waste.
Operations and maintenance of the facility will commence in 2021, following construction which will be undertaken by consortium partner Acciona.
The Kwinana Project is set to surpass the UK’s Energy Recovery Facilities, with Veolia providing operational and maintenance services for a 25-year term.
The estimated value of the contract is $A450 million. The project has been developed under a new innovative partnership model, known as “assetco-opco”.
Project Co, made up of Phoenix Energy, Macquarie Capital and DIF Infrastructure, are the asset owners and have selected Acciona to build the facility and Veolia to operate and maintain the plant.
This innovative approach makes use of each partners’ complementary expertise to deliver sustainable solutions to local authorities, according to Danny Conlon, executive vice president of Veolia ANZ.
“Veolia aspires to drive improved sustainability outcomes for ourselves, our customers and our communities, helping to preserve the living environment,” he said.
“We work everyday to make waste a valuable resource and proud ourselves on our long standing track record operating Waste to Energy facilities around the globe.
“We are very proud that this major project is a step further towards delivering energy security and affordability to many Australian households, whilst also reducing the environmental impact of waste - a true example of the circular economy.”
The Kwinana project adds to Veolia’s existing Woodlawn Bioreactor Facility located in New South Wales, which currently manages around 20% of Sydney’s organic waste, capturing methane to generate clean energy for up to 30,000 homes.
In Queensland, Veolia’s joint venture “Ti Tree Bioenergy Facility” creates enough energy to power 2,500 homes annually through the creation of green electricity from methane.
The Earthpower Facility in NSW is Australia’s first regional food-waste-to energy facility, with Veolia producing enough green electricity to power over 3,600 homes.
Worldwide Veolia operates 63 Energy Recovery Facilities.