Keppel Seghers to Supply Moving Grate Energy from Waste Technology : 25 Year Deal for Veolia to Operate 40 MW Waste to Energy Plant in Perth, Australia
A new 40 MW waste to energy plant in Kwinana, near Perth, is to feature Keppel Seghers technology and be operated and maintained by Veolia Australia & New Zealand.
Claimed to be the first project of its kind in the country, the plant is expected to be operational by 2021 following construction by consortium partner Acciona.
Once complete the facility will process around 400,000 tonnes of waste per year and will generate an estimated 800 jobs during the construction phase, with a further 34 permanent operational positions once commissioned.
According to Veolia, the Kwinana Project is the first waste to energy project in the country to reach financial close and has been developed under a new 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.
Pheonix energy explained that Macquarie Capital and Dutch Infrastructure Fund (DIF) will provide $A275 million of equity finance, and Macquarie Capital will also continue to be responsible for delivery of the facility. A group of financial institutions and the Clean Energy Finance Corporation (CEFC) will provide $A400 million debt finance for the facility. The CEFC will commit up to $90 million. The Australian Government’s Renewable Energy Agency, ARENA, will provide a grant of $A23 million.
Veolia said that for its part of the deal it will perform operations and maintenance services for an initial 25 year term, with an estimated contract value of A$450 million (€278 million).
in Veolia Australia & New Zealand has been selected to operate and maintain the first Energy Recovery facility in the country: the Kwinana Project.
The facility will comply with the European Industrial Emissions Directives and emissions to air will be monitored by a Continuous Emissions Measurement System (CEMS).
The project has received all approvals required from Western Australian Government agencies in order to construct the plant on Leath Road within the Kwinana Industrial Zone. The facility is a Level 2 state project and, according to Phoenix Energy, has received positive support from successive Western Australian Governments.
Once operational the facility is anticipated to divert up to half of the residual municipal solid waste collected in the Perth metro area from landfill sites.
The Kwinana facility will use Keppel Seghers moving grate technology, which thermally treats the waste and converts the recovered energy into steam to produce electricity. Metallic materials will be recovered and recycled, while other by-products will be reused as construction materials.
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