Waste to energy firm Hitachi Zosen Inova (HZI) is to build a 33,000 tonne per year dry anaerobic digestion facility in San Luis Obispo, California under a Design, Build, Finance, Own, Operate (DBFOO) deal financed by Japan Bank for International Cooperation.
The company said that the plant will be the first Kompogas® project in the US and will be realised in close collaboration between HZI USA, HZI Zurich, and the parent company Hitachi Zosen Corporation in Osaka, Japan.
The signing of the financing agreement between Japan Bank for International Cooperation and the operating company Kompogas SLO LLC gave the official green light for construction of the plant, which will produce around 2.9 million Nm3 of biogas and 20,000 tonnes of compost and liquid fertiliser per annum from 33,000 US tons (30,000 tonnes) of green waste and biowaste.
In addition to engineering, procurement, and construction (EPC), HZI and HZC said that they will also be financing, owning, and operating the plant in San Luis Obispo. The 20-year operations and maintenance agreement will enter into force after commissioning in summer 2018.
All biogas produced by the plant will be used to generate around 6200 MWh of electricity which HZI said would be enough to cover the annual consumption of more than 600 US households. The compost will be sold separately as high-grade fertiliser for farming and residential gardening.
According to HZI the 75% Initiative launched by California in 2011 has created the ideal framework for the San Luis Obispo project.
This initiative sets out the state’s declared goal of achieving a 75% reduction in total waste by 2020. The strategies envisaged for achieving this are recycling, composting / dry anaerobic digestion, and reducing waste at the source.
One of the first steps toward achieving this is the removal of biological waste from landfill sites. This measure is relatively simple to implement, and promises considerable potential with the possibility of cutting waste by 50%.
“Thanks to the anaerobic treatment of the biological waste fraction, greenhouse gas emissions from landfill sites will be reduced significantly. With the construction and operation of Kompogas SLO LLC, HZI will be supporting the authorities in achieving important environmental goals, while also creating additional jobs in the local labor market,” said Markus Stangl, CEO Hitachi Zosen Inova USA.
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