GDF SUEZ Energy UK has signed an agreement to buy all the electricity generated at a new waste-to-energy facility in North Yorkshire.
Waste management provider AmeyCespa’s Allerton Waste Recovery Park is expected to process around 320,000 tonnes of household and commercial waste every year.
It will divert around 95% of waste from landfill in York and North Yorkshire.
Under the power purchase agreement (PPA), GDF SUEZ Energy UK will buy up to 208GWh of electricity every year – enough to around power 40,000 homes.
“As well as the environmental benefits this will bring, the anticipated long-term savings on the cost of waste treatment are expected to be around £250 million over the life of the contract”, the company said.
The plant is scheduled for operation in early 2017.