Construction of a £205 million waste to energy facility in South London has started.

The Energy Recovery Facility in Beddington will have the capacity to transform 300,000 tonnes of non-recycled waste every year from Croydon, Kingston, Merton and Sutton into electricity.

Around 26MW of power will be generated – equivalent to the needs of more than 54,000 homes – and 128,000 tonnes of carbon emissions will be reduced every year.

The facility, expected to start operating in 2018, will also be able to export heat from the process to the local area and will be developed to support the Sutton Decentralised Energy Network.

The four boroughs are expected to save £200 million over 25 years through benefits such as avoiding expensive landfill taxes.

Alan Cumming, Capital Projects Director for Viridor said: “The project will benefit the local community too, supporting over 400 jobs during the construction phase and deliver robust local spending.”

The project was granted planning permission in 2013 and was approved by Sutton Council in May this year.