Northamptonshire County Council has awarded a contract worth up to £53 million to manage around 79,000 tonnes of residual household waste every year.

Waste will be sent to SITA UK’s landfill site in Wellingborough during the first two years of the contract, however, from 2015 they will be used at a new fuel recovery facility in Rugby which will be commissioned next year.

The waste firm will supply the fuel produced to building materials supplier CEMEX as part of its 25-year contract to provide the company with alternative fuel. The waste-to-energy facility will have the capacity to process more than 200,000 tonnes of waste every year.

Councillor Michael Clarke, Northamptonshire County Council’s portfolio holder for Transport, Highways and Environment said: “This is a landmark project for the county council as it shows that we’re taking positive steps to reduce the amount of non-recyclable waste which is landfilled by using innovative solutions.

“The county council isn’t investing in new facilities but making full use of the facilities that the waste management industry offers. This is a greener outlook for Northamptonshire’s waste.”

Fife Council has also signed an agreement to convert its waste to energy which is expected to help save around £1.2 million.