The UK subsidiary of French firm GDF SUEZ has signed a deal to buy electricity from an energy-from-waste facility.
The 15-year power purchase agreement (PPA) with SITA UK is for electricity produced from a 34MW waste-to-energy facility which is set to be built at Severnside in South Gloucestershire.
It will produce enough energy to power around 50,000 homes and have the capacity to treat around 400,000 tonnes of waste every year.
The agreement is GDF SUEZ Energy UK’s third long-term PPA with SITA UK, the last of which was signed in May 2012.
Steve Riley, Chief Executive and President of GDF SUEZ Energy UK-Europe said: “This… underlines our shared commitment to sustainable energy development in the UK as well as the abilities of the GDF SUEZ Group to meet the different needs of UK customers across the energy chain.”
SITA UK will build and operate the facility, scheduled to open in 2016, on behalf of the West London Waste Authority.
Last month London launched its first heating network that uses household waste to generate energy.