Dive Brief:
- U.K. waste and recycling company Biffa recently announced a new agreement with Covanta to explore potential waste-to-energy projects as part of its annual earnings results, as reported by MRW.
- Through an exclusive agreement, the two companies will assess the possibility of facilities at two sites in the counties of Leicestershire and Cheshire.
- "It is clear the UK has a significant shortage of EfW treatment capacity. It is in our interest that it is filled and the infrastructure is built. Our choice [of technology] will be very, very low risk," Ian Wakelin, Biffa's chief executive, told MRW.
Dive Insight:
Biffa doesn't currently operate any WTE facilities of its own and this partnership could mark new territory for the company. The move would expand Covanta's presence in the U.K. as well, following the announcement of plans for another facility with Veolia last year.
Covanta's Dublin facility is currently the company's only completed project in the U.K. Commissioning and testing have begun, with plans to be fully operational by the end of the year, though a delay could be possible following a recent lime exposure incident that sent multiple workers to a local hospital. Investigations by Covanta and multiple governments agencies are underway to better understand what caused the issue.
Though Covanta's latest quarterly earnings were positive, due in part to expansion of the company's special waste business, their leadership has recognized that the potential for building new facilities in the U.S. is currently limited. The U.K. is one of multiple markets that they're currently exploring to find new partnerships, as well as Australia.
