Under the agreement, Covanta will source waste for the facility from Dublin and surrounding areas.
Relative to a baseline projection, Dublin will share any upside or downside in revenues generated by the facility during the first 15 years of its operation. Dublin will also share in energy revenues generated by the project for 45 years, which is the lifetime of the contract.
As the company has been able to achieve financial close on the project financing package, it intends to immediately start project construction.
The Dublin waste-to-energy facility, which is expected to begin operations in late 2017, will provide long-term sustainable and environmentally superior waste management solution, allowing the Dublin region to divert post-recycled waste from landfills.
Capable of producing clean renewable energy to supply 80,000 homes, the €500 facility will reduce Ireland’s reliance on imported fossil fuel while providing enough heat to meet the equivalent needs of over 50,000 homes if a district heating system is implemented in the future.
Covanta CEO and president Anthony Orlando said: "The facility will be state-of-the-art in all respects, including energy efficiency and environmental performance, and will provide a meaningful boost for the local economy."
The compnay will operate the project over 45 years, following which the facility’s ownership will be passed on to Dublin.
