Multifuel inks PPA for 68-MW waste-to-energy plant in UK

A joint venture between UK’s SSE Plc (LON:SSE) and US-based Wheelabrator Technologies Inc has secured a GBP-75-million (USD 114.6m/EUR 102.7m) off-take contract for a 68-MW waste-to-energy plant in West Yorkshire, England.

More specifically, Multifuel Energy Ltd (MEL) has inked a two-year power purchase agreement (PPA) with SmartestEnergy for the electricity generated by the GBP-300-million Ferrybridge Multifuel 1 facility near Knottingley.

“The tender process was highly competitive and SmartestEnergy offered the best overall commercial package,” said Tom Maillet, director of engineering and operations for MEL. The company described this contract as “one of the UK’s biggest-ever low carbon power purchase deals”. Under the terms of the PPA, SSE will be buying the Levy Exemption Certificates (LECs) granted for power generated from renewable energy sources.

In order to produce electricity, the plant will use waste-derived fuels from various sources of municipal solid waste, commercial and industrial waste and waste wood. Its annual output is expected to reach 600 GWh, which would be enough to power around 160,000 households. The facility is currently in the final stages of its commissioning phase.

Meanwhile, MEL is seeking planning consent for a second, 90-MW multifuel power station at the same site.

(GBP 1.0 = USD 1.528/EUR 1.368)

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