The ELWA waste project is a PFI concession agreement with the East London Waste Authority. The project provides for the processing of municipal waste from the four London Boroughs of Redbridge, Barking and Dagenham, Havering and Newham for which the East London Waste Authority is responsible. Financial close of the project was achieved in December 2002, and the concession runs for 25 years until 2027. Waste processing is performed through a combination of facilities, the largest of which are two mechanical biological treatment facilities constructed by A2A (formerly Sistema EcoDeco Spa), at Frog Island and Jenkins Lane.
These MBT facilities have been operating since 2006 and have the combined capacity to treat approximately 360,000 tonnes of residual waste per annum and produce solid recoverable fuel and other recyclates. The ELWA waste project also involves the operation of four refurbished household waste recycling centres and a material recycling facility. In total, ELWA project’s facilities are capable of processing up to 700,000 tonnes of waste per annum. In practice, total contract tonnage is around 450,000 tonnes per annum. This is supplemented by approximately 75,000 additional tonnes of trade or commercial waste from outside sources. The operator pays the Authority a royalty for the trade waste tonnages.
The project diverts around 96% of all waste received from landfill, against a contract target of 67%. Additionally, total recycling rate is around 26%, against a contract target of 22%. A significant part of the diversion from landfill is achieved through the production, and supply of approximately 200,000 tonnes per annum of RDF (Refuse Derived Fuel) from the processed waste. The RDF off-take market is challenging, and the operator has supplied RDF off-take contracts with various off-takers in the UK and Europe.
Project specifics
Acquisition date
March 2014
Stakehold
80%
Project description
Multi-site project for the processing of municipal waste from the four London Boroughs of Redbridge, Barking and Dagenham, Havering and Newham for which the East London Waste Authority is responsible.
Operational date
2006-2007
Revenue mix
100% PFI payment mechanism
Project Operator
Renewi