Covanta Holding Corporation, a sustainable waste and energy solutions company, announced this week that it has entered into a strategic partnership with the Green Investment Group Limited, a subsidiary of Macquarie Group Limited, to develop, fund and own Energy-from-Waste (EfW) projects in Ireland and the UK. The partnership will be structured as a 50:50 joint venture, creating a platform to develop and invest in the combined project pipelines of the partners, as well as to pursue new opportunities for EfW project development or acquisitions.
As the initial step in the partnership, GIG will invest in Covanta’s Dublin plant, with proceeds from this transaction fully funding Covanta’s anticipated equity requirements for all of the advanced projects in the joint-venture’s combined UK pipeline.
Sam Zell, Chairman of the Board of Covanta said, “We believe that there is significant opportunity in international markets, and particularly in the UK, for a sophisticated energy-from-waste operator. The inclusion of the Dublin project in this transaction highlights value in the company’s assets and strategy, and serves as a catalyst for accelerating growth in a more capital-efficient manner.”
Edward Northam, Head of GIG in Europe, added: “The projects developed under the partnership will extract energy from residual waste that would otherwise be lost to landfill, avoiding harmful methane emissions. We are also pleased to announce GIG’s first investment in the Republic of Ireland. Investing in Covanta’s landmark Dublin project is the first step in realizing the potential of the partnership. As it enters its first full year of operations in 2018, the state-of-the-art facility will help ensure Ireland continues to meet its landfill diversion targets.”
Pending permitting and project financing, all four of the advanced developments referenced above are positioned to move into construction in the next 24 months. Rookery remains the most advanced of these projects and is expected to break ground in the first half of 2018. Details on the specific timeline, costs, structure and financial contribution of each project will be provided as it reaches financial close and moves into construction.
Vendors mentioned in this article:
- Covanta Holding Corporation
- Green Investment Group Limited
- Macquarie Group Limited
Mark your calendars: The 3rd Annual Environmental Leader & Energy Manager Conference takes place May 15 – 17, 2018 in Denver. Learn more here.
Energy Management
Environmental Management
Air & Emissions
Buildings
Cities
Compliance
Supply Chain
Transportation
Global Regions
3BL News