Australian Paper and SUEZ have appointed Sumitomo Mitsui Banking Corporation (SMBC) financial advisor for their $600 million waste to energy facility in Victoria’s Latrobe Valley.
Australian Paper General Manager Corporate Development David Jettner said SMBC would contribute additional commercial expertise to the project during the critical development phase.
“As financial advisor, SMBC will provide specialised support for project development and establish debt financing facilities, as we seek to build a missing link in Victoria’s waste management infrastructure,” Mr Jettner said.
“We are now moving forward to secure waste through the Metropolitan and Gippsland Waste and Resource Recovery Groups tendering processes, establish contractual engineering, procurement and construction arrangements and arrange funding for our project.”
Mr Jettner said SMBC would play a vital role in helping Australian Paper navigate those processes.
“They will also provide sectorial experience to the project as the mandated lead arranger, with 15 successful energy from waste projects internationally including the Kwinana project in WA,” Mr Jettner said.
“Our facility remains the first energy from waste project in Victoria to achieve an EPA Works Approval, and along with SUEZ and SMBC, we are excited to move a step closer to making our vision for Latrobe Valley energy production from residual household waste a reality.”
According to SUEZ Victoria General Manager Nat Bryant, less than one per cent of Australia’s residual waste is used for energy recovery.
Additionally, Mr Bryant said landfill is the only option for household waste from South East Melbourne and Gippsland.
“With the closure of the Hampton Park landfill by 2025, our project will provide a vital solution to south east Melbourne’s impending waste management crisis,” Mr Bryant said.
The public is being invited to comment on the Queensland Government’s Energy-from-Waste policy discussion paper, released earlier this week.
Environment Minister Leeanne Enoch said finding alternative uses for waste was becoming more important than ever.
“The discussion paper is giving Queenslanders a chance to contribute to the development of a new policy, provide feedback on the types of technologies and help us plan for the future,” Ms Enoch said.
“The paper is an important action under the government’s new waste strategy.”
Ms Enoch said the government’s waste strategy outlined priorities and actions to help grow the recycling and resource recovery sector.
“We have set ambitious targets to recover 90 per cent of the waste we generate by 2050 and recycle at least 75 per cent of that waste,” Ms Enoch said.
“But we acknowledge that some wastes cannot be recycled, and it is better to retain the value of these wastes by recovering energy than it is to dispose of them to landfill. This is all part of our broader transition to a circular economy.”
Waste Recycling Industry Queensland (WRIQ) Executive Officer Rick Ralph said WRIQ and its members welcomed the new waste strategy.
“Energy from waste will play an important role in helping to achieve the objectives and targets of the strategy,” Mr Ralph said.
“The release of the Energy-from-Waste discussion paper is a step in the right direction. Industry looks forward to having this discussion with the government in this important initiative.”
Waste Management and Resource Recovery Association of Australia (WMRR) CEO Gayle Sloan said energy from waste was a vital part of a sustainable waste and resource recovery system.
“Its technologies are also proven globally, with more than 2000 energy from waste facilities operating safely across the US, Europe, Asia, and the Middle East, many having operated for decades,” Ms Sloan said.
“We look forward to working with the Queensland Government to leverage the technical expertise of our industry to develop a policy that promotes investment in, and growth of, an integrated waste management and resource recovery system that includes energy from waste.”
FOCUS enviro has secured exclusive Australian distribution rights for UNTHA process engineered fuel shredding technology, as the countries energy from waste market grows.
FOCUS enviro Director Robbie McKernan said the agreement to integrate Austrian company UNTHA’s equipment into the FOCUS enviro range reflects the growing appetite of Australian operators to turn waste into a resource.
“UNTHA’s world-renowned static and mobile XR shredders for process engineered fuel production have been added to our portfolio,” Mr McKernan said.
“We’ve been watching intently the number of resource derived fuel and solid recovered fuel plants that have come online in the UK, Austria, Germany and Denmark. 10 years of industry analysis means we’re now armed with best-practice advice to pass on to clients in Australia.”
Mr McKernan said alternative fuel production lines can be optimised for maximum product quality, bottom line impact and environmental gain.
“As the Australian process engineered fuel market gains traction we need best-in-class technology as robust as our knowledge,” Mr McKernan said.
“We wanted to integrate UNTHA into our offering, but to represent them on an exclusive basis is a real honour.”
According to Mr McKernan, UNTHA’s XR shredder is able to process an array of input material to meet defined fuel specifications, from cement plants through to biomass burners.
“Some Australian waste management companies are producing and exporting fuels but the specifications remain extremely varied,” Mr McKernan said.
“As the market matures – and more small-medium businesses enter with their eyes on best-practice – I would hope UNTHA can help drive standardisation when it comes to fraction sizing, product quality and calorific value.”
UNTHA Global Business Development Director Gary Moore said Australia has one of the most exciting energy from waste markets in the world.
“Alternative fuel production is in its infancy here in comparison to parts of Europe for instance, but landfill rates are rising, environmental pressures are mounting and China’s landmark movement has forced a new direction for the country’s waste framework,” Mr Moore said.
“A number of international waste operators with a presence in Australia are driving a global knowledge transfer programme to strengthen resource security.”
According to Mr Moore, FOCUS enviro has the right technology and service ethos to represent the UNTHA brand in Australia.
“You only have to look at the role they had at the recent energy from waste conference in Melbourne to see they are the partner to talk to in this sector,” Mr Moore said.
“Over 9000 UNTHA shredders are now installed worldwide, and global growth of 25 per cent is predicted in the next 12 months —Australia’s contribution to the overall company turnover will see significant increase over the next five years.”
The ACT Government has begun community consultation on waste to energy (WtE) to help develop policy and provide information for stakeholders.
It follows the results of the ACT’s Waste Feasibility Study which found Canberra was unlikely to achieve a recovery rate of more than 80 per cent without some form of WtE leaving 200,000 to be sent to landfill.
The ACT Government has launched a survey to gather community feedback and provide information on the different types of WtE to clearly outline the territory’s position on energy recovery. It has also launched an information paper to outline the challenges and opportunities for the technology in the ACT’s context.
The consultation will inform the ACT Government’s consideration of WtE in the territory.
Currently the ACT has a target to divert 90 per cent of waste from landfill by 2025 and has implemented a container deposit scheme to also improve the territory’s waste diversion rates.
WtE processing facilities are already in use in the ACT with methane gas captured at the Mugga Lane and West Belconnen landfill facilities used to power around 3000 homes.
The ACT has also set a range of targets to 2020 for secure and affordable energy which involves using clean energy technology.
City Services Minister Chris Steel said in the information paper that a serious conversation about what to do to reach the ACT’s landfill diversion targets is needed and should explore whether WtE is part of the solution.
“WtE technologies sit on a spectrum – not all of these involve burning or heating and some technologies are already in use in the ACT, for example through landfill gas capture at our Mugga Landfill site,” Mr Steel said.
“One of the key recommendations of the Waste Feasibility Study was the development of a WtE policy in the ACT to provide certainty to industry and the community about whether WtE has a role in the nation’s capital.
“As the Minister for City Services I want our community and industry to be partners in co-designing a long-term, informed and evidence-based policy vision for WtE in the ACT.”
The community consultation period will close on 29 November 2018.
Veolia has signed a $450 million 25-year operations and maintenance service agreement on a large-scale waste to energy facility in Kwinana, WA, capable of producing 36 megawatts of electricity – enough to power 50,000 homes.
The Clean Energy Finance Corporation (CEFC) will commit up to $90 million towards towards the $688 million and will be able to process 400,000 tonnes of household, commercial and industrial residual waste per year.
Operations and maintenance of the facility will commence in 2021. Veolia operates 61 thermal waste to energy facilities around the world.
Macquarie Capital and Phoenix Energy Australia are co-developing the Kwinana plant, with co-investment by the Dutch Infrastructure Fund (DIF). Infrastructure company Acciona has been appointed to design and construct the facility. The project has been approved by the WA Environmental Protection Authority.
It is expected to produce cost-competitive base load power by processing household waste from local councils and contribute to grid stability in WA’s South West Interconnected System.
Technology that has been previously used in Europe will be implemented in the plant, which is expected to reduce carbon dioxide emissions by 400,000 tonnes per year – the equivalent of taking 85,000 cars off the road.
The plant will use the Keppel Seghers grate technology, which has seen use in more than 100 waste to energy plants across 18 countries. Metals recovered in the process are then able to be recycled, with the facility producing an ash byproduct that is commonly used as road base or for construction.
CEFC’s funding is part of a $400 million debt syndicate that includes SMBC, Investec, Siemens, IFM Investors and Metrics Credit Partners. The Australian Renewable Energy Agency (ARENA) is contributing a further $23 million in grant funding.
Veolia Australia and New Zealand Managing Director and CEO Danny Conlon said the project is an exciting development for Veolia in Australia.
“Adding to Veolia’s existing infrastructure in NSW and QLD, where we generate enough electricity to power 35,000 homes per year from waste, the Kwinana Project is another example where we will extract value from waste materials, delivering a clean energy source,” Mr Conlon said.
At a time when Australian businesses and households are seeing energy shortages and rising costs, Veolia is proud to be working with innovative partners to help deliver new, environmentally sustainable energy from waste”.
ARENA CEO Darren Miller said the project provides a renewable energy solution for reducing waste going to landfill.
“The use of combustion grate technology is well established in Europe and North America but has not yet been deployed in Australia,” Mr Miller said.
“More than 23 million tonnes of municipal solid waste is produced annually in Australia and this project could help to divert non-recyclable waste from landfill and recover energy in the process.”
CEFC CEO Ian Learmonth said the landmark project was the CEFC’s largest investment in WA to date.
“Creating energy from waste is an exciting and practical way to reduce the amount of waste going to landfill, while also delivering cleaner low carbon electricity,” Mr Learmonth said.
“The average red lid wheelie bin contains enough waste to produce up to 14 per cent of a household’s weekly power needs. This investment is about harnessing that energy potential, while safely diverting waste from landfill.
“We are pleased to be working alongside Phoenix Energy Australia, Macquarie Capital and DIF in bringing this state-of-the art technology to Australia. We congratulate the Western Australian government and the participating councils in embracing this 21st century approach to waste management,” he said.
Macquarie Capital Executive Director Chris Voyce said the Kwinana plant is expected to employ around 800 workers, including apprentices, during its three-year construction phase, and some 60 operations staff on an ongoing basis.
“Macquarie Capital is pleased to be contributing to the supply of sustainable and secure renewable power to Australia’s overall energy mix,” Mr Voyce said.
“As an adviser to, investor in and developer of renewable energy projects around the world, we see waste-to-energy as an effective example of adaptive reuse: reducing the pressures on landfill by diverting it toward the generation of clean energy,” he said.
CEFC Energy from Waste lead Henry Anning said the CEFC is pleased to play a role in demonstrating the business case for large-scale waste to energy investments in Australia in the future.
“Australians produce almost three tonnes of waste per person per year. While the priority is always a strong focus on recycling and organic waste management, there is still a considerable amount of household waste from red-lidded bins ending up as landfill, where it produces a large amount of emissions,” Mr Anning said.
“Energy from waste investments such as the Kwinana plant are about creating new clean energy opportunities for Australia, while offering councils and households a practical and innovative way to manage waste. Just as importantly, they can significantly cut methane emissions produced by landfill.”
With the addition of the Kwinana facility, the CEFC has now made six large scale investments to reduce waste-related emissions.
The proposed plant would generate both steam and electricity which can be directly in the paper mill or exported to the grid. It would replace two gas-fired boilers and would produce around 30 megawatts of electricity and 150 tonnes of steam per hour.
The EPA’s assessment of the applications will consider issues such as best practice technology, energy efficiency and greenhouse gas emissions, waste fuel composition, compliance with waste hierarchy, potential risks to human health and the environment from air, noise, disposal of fly ash, wastewater treatment and operational contingencies.
It follows a community public meeting held earlier in July, which found there was significant support for the proposals, with many submitters commenting the technology is already operating safely overseas, there are environmental benefits of less waste going to landfill and economic benefits of local job creation.
EPA Development Assessments Director Tim Faragher said the works approval application was originally open for public comment in June and EPA received 115 submissions.
“EPA also ran a community conference in July to hear concerns from those that made submissions. This further consultation period allows interested community members to make further comments on the new information that Australian Paper has submitted,” Mr Faragher said.
When making a final determination, the EPA will also consider all public submissions and the outcomes of the community conference.
Biojet fuel company Fulcrum plans to open a waste to energy facility in the US that will convert municipal waste into a low carbon, renewable jet fuel.
The facility will use research developed by oil and gas company BP and chemical company Johnson Matthey (JM), which convert synthesis gas generated from municipal solid waste into long-chain hydrocarbon molecules that make up diesel and jet fuels.
Fulcrum has secured the license to the technology and expects to convert 159,000 tonnes of municipal waste into 41.6 million litres of fuel each year, the equivalent of more than 180 return flights between London and New York.
BP’s head of group research Angelo Amorelli said BP first became interested in the technology, called Fischer-Tropsch (FT), in the 1980s while looking to turn gas into liquid fuel.
“The breakthrough came five or so years ago, when we started to explore the potential for our FT process to turn biomass into fuels,” Mr Amorelli said.
He explains that JM redesigned the reactors which looked like baked beans cans filled with the catalyst, creating ‘cans tech’.
”BP then changed the recipe for the catalyst and, by combining that with the’ baked beans’ reactors, we trebled the productivity and halved the cost of building the technology compared to traditional FT reactors,” he said.
REMONDIS Australia has announced its intention to develop a $400 million waste to energy (WtE) facility at its Swanbank landfill in Queensland.
The company has advised the state government that it will make an application to develop the recovered energy through the State’s Coordinated Project process, with the project expected to begin construction in 2020.
The proposed plant aims to generate 50 megawatts of baseload electricity for Queensland households and business by redirected 300,000 and 500,000 tonnes of waste from landfill per year. This energy would be able to power 50,000 average homes and be available every day of the year.
REMONDIS Group has operated and built WtE plants for 24 years and operates 52 facilities which recover more than 4.2 million tonnes of waste per year in Europe.
REMONDIS Australia General Manager QLD Operations and Business Development Bret Collins said the WtE proposal does not rely on additional waste streams coming to the Swanbank site – instead it will divert existing waste streams to a beneficial use.
“REMONDIS has been encouraged by recent comments from governments across Australia that WtE technology could provide some relief to the challenges facing the waste management and recycling industry,” Mr Collins said.
“There is an opportunity for Australia to benefit from REMONDIS’ global experience, and other successful European and UK facilities, and incorporate waste to energy as part of the solution to sustainable, best practice waste management.
“Adopting WtE technology will ensure that wastes with recoverable value are not sent to landfill and, instead, are put to beneficial use,” he said.
Mr Collins said that while Australians may not be familiar with WtE technology, it is used throughout Europe and considered a tried and trusted contributor to best practice waste management and energy generation.
“WtE plants are constructed to the strictest European Union environment, emission and health standards and this is the technology we would bring to Australia,” Mr Collins said.
“There are hundreds of WtE plants throughout Europe, the USA and Asia, and many are part of the fabric of suburbs and communities – there are WtE plants in Paris, London, Copenhagen, Cologne, Zurich, Vienna, Palm Beach and Singapore, just to name a few.”
Infrastructure and Planning Minister Cameron Dick welcomed the news and said it establishes Queensland as a major player in the waste‑to‑energy market.
“The introduction of our government’s waste levy provides a real incentive for projects like this, building a new industry as an alternative to landfill,” Mr Dick said.
“This project could create up to 200 jobs during construction and some 70 jobs during operations.”
Mr Dick said REMONDIS Australia is expected to submit an application to Queensland’s independent Coordinator-General to declare the project a ‘coordinated project’.
“If the Coordinator-General decides to declare this project a coordinated project it will help streamline approvals and fast-track delivery of this significant project,” he said.
“A coordinated project approach also means that all the potential impacts and benefits of the project are considered in an integrated and comprehensive manner.”
Resource Resolution has proposed to use the Biogass Renewables AD system, which is currently used in Perth, WA. It is estimated that the bioenergy operation will process 23,382 tonnes of dairy, 3,475 tonnes of food products, 2,421 tonnes of fruit and vegetables and 722 tonnes of supermarket and grocery waste.
EPA Victoria’s assessment of the application will consider best practice technology, energy efficiency, greenhouse gas emissions and waste composition. It will also assess any potential risk to human health and the environment, including from emissions to air, noise, disposal of digestate, the waste water treatment system and operation contingencies.
An application for an amendment to the current planning permit is currently under assessment by Campaspe Shire Council.
Works approvals are required for industrial and waste management activities that have the potential for significant environmental impact.
The largest resource recovery and Processed Engineered Fuel (PEF) plant in Australia has been unveiled at Wetherill Park in Sydney.
Owned in a joint venture between resource recovery company ResourceCo and Cleanaway, the plant is licensed to receive up to 250,000 tonnes a year of dry commercial and industrial, and mixed construction and demolition waste, to recover commodities including metal, clean timber and inert materials, with the balance converted into PEF.
Over its lifetime, the plant is expected to abate more than four million tonnes of carbon emissions.
Cleanaway’s customer base and waste supply in NSW will help drive volume to the facility to divert waste from landfill.
PEF is used as a substitute for fossil fuels in both domestic and offshore markets in the production of cement.
The plant will supply Boral, Australia’s largest construction material company, with PEF for its Berrima cement kiln as a substitute for coal.
Chief Executive Officer Sustainable Energy at ResourceCo Ben Sawley said the new plant will divert up to 50,000 truckloads of waste from landfill, while also reducing reliance on fossil fuels such as coal and gas.
“It will replace over 100,000 tonnes of coal usage per year alone and will take the equivalent of 20,000 cars annually off the road in terms of greenhouse gas emissions,” Mr Sawley said.
“We’re committed to playing a key role in Australia’s future sustainable energy mix, by reducing waste and lowering carbon emissions through production of a commercially viable sustainable energy product,”
“The opportunity to tap further into this market is huge and it makes good sense, both environmentally and economically,” Mr Sawley said.
Cleanaway Chief Executive Officer Vik Bansal said this is an important new resource recovery solution in New South Wales that creates a landfill diversion option for commercial and industrial, residual recycling, and some construction and demolition waste.
“Investment in resource recovery and innovative waste to energy solutions is essential to making a sustainable future possible, and one of the ways we’re delivering on our Footprint 2025 strategy,” Mr Bansal said.
CEFC CEO Ian Learmonth said the priority in managing waste must be to reduce the amount waste produced in the first place.
“With what remains, we need to invest in proven technologies to repurpose it, including as alternative fuels. By turning waste into PEF, this facility is showing how industrial processes can reduce their reliance on fossil fuels,” he said.
“We can also reduce the amount of waste materials going into landfill, an important factor in cutting our national greenhouse gas emissions,” Mr Learnmouth said
CEFC Bioenergy and Energy from Waste Sector lead Henry Anning said the CEFC was working with the waste management sector to increase energy efficiency and energy generation, as well as reduce carbon emissions.
“With Australia’s waste sector facing considerable disruption, now is the time to adopt new ways of doing business,” Mr Anning said.
“With the right investment in proven technologies, companies can turn our urban and industrial waste into new energy sources, creating an important revenue stream while also reducing landfill gas emissions.
“In Australia there is a growing commercial opportunity for resource recovery, reinforced by tightening state government landfill regulations. We are working alongside waste companies to invest in long-term infrastructure that can make a lasting difference to the way we handle our waste,” he said.