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.