AmeyCespa has been named as the preferred bidder for the North Yorkshire and York joint residual waste private finance initiative contract (PFI).
The company has proposed plans to build a waste recovery park with a capacity to treat 320,000 tonnes of waste each year. It will be situated at Allerton quarry and landfill.
It will treat mainly household waste from York and North Yorkshire, but there will be some waste from local shops and businesses treated there too.
“Evaluating the tenders received for this contract has been a very long and careful process with set evaluation criteria to achieve a sustainable waste management solution which is both affordable and environmentally acceptable,” said City of York Council director of city strategy Bill Woolley,.
Allerton waste recovery park will include a facility which mechanically sorts and reclaims 20,000 tonnes of recyclable materials left in the residual waste each year. An anaerobic digestion facility will be used to treat the garden and food waste and generate electricity. An energy from waste facility will also be built to produce enough electricity to power 40,000 homes.
Woolley added: “We have a target to divert 75% of household waste from landfill and this proposal offer us this and more - and we are confident that we can also now look at reaching a recycling and composting rate of 50% - well before our 2020 target date.”
The local authorities calculate that the PFI contract will save them £320 million on waste management costs over the next 25 years.
Consultations with the public and stakeholders are now taking place before the council approves the award of the long-term waste management contract his autumn. The plant is expected to be operational by 2014.