The Waste and Resources Action Programme has awarded a £750,000 grant to anaerobic digestion business Lower Reule Bioenergy under its organics capital grant scheme.
A subsidiary of Lower Reule Farm, the firm is one of the first in England to receive funding from this programme.
Once built, the £3 million plant will divert more than 30,000 tonnes of food waste per year from landfill, generating electricity to supply more than 1,300 homes. It is planned to begin operation in late 2009.
WRAP director of retail and organics programmes Dr Richard Swannell said: This new plant will be providing renewable energy and a valuable resource to local agriculture as well as diverting food waste away from landfill. It will help both local authorities and businesses in recycling their food waste, reducing their environmental impact and potentially reducing costs.
The Staffordshire plant will be capable of processing household food waste from local authority recycling schemes and food waste from food producers, manufacturers and supermarkets, as well as the farms pig slurry. However, none of the food produced on the farm will be used to fuel the AD.
Lower Reule Bioenergy managing director Ian Critchley said: We are delighted to receive this funding from WRAP and extremely proud to be involved in such a sustainable enterprise.
The electricity will supply local homes and businesses and the heat will be reused in our strawberry tunnels to increase local food production yields, as well as other innovative emerging technologies.
Through the capital grant scheme, WRAP wants to help increase Englands capacity for diverting food waste from landfill to recycle into useful products. It provides grants to businesses setting up new plants, or expanding their existing facilities.