The North London Waste Authority (NLWA) has invited three bidders to develop detailed solutions for its waste treatment contract and its waste fuel use contract, which are continuing despite the withdrawal of £258.4m Government PFI investment last year.
The final three bidders for the waste treatment project are FCC Skanska (a consortium of Formento de Construcciones y Contratas SA and Skanska Infrastructure Development UK), Veolia ES Aurora and SITA/Lend Lease (a consortium of Sita UK Ltd and Catalyst Lend Lease).
The procurement will include sustainable waste facilities, the production of solid recovered fuel, using mechanical biological treatment technology and a second contract for energy generation from the use of the fuel.
NLWA chair Cllr Clyde Loakes said: “We are very pleased with the excellent market response to our procurement. The outline solutions we have received demonstrate good prospects of meeting our recycling ambitions, and diverting waste from landfill, at a lower cost than we had expected. This is good news for the council taxpayers of North London.”
A preferred bidder for the contract is expected to be announced next year, and to reach financial close in March 2013.
Meanwhile, those shortlisted to use the SRF are Covanta Energy, E.On Energy from Waste AG with Wheelabrator Technologies and Veolia ES Aurora.
Loakes added: “The NLWA has taken an innovative approach to seeking a smart energy solution involving the creation of a refined fuel, allowing the energy opportunity to be moved to where industry has an energy demand, and providing a sustainable transport solution.”
The NLWA manages 900,000 tonnes of municipal waste per annum from the London Boroughs of Barnet, Camden, Enfield, Hackney, Haringey, Islington and Waltham Forest.