Western Australia’s commercial, industrial, and household waste will be reportedly converted into sufficient energy to power nearly 50,000 houses with the help of a $668 million renewable energy project. As per trusted sources, the Kwinana project will be co-developed by a consortium of the Dutch Infrastructure Fund, Phoenix Energy Australia and Macquarie Capital, partly funded by a $23 million grant provided by the Australian Renewable Energy Agency.
According to sources familiar with the development, household, commercial and industrial wastes up to 400,000 tons will be shifted from landfills to be thermally treated and converted into steam to produce electricity. The leftover ash will be utilized to manufacture construction materials.
Reportedly, the Kwinana project is expected to lower carbon dioxide emissions by 200,000 tons a year, which is as equivalent to taking 43,000 cars off the road. The plant’s capacity of 36 megawatts will also contribute to the grid’s stability in Western Australia’s South West Interconnected System.
Sources reported the City of Kwinana to have signed a contract with Phoenix back in December 2013 and to have agreed to a new deadline for the consortium to reach financial closure. Rivers Regional Council, which includes the cities of Armadale, Mandurah, Gosnells, shires of Murray, South Perth, Serpentine Jarrahdale and the City of Canning, have reportedly signed 20-year waste supply agreements.
Construction on the Leath Road facility is set to commence later this month, with completion anticipated by 2021. Over 800 job opportunities will be available and 60 people will be hired to operate the facility through Veolia under a 25-year agreement.
DIF will reportedly have a 60 percent stake in the project through two of its funds. Marko Kremer, DIF’s Managing Director even described it as a landmark facility. European countries have always embraced waste to energy, which has proven to deliver its benefits in managing waste and contributing to a secure and sustainable energy supply, Kremer added.