SUEZ ENVIRONNEMENT - SUEZ ENVIRONNEMENT and its Partners Selected as Preferred
Bidder for 30-years €1.4 Billion Resource Recovery Contract with Merseyside
Recycling and Waste Authority
PARIS, April 19, 2013
PARIS, April 19, 2013 /PRNewswire/ --
SITA SEMBCORP UK, a consortium led by SITA UK, a subsidiary of SUEZ
ENVIRONNEMENT, has been selected as preferred bidder for a resource recovery
contract worth €1.4 billion^ over 30 years with the Merseyside Recycling
and Waste Authority. The other consortium members are Sembcorp Utilities UK
and I-Environment, which is a wholly owned subsidiary of Itochu Corporation.
The contract is to manage over 430,000 tonnes of residual household waste each
year from Merseyside and Halton. It includes the design, build, finance and
operation of two key facilities which both have planning permission in place:
a rail loading waste transfer station in Merseyside and a new purpose-built
energy-from-waste facility in Teesside. Total capital investment for the two
facilities will be around €295 million. Both key facilities are expected to be
operational by 2016. In total, 75 permanent new jobs will be created by the
contract with hundreds more temporary jobs during the construction of the two
The rail loading waste transfer station will be developed at an existing
rail-linked warehouse in Knowsley Industrial Estate. From here, waste will be
transported by rail to the new 450,000 tonnes per year energy-from-waste
facility, which will be developed on a rail linked site at Wilton
International - a 2,000 acre industrial estate managed by Sembcorp Utilities
UK near Redcar on Teesside.
The new energy-from-waste facility will generate electricity for the
equivalent of 63,000 homes and has the potential to provide steam directly to
adjacent business customers, which would further improve its efficiency. In
total, over 90 per cent of the contract waste managed by the SITA Sembcorp UK
consortium will be diverted from landfill and used to produce energy.
Jean-Louis Chaussade, CEO of SUEZ ENVIRONNEMENT, said: "We are delighted that
the Merseyside Recycling and Waste Authority has selected the SITA Sembcorp UK
consortium as preferred bidder for this important contract. SITA UK has a
strong record of achieving financial close quickly and delivering the new
waste management infrastructure that is needed by local authorities in the UK.
This new contract fits well with SUEZ ENVIRONNEMENT's policy to develop new
waste recovery facilities and fits with the UK's government aspiration to
reduce the amount of waste going into landfill."
Cllr Joe DeAsha, Chairperson of Merseyside Recycling and Waste Authority said:
"The appointment of SITA Sembcorp UK as our Preferred Bidder marks the
beginning of an important chapter in the way Merseyside and Halton deals with
its resources. I believe that the solution we have chosen is the best for the
environment - saving natural resources, generating green electricity and
providing value for money for taxpayers."
Carl Beer, Chief Executive of Merseyside Recycling and Waste Authority said:
"We are extremely pleased to have progressed to this stage. I'm confident that
we can now work towards putting our plans in place and concentrate on
providing future generations in Merseyside and Halton with an effective and
sustainable waste solution."
SITA UK has developed a number of PPP (Public Private Partnership) contracts
across the UK including: Surrey, South Gloucestershire, Kirklees, Cornwall,
Northumberland, Aberdeen, the Isle of Man and Teesside. In September 2010,
SITA UK signed a PFI contract with Suffolk County Council worth €1.2 billion
over 25 years. In April 2011, SITA UK signed a PFI contract with the South
Tyne and Wear Waste Management Partnership worth over €850 million (€1.3
billion including third party waste and sale of electricity). And in April
2013, SITA UK and Cornwall Council agreed a PFI contract variation worth €1.3
billion of revenue. In the waste sector, this type of partnership was
developed to allow British local authorities to develop alternative waste
management facilities to landfill.
1. Total contract value is in excess of €2 billion with the addition of
revenues from the management of third party waste and sale of electricity.
SITA UK, a subsidiary of SUEZ ENVIRONNEMENT, is a recycling and resource
management company, generating environmental value, social value and economic
value from our nation's waste. The company delivers environmentally
responsible and increasingly innovative solutions for the public, local
government, industry and commerce, enabling our customers to reduce their
impact on the environment. SITA UK serves over 12 million people and handles
more than eight million tonnes of domestic, commercial and industrial waste
through a network of recycling, composting, energy-from-waste and landfill
facilities. SITA UK employs over 6,000 staff and has an annual turnover in
excess of £700 million.
Natural resources are not infinite. Each day, SUEZ ENVIRONNEMENT (Paris: SEV,
Brussels: SEVB) and its subsidiaries deal with the challenge of protecting
resources by providing innovative solutions to industry and to millions of
people. SUEZ ENVIRONNEMENT supplies drinking water to 96.6 million people,
provides wastewater treatment services for 66.3 million people and collects
the waste produced by 50 million people. SUEZ ENVIRONNEMENT has 79,550
employees and, with its presence on five continents, is a world leader
exclusively dedicated to water and waste management services. In 2012, SUEZ
ENVIRONNEMENT, a subsidiary in which GDF SUEZ has a 35.7% interest, generated
revenues of EUR 15.1 billion.
Merseyside Recycling and Waste Authority(formerly Merseyside Waste Disposal
Authority) is responsible for the disposal of municipal waste on Merseyside.
Established in 1986 following the abolition of Merseyside County Council, it
is a statutory Authority that works with all the local authorities on
Merseyside-Knowsley, Liverpool, Sefton, St Helens and Wirral. MRWA takes a
lead in advocating recycling, waste minimisation and safe and effective
disposal of waste for Merseyside's residents.http://www.merseysidewda.gov.uk
MRWA is a key partner in the Merseyside and Halton Waste Partnership which was
established in 2005. All members of the MHWP have responsibilities for
tackling the effective delivery of sustainable municipal waste management in
Sembcorp Utilities UKis a leading industrial energy,water and services
provider based at theWiltonInternational site near Redcar in North
eastEngland. The company, part of the Singapore-based Sembcorp Industries
Group, became the pioneer of biomass power production in theUKin 2007 when
the 35MW Sembcorp Biomass Power Station (also known asWilton10) came on
line. The plant uses around 300,000 tonnes of sustainably sourced wood a year
as its fuel.
Sembcorp Industriesis a leading energy, water and marine group operating
across six continents worldwide. With facilities with over 5,600MWs of gross
power capacity and over seven million cubic metres of water per day in
operation and under development, Sembcorp is a trusted provider of essential
energy and water solutions to both industrial and municipal customers. It is
also a world leader in marine and offshore engineering as well as an
established brand name in urban development. The Group has total assets of
over S$12 billion and employs over 9,000 employeesworldwide. Listed on the
main board of the Singapore Exchange, it is a component stock of the Straits
Times Index, several MSCI and FTSE indices as well as the Dow Jones
Sustainability Asia Pacific Index.
This press release is also available at http://www.suez-environnement.com
SOURCE SUEZ ENVIRONNEMENT
Contact: Media contacts: SUEZ ENVIRONNEMENT: Tel: +33-1-58-81-23-23; MRWA:
Colette Gill, Tel: +44(0)151-255-2527 firstname.lastname@example.org;
Analysts/Investors Contact: Tel: +33-1-58-81-25-95
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