Financial close reached on South Clyde Energy-from-Waste plant
Green Investment Group (GIG) and Fortum have reached financial close on the South Clyde Energy-from-Waste Plant.
The organisations are 50/50 shareholders in the project and have now made initial funding commitments to deliver the c.45MWe gross plant in Glasgow.
AFRY, in co-operation with AFRY Solutions UK Ltd and AFRY Finland Oy, will act as an engineering, procurement and construction management consultant (EPCM) to the project, providing services from site supervision throughout the construction and start-up of the project.
By aiming to treat up to 350,000 tonnes of residual, non-recyclable waste every year, the plant is expected to play an important role in helping deliver the Scottish Government’s ban on household waste entering landfill by the end of 2025. When compared to landfilling, the plant is expected to reduce greenhouse gas emissions by 67 kt CO2e per annum, and utilising the latest technology, it will be heat offtake enabled. The plant also has the potential to be retrofitted with carbon capture and storage (CCS) technology in the future, aligning it with the requirements Scottish Government’s Climate Change Plan.
GIG is a specialist green investor within Macquarie Asset Management (MAM). It has supported more than 20 Scottish green projects since 2012 to power Scotland’s homes and businesses with renewable electricity, improve the country’s energy efficiency, and help to avoid Scottish waste from being sent to landfill.
Chris Archer, co-head of GIG Europe, said: “Scotland’s landfill ban is a central pillar of its strategy to deliver a circular economy. GIG is committed to helping deliver the ban by providing the infrastructure required to treat residual, non-recyclable waste domestically. Heat offtake enabled and with CCS retrofit potential, the South Clyde Energy-from-Waste plant expects to play an important role in tackling Glasgow’s, and Scotland’s, waste challenge.”
Kalle Saarimaa, vice president of Fortum Recycling and Waste, added: “Building on our existing presence in the UK market and existing infra services, this is an excellent opportunity for Fortum to leverage its competence and enter UK’s energy-from-waste market. The market is in an interesting development phase and will over time offer potential for further investments in the energy-from-waste. The wider entry to the UK also enables us to look into the market potential for our other strategic growth areas, such as recycling of batteries and EfW ash recycling.”