Posted: Friday 15th May 2015

Kelda Organic Energy Ltd (Kelda), a subsidiary of the Bradford-based company Kelda Water Services Ltd, has signed an £89m Organic Waste Treatment contract to help the Welsh Government meet its 2050 “Zero Waste” target.

Working with Cardiff and the Vale of Glamorgan Councils, Kelda will design, build, finance and operate two state-of-the art recycling facilities. Over the length of the 15 year contract, the facilities will recycle up to a million tonnes of kerbside collected food and garden waste.

The project will create 50 jobs, with a further 15 jobs created during the lifetime of the contract. It will also support local industry by delivering renewable energy to Dŵr Cymru Welsh Water.

An Anaerobic Digestion plant will be built to process 35,000 tonnes of discarded food waste collected by Cardiff and the Vale of Glamorgan Councils each year. Plus, an Open Windrow Composting plant to process 38,000 tonnes of garden waste collected annually by both councils.

Kelda’s Commercial Director, Tom Hall, said: "We are delighted to sign this long- term contract with Cardiff and the Vale of Glamorgan councils. Construction will begin this summer and we hope to have both sites fully operational by early 2017. We look forward to further increasing recycling rates and supporting the Welsh Government in its ‘Zero Waste’ aspirations.”

The Anaerobic Digestion facility has been developed by Kelda working closely with Welsh Water. Located at the utility company’s Cardiff Wastewater Treatment Works, the renewable energy produced by the Anaerobic Digestion process is equivalent to powering approximately 4,000 homes. This will be used by Welsh Water to offset their need to import energy from the grid.

Mike Pedley, Dŵr Cymru Welsh Water’s Head of Energy, said: “This is the latest development in our ambitious programme to reduce our carbon footprint and reduce our reliance on Grid electricity. Furthermore, the project would also benefit customers by reducing our overall operating costs so that we can keep bills low and as affordable as possible.”

Councillor Bob Derbyshire, City of Cardiff Council cabinet member for Environment, said: “The signing of the contract with Kelda signifies a new 15-year partnership between Kelda, the City of Cardiff Council and the Vale of Glamorgan Council to deliver innovative ways to treat organic waste. This contract is a reinforcement of our commitment to meet the statutory Welsh Government (WG) targets as we work towards their ‘Zero Waste’ goal for 2050.”

Operational Manager for Waste Management at Vale Council, Clifford Parish, said: “We are delighted to be able to work in partnership with the City of Cardiff Council to deliver the organic waste treatment facilities. The facilities are a demonstration of our shared commitment to reducing waste, recycling and sustainability.”

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