MARKETS

BGC clinches waste-to-energy contract

PHOENIX Energy Australia has nominated local company BGC Contracting as the preferred engineering, procurement and construction contractor for its proposed $400 million Kwinana Waste to Energy project in Western Australia.

Haydn Black

More than five years in development, the Kwinana project will be the first of its kind in Australia, integrating the disposal of waste with the generation of energy to provide a practical solution to two community challenges: waste disposal and renewable energy supply.

The plant is expected to generate 32 megawatts of electricity per annum using proven technology supplied by leading international companies Mitsubishi and Germany’s Martin.

After winning environmental approvals in February 2015, Phoenix says engineering design is nearing completion, and once a final investment decision is made it will kick off a three year construction project that will generate 800 jobs with 60 operational jobs at the plant once the plant is complete.

Phoenix Energy managing director Peter Dyson said that BGC had been selected for the EPC contract due to its “expertise, strong track record of delivering projects and local presence”

BGC CEO Greg Heylen said the appointment as preferred EPC contractor recognised the company’s ongoing transition into new markets and sectors.

“Given the recent decline in the mining sector, our selection stands testament to our expanded service offering which is a key platform for our diversification strategy. We look forward to delivering this important renewable energy project of the future, whilst building a strong, ongoing relationship with Phoenix Energy,” Heylen said.

Phoenix intends to commence work at its Leath Road site within the next few months.

It has a 20-year waste supply agreements with both the Rivers Regional Council, representing six local councils and the City of Kwinana for post-recycling waste of up to 400,000 tonnes per annum.

Phoenix said it should be able to significantly reduce reliance on landfill disposal of household waste and deliver a step change toward the state government’s diversion target.

“Unlike solar and wind generation, waste to energy plants are a unique source of continuous renewable energy, reflecting the fact that every week households are producing material for both recycling and combustion,” Phoenix claims.

The company says that the average bin places for weekly collection contains enough waste to produce up to 14% of a household’s weekly power needs.

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