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Powerday commences new RDF export contract to Sweden with Geminor

Powerday has announced that it has commenced a new contract with Geminor for the export of 170 000 tonnes of high grade refuse derived fuel (RDF) to Sweden.

Fortum's waste-fired combined heat and power (CHP) Högdalen plant can treat up to 700 000 tonnes of waste per annum (photo courtesy Fortum).
Fortum’s waste-fired combined heat and power (CHP) Högdalen plant in Stockholm, Sweden can treat up to 700 000 tonnes of waste per annum (photo courtesy Fortum). Fortum's waste-fired combined heat and power (CHP) Högdalen plant can treat up to 700 000 tonnes of waste per annum (photo courtesy Fortum).

Powerday, one of the largest waste management and recycling companies operating in London, UK has announced that it has commenced a new supply contract with Norway-headed Geminor, one of northern Europe’s largest supplier of waste derived fuels to waste-to-energy plants, for the export of 170 000 tonnes of high grade refuse derived fuel (RDF) to Sweden.

Powerday produces these fuels at the company’s Old Oak Sidings and Enfield Materials Recycling Facilities and then loads them for transfer. In this contract with Geminor, the material is taken to Sheerness Port then by utilising ‘dead leg’ sea freight return journeys the material is shipped to Oxelösund Port in East Sweden. It is then supplied as needed to Fortum’s Högdalen energy-from-waste (EfW) combined heat and power (CHP) facility in Stockholm, Sweden.

It is then supplied as needed to Fortum’s Högdalen energy-from-waste (EfW) facility in Stockholm, Sweden for which Powerday will supply approximately 30 percent of the fuel requirement. Powerday has been working with Geminor since 2015 and has carried out extensive testing which included a trial of 8 000 tonnes through the summer of 2016.

– Powerday produces a high quality RDF which suits the Fortum plants’ specification, so we are delighted to have agreed this new contract which ensures that our clients’ non-recyclable materials otherwise bound for landfill are used to maximum benefit, said Mick Crossan, Chairman for Powerday in a statement.

UK landfill tax hikes

The agreement comes as the landfill tax charge in England hit £86.10 (≈EUR 100.33) per tonne on April 1 and will rise again next year to £88.95 (≈EUR 103.66). This charge, along with the landfill operators’ fees and transport costs, has driven disposal costs over recent years to levels in excess of £110 (≈EUR 128.18) per tonne.

As a result, this has created the environment where waste management companies have invested in processing capability to both recycle materials from mixed waste streams and create fuels from the residues of this process, materials that would otherwise be lost to expensive landfill sites.

Sweden is a leader in energy-from-waste (EFW) having made decisions as far back as the 1950s that lead to combined heat and power facilities being built close to Sweden’s largest cities. The UK, on the other hand, currently lacks EfW capacity so much of the country’s RDF is exported to mainland Europe, currently in the region of 3.5 million tonnes per annum.

– The size and scope of this project is incredibly exciting for Geminor. Refined RDF is so-called because it is processed to a greater extent, creating a cleaner fuel with less residues. This contract helps Powerday to deliver long term sustainable end markets for their clients and represents a significant contract for Geminor, said James Maiden, Country Manager at Geminor UK.

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