Covanta to Upgrade Essex County WtE Facility

September 13, 2012 By Paul Nastu

Covanta Energy Corporation plans to spend $75 to $100 million to upgrade the Essex County Resource Recovery Facility, which it operates in Newark. The facility processes 2,800 tons of municipal solid waste per day into approximately 65 megawatts of energy — enough to power approximately 45,000 homes.

New arrangements with the Port Authority, which go into effect on January 1, 2013, give Covanta control of the facility through at least 2032, with options through 2052. They also pave the way for Covanta’s investment in significant operational improvements, including a state-of-the-art particulate emissions control system and a new recycling system for ferrous and non-ferrous metals.

The facility upgrades are part of a series of agreements between Covanta, the Port Authority and the New York City Department of Sanitation relating to facility operations. Under this new 20 year contract, New York City will continue to utilize about half of the facility’s sustainable disposal capacity. Going forward, Covanta will provide disposal services for all customers on a tip fee basis.

Covanta’s total investment will be approximately $75 to $100 million.

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