As per the 15-year deal, GDF SUEZ Energy will buy the renewable electricity and Levy Exemption Certificates (LECs) generated by the plant.

Set to be established at Severnside, South Gloucestershire, the facility is scheduled to open in 2016. It will have a waste processing capacity 400,000 tons per year.

GDF SUEZ Energy UK-Europe president and CEO Steve Riley said, "This is our third PPA with SITA UK, a sister company within the GDF SUEZ Group.

"It underlines our shared commitment to sustainable energy development in the UK, as well as the abilities of the GDF SUEZ Group to meet the different needs of UK customers across the energy chain."

Earlier, the company signed PPAs for SITA UK’s EfW projects, including a 17.6MW scheme at Billingham on Teesside and a 16MW project, which is scheduled to go onstream in 2016, at St Dennis in Cornwall.