Scottish and Southern Energy and Carbon Trust Enterprises have announced a new joint venture to support InSource Energy, a bio-waste to energy business created by the Carbon Trust.
Scottish and Southern Energy (SSE) has agreed to invest up to GBP2.7 million to acquire up to 40% of InSource Energy, plus up to a further GBP10 million to fund the company’s projects as it enters its next phase of development.
InSource Energy was created by Carbon Trust Enterprises, a subsidiary of the Carbon Trust, to develop the commercial waste to energy market in the UK. InSource Energy is initially focusing on six sectors of the UK food industry, which currently produce around 5.6 million tones of biodegradable waste a year.
It can develop, build, finance, own and operate waste to energy systems, allowing businesses to outsource waste and energy processes while benefiting from financial and carbon savings. It also offers an independent service that assesses the best fit technology for each customer’s needs. The initial projects will provide on-site anaerobic digesters to break down the food waste into methane, which will be captured and used to generate electricity and heat.
Ian Marchant, CEO of SSE, said: The disposal of waste in the UK is increasingly difficult. At the same time, waste provides an alternative and localized source of UK-derived fuel. This investment will enable SSE to become an active participant in a new, sustainable and opportunity-rich sector of the UK’s energy industry.
Tom Delay, CEO of the Carbon Trust, said: InSource Energy is another example of how Carbon Trust Enterprises is developing exciting low carbon businesses and bringing opportunities for co-investment to the market. Waste to energy technology offers great potential to cut carbon emissions and our aim is to accelerate the deployment of on-site facilities across the UK. Our partnership with Scottish and Southern Energy on InSource Energy is a vital step in this process and we are delighted to be working with them on this venture.