Grundon invests in new food waste processing facility

Grundon has joined forces with Anaerobic Digestion (AD) specialist Agrivert, recognised as one of the UK’s leading design, build and operate AD companies, in a deal which provides funding for Agrivert’s third AD plant.

Grundon will provide £5 million in the form of a shareholder loan and take an equity stake in a new joint venture company – Agrivert West London Ltd – which has been set up specifically to operate the new facility. Grundon will be represented on the board of the new company by Clayton Sullivan-Webb. The remainder of the funding for the £11m total price tag for the development is already in place.

Construction has already begun on the new plant, which is being built at Trumps Farm in Surrey. It is expected to be fully operational by Spring 2014 and when commissioned, will be capable of processing 50,000 tonnes of food waste and generating 2.3MW of renewable electricity, enough to supply around 4,000 homes.

Anaerobic Digestion is the Government’s preferred recycling treatment solution for food waste and the new plant will target local waste from Surrey and surrounding areas, processing both municipal and commercial waste.

This investment marks a major drive into the food waste market by Grundon, coming as it does on the back of recently introduced food waste collection services and the inclusion of a dedicated food waste bay at the new Colnbrook Transfer Station.

Currently, food waste collected by Grundon is typically processed at one of Agrivert’s two existing AD plants at Cassington and Wallingford in Oxfordshire, where it is broken down into Biofertiliser and also used to produce Biogas, used as a fuel for the production of electricity and/or heat. Having an AD facility closer to London means Grundon can further extend the service it provides.

Neil Grundon, Deputy Chairman said: “Since the launch of our food waste collections we have already seen volumes increase from 2,000 tonnes per annum (tpa) to over 6,000 tpa and this will increase further as we are expecting to supply a significant quantity of feedstock to the new plant. We look forward to working even more closely with Agrivert and to sharing in the rewards of this exciting new venture”.

image of site for anearobic digestion facility
Neil Grundon, Deputy Chairman, and Harry Waters, Agrivert’s Commercial Director inspecting progress at the Trumps Farm site in Surrey where construction of the new Anaerobic Digestion facility is already underway
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