Contract Extends Long-Term Partnership for an Additional 15 years
Crows Landing, CA --(Marketwire) - Covanta Stanislaus Inc., a subsidiary of Covanta Energy Corporation, (NYSE: CVA), the City of Modesto and the County of Stanislaus, California today announced an agreement that extends sustainable waste disposal services for the city and the county at the Covanta Stanislaus Energy-from-Waste facility. The agreement, which was approved by the Modesto City Council and the Stanislaus County Board of Supervisors runs from July 1, 2012 to June 30, 2027. The new contract provides predictable, sustainable waste disposal for the long-term and continues a successful partnership between Covanta, the City of Modesto and Stanislaus County.
"This agreement works to protect both the interests of the local community and our long-term relationship with Covanta," stated Monica Nino, Chief Executive Officer for Stanislaus County. "Stability of the contract and minimizing risk for the taxpayer was a major concern for the County and that is reflected through this agreement."
Since 1989, the Covanta Stanislaus Energy-from-Waste facility has been a critical component of the county's sustainable, integrated waste management system. The City of Modesto and Stanislaus County boast a world-class system that properly prioritizes recycling and relies on energy recovery for material that remains. A recycling rate of 61 percent is among the highest in the country and more than double the national average.
Under terms of the new agreement, the city and county will supply 243,300 tons of municipal solid waste per year to Covanta at a market-based rate.
"Covanta has had a long, mutually beneficial relationship with the City of Modesto and Stanislaus County so we are extremely pleased to continue our partnership," said Paul Stauder, Covanta senior vice president of business management. "The sustainable waste management system that the city and county have built over the years is a model for other municipalities to follow around the country. We are proud of our work to provide a critical component of that system at our Energy-from-Waste facility and look forward to serving the city and the county for many years to come."
Since its inception, the Covanta Stanislaus Energy-from-Waste facility has:
Recovering energy from waste after employing efforts to reduce, reuse and recycle is a critical component of managing residual waste. On average, for every ton of municipal solid waste processed at energy-from-waste facilities like Covanta Stanislaus, greenhouse gas emissions are reduced by the equivalent of approximately one ton of carbon dioxide emissions. This is possible due to the avoidance of methane from landfills, the offset of greenhouse gases from fossil fuel electrical production and the recovery of metals for recycling.
About Covanta Stanislaus
Covanta Stanislaus, Inc is a subsidiary of Covanta Energy Corporation, an internationally recognized owner and operator of large-scale Energy-from-Waste and renewable energy projects and a recipient of the Energy Innovator Award from the U.S. Department of Energy's Office of Energy Efficiency and Renewable Energy. Covanta's 45 Energy-from-Waste facilities provide communities with an environmentally sound solution to their solid waste disposal needs by using that municipal solid waste to generate clean, renewable energy. Annually, Covanta's modern Energy-from-Waste facilities safely and securely convert approximately 20 million tons of waste into 9 million megawatt hours of clean renewable electricity and more than 9 billion pounds of steam that are sold to a variety of industries. For more information, visit www.covantaenergy.com.
About Stanislaus County
Stanislaus County is a community of more than 500,000 people in the central valley of California. It is known for its vibrant agricultural economy, outstanding healthcare industry and abundant recreational opportunities. Its central location provides ready access to international trade and world class tourism destinations.
About the City of Modesto
Modesto is a vibrant city of more than 200,000 and is nestled conveniently in the heart of California. People choose Modesto as a place to raise a family, grow business and enjoy life thanks to its strong agricultural industry, top-notch entertainment and numerous festivals and celebrations.
SOURCE: Covanta Energy