Covanta Announces 10 Year Agreement To Operate The Harrisburg Energy-From-Waste Facility

Fairfield, NJ - Covanta Holding Corporation recently announced it has entered into a ten year agreement with the Harrisburg Authority to maintain and operate their 800 ton per day Energy-from-Waste facility located in Harrisburg, Pennsylvania. The facility is capable of generating over 24 MW of clean renewable electricity and also has the ability to sell steam. With this agreement Covanta now operates 32 Energy-from-Waste facilities domestically, further strengthening the company's industry leading position.

"As a world leader in developing, building and operating Energy-from-Waste facilities, we are committed to using our expertise and corporate resources to optimize the facility's performance," said Anthony Orlando, Covanta's Chief Executive Officer. "Covanta has a proud tradition of working in partnership with municipal clients to operate Energy-from-Waste facilities as part of an integrated waste management solution. We are very excited to include the Harrisburg Authority among our clients and we look forward to a positive relationship with the Harrisburg community for many years to come."

Under the agreement, Covanta will earn a base annual service fee of approximately $10.5M, which is subject to annual escalation. Further, Covanta receives incentive fees to increase facility production, which will reduce the Authority's waste disposal cost. Covanta has also entered into a Construction Management Agreement with the Authority to manage and provide funding for certain facility improvements required to enhance facility performance. These new agreements will become effective when certain condition precedents occur which is expected within 60 days.

SOURCE: Covanta