The waste-powered thermoelectric plant will consume about 300 tons of waste per year and feed more than 320 people
Orizon Valorização de Residues won the A-5 new energy auction, held by the Ministry of Mines and Energy, for the generation of electricity from urban solid waste, and Barueri will receive the first thermoelectric plant powered by garbage in the region. It is a huge initiative by the company to combat the energy crisis in the country with a clean, renewable and highly efficient matrix.
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Thermoelectric powered by garbage will use the Waste to energy model” as a working standard
The first Energy Recovery Unit in Latin America, in the “Waste to energy” (WTE) model, will be implemented in Barueri (SP), by the subsidiary URE-BA. The company will be able to generate energy for the consumption of 320 people, using 300 tons of urban solid waste per year. There will be 20 MWe of installed power, generating 140,1 GWh/year for sale. WTE is recognized as an alternative for waste treatment in large urban centers, where there are no longer large areas available for the installation of sanitary landfills.
This will be the first enterprise to adopt a solution that will contribute to the construction of the “Positive Waste Cycle”, transforming environmental liabilities into a source of renewable energy generation. It will be the first unit in the country to comply with the premises of our National Solid Waste Policy, complementing an entire recycling process.
The generation cost will be R$ 549 per MWh (megawatt-hour), a discount of 14% in relation to the ceiling foreseen in the competition. The value is equivalent to that of the last natural gas thermal plant to start operating in the country, GNA 1, in the north of Rio de Janeiro, which receives R$ 552 per MWh generated.
In the midst of the energy crisis MME holds its first auction with the possibility of participating in generation projects powered by urban solid waste
“It represents an extremely relevant contribution, especially in this scenario of energy crisis with a clean, renewable and highly efficient matrix, since it is close to large urban centers”, said the company's CEO, Milton Pilão, in a note.
The generation of energy from garbage currently has a marginal participation in the Brazilian energy matrix, but the sector expects great growth after the approval of the new framework for basic sanitation, which also provides for concessions for the management of garbage in cities.
According to Abetre (Brazilian Association of Waste and Effluent Treatment Companies), Brazil generated 79 million tons of urban solid waste in 2019, a volume with the potential to produce enough energy to supply the entire state of Pernambuco. “The result is in line with our objective of modernizing the Brazilian park and replacing more expensive plants with cheaper projects”, said the president of the CCEE (Electric Energy Commercialization Chamber), Rui Altieri.
The government holds two more energy auctions this year. The first, in October, will hire thermal plants to operate for a period of five years, as an emergency measure to recover the hydroelectric reservoirs.
About a company
Orizon's central strategy is to extract more and more value from the millions of tons of garbage that arrive at its so-called 'ecoparks' — either by transforming them into biogas and generating energy from it, increasing the percentage of recycling and reuse of materials or even selling carbon credits.
