German incineration giant targets UK work

Germany's third largest operator of incineration plants for municipal waste is targeting the UK because it considers there “are good opportunities” in the local authority sector.

And the new arrival, MVV Umwelt, has also warned that MBT processes may not be the answer for councils in treating residual waste and predicted that local authorities could get “bargains” from suppliers in the energy sector because of growing competition.

MVV Umwelt is part of the Mannheim-based MVV Energie Group, and it will be offering combined heat and power facilities and what the company describes as “high-efficiency incineration plants”.

A statement from the company said that “MVV intends to become one of the major players in the UK EfW sector. The focus is on developing a UK-based company that can grow through PFI projects, acquisitions and merchant plant, sharing best practice with its German parent.”

Speaking to letsrecycle.com, Paul Carey, managing director of newly created MVV Environment Ltd – which will be the UK arm of the company – said: “We are pleased to announce the launch of our operations in the UK. MVV has a proven track record and can bring something new to the UK waste management debate. Our aim is to build a company that has the reputation, technology and skill-set to compete for major contracts across the country.”

Holger Franke, head of development for MVV Umwelt in Germany said: “We are delighted to have Paul Carey leading MVV in the UK. His experience will help MVV expand to become one of the top UK EfW companies, also allowing for the further spread of ideas and innovation in tackling the issue of waste”.

Mr Carey has knowledge of the UK market having until early this summer been working as WRG's business development director for energy from waste.

The UK arm of MVV Umwelt is already on the initial lists for several UK municipal contracts, he said, although details are not being disclosed.

Mr Carey explained that the company recognised that new incinerators need

ed to recovery more energy. “We are into high efficiency plants and there is a lot of pressure to improve the energy recovery aspects of incinerators. CHP is the way forward. For us energy recovery is very much the way forward. MBT has been and gone in Germany and has not always worked. Thermal recovery is clearly now seen as the way forward.”

Bargains

Local authorities could also benefit from the increased competition in the UK for contracts, said Mr Carey. “There are lots of new players coming into the municipal waste marketplace – councils will get some bargains as people want to win. When you look at the market compared to two years ago, there are at least five new players.”

In Germany MVV has contracts with 25 municipalities and districts in five federal states to manage and dispose of the waste for a population of more than 4.3. I

ts flagship plant at Leuna, in eastern Germany, has been expanded, and together with other facilities such as those at Mannheim and Offenbach, MVV now has the capacity to deal with 1.6 million tonnes of waste per year.

MVV's three EfW plants have established CHP and district heating off-take facilities.