Asia-Pacific
Primary Objectives
In the Asia Pacific region, Covanta is focused on the ownership, operation, and maintenance of Energy-from-Waste (EfW) facilities focused on China.
China
China currently has a favorable regulatory environment for the development of energy-from-waste projects. The country has a goal to increase the volume of waste disposed of via EfW facilities from one percent (2005 estimate) to 30 percent by 2030. The Chinese central government has further called for an increase in energy-from-waste output generation from 200 MW (2005 estimate) to 3 gigawatts by 2020.
Energy-from-Waste and municipal waste disposal services are designated by the Chinese central government as “encouraged industries” for foreign investment. China also has various promotional laws and policies in place to promote energy-from- waste and municipal waste disposal projects, including exemptions and reductions of corporate income tax, value added tax refunds, prioritized commercial bank loans, state subsidies for loan interest, and a guaranteed subsidized price for the sale of electricity.
Partnerships
Chongqing Sanfeng Covanta Environmental Industry Co., Ltd.
Chongqing Municipality, China
In February 2007, Covanta Energy entered into a joint venture agreement with Chongqing Iron & Steel Group and acquired a 40 percent stake in Chongqing Sanfeng Environmental Industry Co., Ltd. The joint venture company, renamed Chongqing Sanfeng Covanta Environmental Industry Co., Ltd. (Chongqing Sanfeng Covanta), focuses on pursuing Energy-from-Waste development opportunities in China.
Leveraging the strengths of each partner, the joint venture company has expertise in engineering, procurement and construction of Energy-from-Waste facilities and providing world-class service to its municipal clients. In addition, it offers an advanced European technology which is manufactured in China specifically for the local market. Chongqing Sanfeng Covanta has the rights to manufacture and deploy Sity 2000 stoker grate incineration technology in China licensed by Martin Gmbh, a leading German firm that specializes in infrastructure for Energy-from-Waste facilities. Chongqing Sanfeng Covanta designed, operates and has equity interests in two modern 1,200 ton per day Energy-from-Waste facilities that utilize Martin Gmbh’s technology. The facilities are located in Tongxing District, Chongqing Municipality and Fuzhou Municipality in Fujian Province.
Learn more about specific EfW other developments in China.