Contract on Four Ashes waste converter is signed

A contract that will enable a controversial power plant in South Staffordshire that turns waste into energy to get under way has just been signed. It will generate enough power for more than 32,000 homes.

The plant in Four Ashes, between Wolverhampton and Cannock, will create more than 40 new jobs. It is claimed that it will save Staffordshire taxpayers more than £250million over 25 years. Staffordshire County Council leader Councillor Philip Atkins gave the seal of approval.

The contract is between the council and Veolia Environmental Services (UK) - the largest the authority has ever entered into.

Veolia will run the project at Four Ashes as part of a 25-year private finance initiative.

Councillor Atkins said: "Veolia went head to head against some serious competitors to win this contract. It was able to offer maximum value and maximum quality to the taxpayer which is our number one priority.

"The contract will save Staffordshire taxpayers more than £250 million over the next 25 years. This contract is all about protecting taxpayers from escalating costs and protecting the environment from mounting piles of rubbish."

Veolia is one of Europe's leading lights in the environmental field and was announced as the 'preferred bidder' in May following a selection process.

Planning permission for the plant on the Four Ashes industrial estate has already been secured despite objections being raised by environmental groups concerned about potential pollution.

Work starts in spring.

The project is part of a strategy that aims to protect taxpayers from rising environmental and financial costs of landfill.

By John Corser