Covanta signed a new 20-year agreement with New York City Department of Sanitation to transport and sustainably dispose of municipal solid waste delivered to a pair of marine transfer stations located in Queens and Manhattan.
Covanta owns and operates waste-to-energy facilities in North America and plans to convert the city's solid waste into renewable energy. It is anticipated New York City will deliver about 800,000 tons of waste per year.
The agreement is for 20 years of service and it provides New York City with options for two additional five-year periods.
Covanta expects its total investment to purchase this equipment will be about $110 million. This investment will be made over several years beginning in 2013.
New York City has set a goal of diverting 75 percent of solid waste from landfills.