To be more specific, the company has signed a concession agreement for a waste-to-energy project and an investment agreement for a biomass power generation project with the People's Government of Huaiyin District of Huai'an City, Jiangsu Province.
The group will invest in the construction of an urban-rural integration project in Huaiyin District, which comprises a household waste-to-energy project, the Huaiyin Waste-to-energy project, and a biomass power generation project, the Huaiyin Biomass Power Generation project.Huaiyin Waste-to-energy project has a designed daily household waste processing capacity of 1,000 tonnes and will be constructed in two phases. Phase I has a daily household waste processing capacity of 500 tonnes with a total investment of RMB250 million (US$38.6 million). The project will be constructed on a BOO (Build-Operate-Own) basis with a concession period of 30 years. The project is expected to generate approximately 57,000,000 kWh of green electricity annually.Huaiyin Biomass Power Generation project will be constructed in two phases as well. The total investment of Phase I is approximately RMB240 million (US$37 million), with a designed annual agricultural waste and straw processing capacity of 150,000 tonnes and will be equipped with a 75t/h furnace and an 18 MW power generator to generate 107,500,000 kWh of green electricity annually by mainly using agricultural waste and straw in Huaiyin and adjacent areas for power generation.Mr. Chen Xiaoping, CEO of Everbright International, said,
"An urban-rural integration project incorporates the processing models of household waste and agricultural straw in the project that allows both waste incineration and biomass power generation in the same place and the same district. The projects also share the same flue-gas system, water system, transportation channel and management, and as a result, allows the Group to plan and allocate resources more efficiently and to have better economic benefits. The urban-rural integration project model is also one of the key business strategies of the Group. Huaiyin rural-urban integrated project is the 8th project of its kind invested in and constructed by Everbright International. As more rural-urban integration projects complete construction, these projects will become a new source of growth for the Group in the future."