Bennett Jones advises on landmark Waste-to-Energy project in Edmonton

Over 150,000 tonnes of residential garbage will be redirected to a new waste-to-energy facility
Bennett Jones advises on landmark Waste-to-Energy project in Edmonton

Bennett Jones has recently assisted Varme Energy Inc. in successfully negotiating a “first of its kind” waste-to-energy agreement with the City of Edmonton.

The deal will see approximately 150,000 tonnes of residential garbage annually redirected from city landfills to a new, privately operated waste-to-energy facility 40 kilometres northeast of Edmonton.

The facility, poised to become Canada's inaugural industrial-scale waste-to-energy plant incorporating carbon capture technology, will harness European-tested technology to convert household waste into clean energy. This initiative is set to play a crucial role in Edmonton's transition to green energy, offering multiple benefits across the board. For the City of Edmonton, it means a reduction in landfill usage, a shift of operational risk to the private sector, and a decrease in regional greenhouse gas emissions, including methane. Additionally, the project promises to enhance Alberta's Industrial Heartland with increased clean heat and energy production capabilities.

“This is a major milestone toward the development of this new facility and an enormous step forward for waste diversion and climate change mitigation in Canada,” said Sean Collins, Varme Energy Canada’s CEO. “We are excited to help lead this charge by bringing practical and proven waste diversion and energy generation technology to Alberta’s capital region.”

The business arrangement saw the Bennett Jones team successfully tackle the challenge of developing robust rights, obligations and protections with unconventional thinking and innovative problem-solving. The agreement establishes a long-term partnership between Varme Energy Inc. and the City of Edmonton, laying the foundation for future endeavours related to the waste-to-energy initiative.

Varme Energy Inc., a subsidiary of the Norwegian company Varme Energy A/S, distinguishes itself as the first Canadian entity focusing on waste-to-energy projects integrating carbon capture and storage (CCS) technology.

The Bennett Jones team that facilitated the agreement was led by Simon Foxcroft (Commercial Transactions) and included Artem Barsukov (Dispute Resolution), Karen Dawson (Financial Services), Julia Amelio (Banking and Finance), and Julia Pasieka (Commercial Transactions).