The South London Waste Partnership has signed a contract with Viridor for it to build an energy from waste facility.
From 2017, 200,000 tonnes of residual waste generated by residents of the London boroughs of Croydon, Kingston, Merton and Sutton will be treated by the new facility.
South London Waste Partnership chair of the Joint Waste Committee Councillor Derek Osbourne said: “Our boroughs are already leading the way on green issues, but this contract is a major milestone that could bring world-class infrastructure to south London.
“Several years ago our four boroughs agreed we couldn’t keep burying waste in the ground. We’ve listened to local people and chose a much more sustainable way of handling waste. This contract will bring huge environmental benefits to all of the boroughs in our partnership and deliver considerable savings to the taxpayer when they’re needed most.
Viridor chief executive Colin Drummond added: “This is a key milestone in the development of this project. We are proud of being able to offer the councils a safe, robust and cost-effective solution to meet their needs and to complement their already successful recycling, composting and waste prevention initiatives.”
The contract is subject to Viridor gaining planning permission to build the facility in Beddington, where it currently has a landfill site.