HSBC UK invests £500m in power plant which turns waste into energy

HSBC UK has supported the financing for the construction of one the UK’s largest Energy from Waste power plants in London, which will generate low carbon energy from non-recyclable household and business waste.

The £500m Cory Riverside 2 project will be one of the largest and most efficient Energy from Waste facilities in the UK, with the ability to annually process c.650,000 tonnes of non-recyclable waste and generate enough low carbon electricity to power over 140,000 homes each year.

This new facility will be built on the south side of the River Thames in Belvedere, east London adjacent to Cory Riverside 1 - an existing operational Energy from Waste facility which HSBC UK previously supported.

HSBC UK provided £66m of funding for the Cory Riverside 2 deal and acted as Mandated Lead Arranger with eight other banks. HSBC UK also secured ancillary roles including Agent, Security Trustee, and Account Bank for this deal.

Euan McLeod, head of infrastructure, energy & project finance at HSBC UK said: “We are very pleased to have supported this important infrastructure project, which contributes to the Government’s strategy to treat and divert waste that cannot be re-used or recycled, from going to landfill.

“The Cory Riverside 2 transaction demonstrates our continuing support for energy transition by financing the construction of new facilities contributing to low carbon energy generation. To date, we have committed more than £400m of debt facilities to support customers involved in waste collection, management, recycling and energy recovery.”

The Cory Riverside plants address a long-standing shortfall in waste processing capacity in London and the South East. Its riverside location enables waste to be transported to the facilities by large river barges, therefore avoiding adding to further congestion in London. There are plans to link the two plants to other key energy transition infrastructure including carbon capture, hydrogen production and heat networks.

By Mark Adair – Correspondent, Bdaily