SIIC Environment’s indirect non-wholly owned subsidiary, Shanghai SIIC Baojin’gang Environmental Resources Technology (Baojin’gang) has obtained approval to be the project company for the Baoshan Renewable Energy Utilization Center Project, the company said in a filing to SGX Monday.
The project, located in Baoshan District, Shanghai, integrates dry waste incineration and wet waste disposal, the filing said.
The treatment capacity is 3,000 tonnes a day solid waste incineration and 800 tonnes a day food and kitchen waste disposal, for a total of 3,800 tonnes a day, the filing said.
“The project is expected to become the first innocuous domestic waste treatment facility to be built after the implementation of mandatory waste sorting practices in Shanghai,” SIIC Environment said. “The project contributes to Shanghai in realizing the goal of zero landfill of domestic garbage and encouraging land use efficiency.”
The total investment of the project is estimated at around 3.04 billion yuan, with waste-to-energy player Baojin’gang’s registered capital at 1.1 billion yuan after contributions from two shareholders, the filing said.
SIIC Yangtze Delta Environmental Resources (Hong Kong) contributed 660 million yuan, with an equity stake of 60 percent, while BAOWU Group Environmental Resources Technology contributed 440 million yuan with an equity interest of 40 percent, the filing said.
SIIC Yangtze Delta is an indirect, 70 percent subsidiary of SIIC Environment, with the remainder held by Canvest Environmental Investment, the filing said.
SIIC Environment and BAOWU Group Environmental Resources Technology are planning to build a series of eco-industrial parks using the project as a model to promote a circular economy value chain, the filing said.