Varme Energy Secures Funding And Partners For Innovative Waste-to-Energy Project

Varme Energy Secures Funding And Partners For Innovative Waste-to-Energy Project - Carbon Herald

Varme Energy, a branch of Norwegian firm Green Transition Holdings, has announced a major milestone in their waste-to-energy project in Canada with the securing of funding and strategic partnerships. The planned project aims to convert organic waste into renewable energy, reducing greenhouse gas emissions and contributing to a more climate-aware future.

Back in 2021, Varme Energy established a contract with the City of Edmonton to supply 150,000 tons of municipal waste for their upcoming waste-to-energy project. The following year, the company revealed their plans to expand into the Edmonton area. 

This week, the company announced a collaboration with Gibson Energy and the Canada Growth Fund to advance their proposed waste-to-energy facility, which will be situated on Gibson Energy-owned land in Strathcona County, located near Edmonton, in the industrial heartland of Alberta, Canada. 

Relevant: Varme’s Strategic Move: Waste-to-Energy Facility Development in Edmonton, Alberta

The newly secured partnerships will not only provide financial support for the initiative but also bring valuable expertise and resources to the table.

The Canada Growth Fund has agreed to financially support the project, representing the first partnership of its kind in the region. This collaboration ensures a carbon price guarantee through a Carbon Credit Offtake, with plans to buy 200,000 tonnes annually at an initial rate of $85 per tonne for a 15-year period. 

This trailblazing deal not only marks one of the largest in Canada’s history but also stands as the first of its kind in the Edmonton region.

Read more: Lafarge Canada And Hyperion Team Up On Pioneering Carbon Recycling Technology

The contract will enable Varme Energy to sell up to half of the carbon credits produced to other companies and brands seeking to achieve their sustainability goals. 

This agreement signals a significant development in Canada and shows a promising direction for encouraging private investment in carbon capture initiatives, speeding up the implementation of this technology, and drawing in foreign investors.

The partnership between Varme Energy, the Canada Growth Fund, and Gibson Energy signifies a crucial advancement in the project’s path towards Final Investment Decision (FID) and provides a promising indication for the project’s success.

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