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North Hykeham Incinerator costs soar

By This is Lincolnshire  |  Posted: January 25, 2010

An artist's impression of the proposed Energy From Waste plant at North Hykeham

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Costs for a new council-developed rubbish incinerator near Lincoln have soared by £35m.

The county council received the go-ahead to build an energy-from-waste facility in Paving Way, North Hykeham, in July last year and has spent the past six months speaking to potential developers.

Council officials reported throughout the planning stages that the energy project would cost £110m, with taxpayers' cash funding £25.7m and a loan contributing to the remaining shortfall.

But the figure has jumped by more than 30 per cent, with the project's price tag now standing at an estimated £145m.

The Conservative-led council does not currently know if it will have to contribute more funding from its own reserves to the scheme.

The power plant idea was developed by the authority in an effort to divert 150,000 tons of residents' rubbish away from landfill to meet European Union targets and avoid heavy fines.

Energy-from-waste project director Richard Belfield said the original estimate was set two years ago and new costs had been identified during discussions with potential contractors.

"The factors concerned include exchange rates – as most of the equipment is manufactured overseas – inflation rates and potentially helpful suggestions from bidders," he said.

"These suggestions, while adding initial capital costs, will ultimately result in a lower total cost to the council over the envisaged 25-year operational contract.

"The cost of a network of waste transfer stations needed to deliver waste to the facility has also been included in the revised estimate. There is no certainty that all that provision will ultimately be required."

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    Roger Twicenightly, Lincoln  |  January 25 2010, 5:58PM

    This is a rubbish story!

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    Brian, Woodhall Spa  |  January 25 2010, 1:39PM

    The massive increase in anticipated cost burden highlights requirement for full assessment of need and impact. Current waste data displays all EU obligations for landfill diversion will be met without financial penalty. The current Gov pressure is for mandatory food waste segregation which points to anaerobic digestion for waste to energy especially applicable to LIncs with large veg resources. Recent reports highlight impact of this plant will be far higher than implied in application. DEFRA air quality doc. Jan 2010 details all NOX and PM pollution is harmfull to health and environment, application details air pollution equal to emissions from 1.2 billion car/km per year, pollution burden per unit of power produced many times higher than alternatives. Priority should be to utilise waste streaming that minimises production of NOX and PM not maximising pollution and cost. It is interesting to note current waste to energy proposal for Boston claiming to divert 135,000 tonnes from landfill at £46 million cost with waste requiring disposal a fraction of Hykeham and cost far,far lower. I realise LCC rejected this gasification technology twice recently but that is another story. Can we please give priority to due diligence and joined up thinking because children deserve clean air and not pollution by ignorance. Kind Regards Brian Wilson