Waste processing giant SITA has won a £1.6billion, 30-year contract to build and operate a Merseyside waste to energy plant.
As well as building the energy-from-waste plant in Teeside, the firm will convert a rail transfer depot to handle the waste in Knowsley in Merseyside.
The Teeside plant will use 450,000 tonnes of waste per year with 430,000 coming from the Merseyside Recycling and Waste Authority.
It will generate 49MW, enough to power roughly 63,000 homes and SITA says it could save local Merseyside council tax payers £34m per year in landfill tax from waste that would have gone to landfill at £80 per tonne.
David Palmer-Jones, Chief Executive Office of SITA UK said: “The two new facilities that we will develop will enable all of Merseyside’s household waste to be put to good use. We will create 73 new full time jobs in Merseyside and Teeside and several hundred more during the construction of our new resource recovery facilities.
“The new energy-from-waste facility provides a sustainable way to manage waste and further strengthens the North East as a centre for energy recovery in the UK,” he added.