Emerald Biogas Food For Thought Presentation - 24th January 2014

• 1. Welcome to the launch of the North Easts first commercial food waste anaerobic digestion facility

2. Agenda 1000: Guest arrival and welcome refreshments 1045: Welcome - Janet Street-Porter Emerald Biogas: The Overview Antony Warren, Emerald Biogas Defra Jayne Winter, RDPE Area Manager (North East)Emerald Biogas: The Solution - Adam Warren and Ian Bainbridge, Emerald Biogas Key Note Speech Janet Street-Porter BBC Video School Engagement Esther Brown, Emerald Biogas 1230: Lunch1330: Site tours 1400: Event closes 3. Emerald Biogas The OverviewAntony Warren 4. The Business Formed in 2009 Partnership between: John Warren ABP Waste Management & Recycling Business Agricore Farming, Land & Resource Management Business 5. John Warren ABP Family-owned and founded in 1946 Three generations of waste management experience Services the entire agricultural sector Now offers a food waste collection service for Emerald Biogas 6. Agricore New company derived from J&S Bainbridge Three key services: plasterboard waste management and recycling facility producing gypsum agricultural services including contract farming and land management supply and distribution of digestate from Emerald Biogas 7. Why Anaerobic Digestion? Harnessing our proven combined knowledge and experience Opportunity to address growing food waste crisis Transferring our skills to support the renewable energy agenda Long term investment supporting the local economy 8. The Plant The 8m facility is the North Easts first commercial food waste AD plant Our specific location will fully optimise the green energy Neighbouring businesses will utilise the heat generated Overall accessibility enables us to process waste from Northumberland to York Cumbria to Teesside 9. Phase 1 Now fully operational, we will process 50,000 tonnes of food waste annually We can collect and recycle waste from: food manufacturers restaurants & hotels leisure & retail outlets local authorities & civic amenities 10. Our Waste Streams Working with high-profile organisations such as: Greggs SK Chilled Foods Vale of Mowbray Greencore LIDL Marks and Spencers Various waste management companies such as Biffa, JB Recycling, Premier, Refood, Sita, Veolia 11. Looking Ahead Long-term plan to grow the business creating more jobs Planning permission secured to quadruple the site Plans to diversify into the residential food waste market Increase our activities with local authorities 12. Supporting Rural Communities Defra and Emerald BiogasJayne Winter 13. Rural Development Programme The current 7 year Programme for England for 2007 to 2013 will have spent 3.8bn... Improving the environment 3.2bn Rural growth and communities 370m Farm competitiveness, forestry 290m 70% of England farmland under an agri-environment scheme 96% of SSSIs now in favourable or recovering condition 10,000ha of new woodland created 18,000 rural and farming jobs created or safeguarded 15,000 rural and farming businesses have been supported14 14. The Food Waste Challenge 15m tonnes of food waste produced every year, half of that from households Preventing food waste is the best option. Avoidable food waste costs an average of 470 per household However, some food waste unavoidable and AD is the best option we have for such waste. Every tonne of food waste sent to AD rather than landfill saves the equivalent of about 500 kilogrammes of CO215 15. Why Anaerobic Digestion? Coalition commitment to promote a huge increase in the energy from waste produced from anaerobic digestion Government applies the waste hierarchy: prevention and reuse, recycling, recovery and disposal Anaerobic digestion generally the best option available for dealing with separately collected food waste Published the Anaerobic Digestion Strategy and Action Plan in June 2011 16 16. How is government supporting AD? AD Strategy and Action Plan addresses 8 priority areas: Improving our understanding of the AD baseline Building UK skills Building safe and secure markets for digestate Raising awareness of AD Building markets for biomethane and transport fuels AD in the rural community Finance Regulation Combination of research, investment and facilitation to help this emerging market 17 17. Progress and successes 10m loan fund administered by WRAP 3m of fund allocated for small-scale on farm AD Original estimate was that the industry could grow 3-5 times by 2020 Since strategy was launched in 2011, the number of plants has grown from 54 to more than 120, with around a further 200 sites with planning permission18 18. How have we supported Emerald? 850,000 of loan funding through the WRAP administered scheme, with further loans agreed in principle 1.9m of Rural Development Programme for England funding (part EU and part Defra). Benefits: Reduction in food waste Additional jobs in rural areas at least 8 roles Centre of expertise in emerging technology in the North East 19 19. New Rural Development Programme The new Programme is a major opportunity to invest in the rural economy and environment Improve the environment; Promote strong rural economic growth; and Increase the productivity and efficiency of farming and forestry businesses... building on the successes of the current Programme 20 20. Support for rural business in the future Local Enterprise Partnerships will spend RDPE money alongside other EU funding Guidance to LEPs set out four types of activities that can be funded with RDPE: 1. Building knowledge and skills in rural areas; 2. Funding new and developing micro, small and medium sized rural business; 3. Funding small scale renewable and broadband Investments in rural areas; and 4. Support for tourism activities in rural areas 21 21. Emerald Biogas The SolutionAdam Warren 22. A Growing Concern Every year: 15m tonnes of food waste is sent to landfill 6.9bn of food waste is produced by the UKs grocery & food manufacturing sector 15bn of food is thrown away by UK households Our region generates over 800,000 tonnes of food waste 23. What Can We Do? Traditional disposal methods: Food waste is not segregated = larger waste volumes for the collector Collection charges are based on weight = very high Waste is typically taken to landfill, a MRF or an incinerator No opportunity to convert waste into a valuable commodity 24. What Is The Alternative? Food waste collection: Segregating food waste = reduced weight and reduced cost Collection frequency can also be reduced, again reducing cost Opportunity to transform the waste into a valuable commodity and new product 25. Our Offer Our all-encompassing service: begins with the initial waste collection the recycling of the food waste the supply of energy to the national grid and ends with the supply of digestate Most importantly we can save money and help you meet environmental targets 26. How Does Our Plant Work? The facility effectively recycles food waste and any associated packaging We can process card and plastics from: supermarkets fast food outlets businesses schools 27. The AD Process It removes all traces of plastic, glass and metal The waste is added to the buffer tank Pasteurisation takes place The waste is then added to the digestion tank 28. The AD Process AD then occurs a natural biological process Millions of bacteria feed on the waste A methane-rich biogas is produced and converted into energy Finally, the digestate is added to the post digester tank 29. Emerald Biogas The ProductsIan Bainbridge 30. Location, Location, Location Newton Aycliffe = ideal platform for efficient use and distribution of our products Why? Existing high quality road and industrial infrastructure Surrounded by local farmland 31. Our Products The AD process creates valuable new commodities Biogas methane and CO2 = renewable energy: electricity generation heat production Digestate = nitrogen rich fertiliser 32. The Biogas Our biogas is burned using CHP technology It produces 1.56MW electricity per hour Supplied to the National Grid Enough energy to power 2,000 homes Excess heat will be used by businesses at Aycliffe Business Park 33. The Digestate A valuable biofertiliser derived from the waste treatment process High in nutrients, readily absorbed by crops, it comprises Nitrogen, Phosphate and Potash We will supply 50,000 tonnes to landowners within a 10 mile radius 34. Supply & Demand Emerald Biogas can fulfill all aspects of this journey Food waste collection managed by JW ABP Recycling and new product generation managed by Emerald Biogas Distribution of digestate managed by Agricore Our vision is to ensure the plant contributes to a sustainable, circular economy 35. Header