Covanta sells interests in Washington hydroelectric project

Covanta Holding Corp., Morristown, New Jersey, has announced it has successfully completed the sale of its interests in the Koma Kulshan hydroelectric project in Concrete, Washington, to Atlantic Power Corp., Dedham, Massachusetts.

In operation since 1990, Koma Kulshan is a 13-megawatt hydroelectric project located north of Seattle. The project sells its electrical output to Puget Sound Energy Inc., Bellevue, Washington, under a long-term power purchase agreement expiring in March 2037. The purchase price of $12 million was paid in cash.

"We are pleased to receive fair value for an asset outside of our core business,” Stephen J. Jones, Covanta's president and CEO, says. “This transaction demonstrates our wider plan to rationalize our assets as we strive to improve returns and sharpen our focus on our energy-from-waste business."

Annually, Covanta's energy-from-waste facilities safely convert approximately 20 million tons of waste from municipalities and businesses into electricity to power one million homes and recycle approximately 550,000 tons of metal, the company says. Through a network of treatment and recycling facilities, Covanta also provides comprehensive industrial material management services to companies.