Ameresco Selected to Develop Renewable Natural Gas (RNG) Plant at Wasatch Integrated Waste Management District’s Davis Landfill

Rhea-AI Summary

Ameresco (NYSE: AMRC) has been selected by Wasatch Integrated Waste Management District (WIWMD) to develop a renewable natural gas (RNG) plant at the Davis Landfill in Layton, UT. This project marks Ameresco's second landfill gas beneficial use arrangement with WIWMD, demonstrating their ongoing commitment to sustainable waste management.

The Davis RNG facility will capture landfill gas and convert it into renewable energy, potentially reducing over 953 million pounds of CO2 emissions annually. This reduction is equivalent to removing 79,223 cars from the road or planting over 98,000 acres of forests. The plant is expected to replace the use of over 8 million BTUs of fossil fuels annually.

Ameresco will be responsible for all aspects of the project, including design, engineering, construction, commissioning, and operations. This initiative aligns with both organizations' goals of creating sustainable opportunities and viewing waste as a resource.

Positive

• Ameresco selected to develop a new RNG plant, expanding its renewable energy portfolio
• Project expected to reduce over 953 million pounds of CO2 emissions annually
• RNG plant to replace over 8 million BTUs of fossil fuels annually
• Long-term partnership with WIWMD, demonstrating customer trust and project continuity

Negative

• None.

Insights

Environmental Engineer

The development of an RNG plant at Davis Landfill marks a significant step towards sustainable waste management and renewable energy production. The facility's potential to reduce over 953 million pounds of CO2 emissions annually is substantial, equivalent to removing 79,223 cars from the road. This project demonstrates a circular economy approach, turning waste byproducts into valuable energy resources.

From an environmental perspective, capturing methane from landfills is crucial, as it's a potent greenhouse gas. By converting it to RNG, we're not only preventing its release into the atmosphere but also creating a renewable energy source that can replace over 8 million BTUs of fossil fuels annually. This dual benefit significantly enhances the project's environmental impact and aligns with global efforts to combat climate change.

Energy Market Analyst

Ameresco's RNG project at Davis Landfill represents a growing trend in the energy sector towards decentralized, renewable energy sources. The 20-year partnership between Ameresco and WIWMD showcases the long-term viability of such projects. As the energy market continues to shift towards cleaner alternatives, RNG facilities like this one are likely to become increasingly valuable assets.

The project's ability to replace fossil fuels with renewable sources aligns with broader energy transition goals. This could potentially lead to improved energy security and price stability in the local market. Moreover, as carbon pricing mechanisms become more prevalent, the economic benefits of such projects are likely to increase, potentially boosting Ameresco's long-term profitability and market position in the cleantech sector.

Financial Analyst

For Ameresco (NYSE: AMRC), this project represents a significant addition to its portfolio of renewable energy assets. The design-build-own-operate model suggests a long-term revenue stream, which could provide stability to the company's financials. While specific financial figures aren't provided, similar projects typically involve substantial upfront investments but offer steady returns over their operational lifetime.

Investors should note that this project diversifies Ameresco's revenue sources and strengthens its position in the growing RNG market. The long-term nature of the contract with WIWMD also provides predictable cash flows. However, it's important to consider potential risks such as regulatory changes in the renewable energy sector and fluctuations in natural gas prices, which could impact the project's profitability. Overall, this development appears positive for Ameresco's growth strategy and aligns with increasing investor focus on ESG-friendly companies.

Facility is designed to reduce over 953 million pounds of carbon dioxide emissions per year otherwise produced by landfill gas

FRAMINGHAM, Mass. & LAYTON, Utah--(BUSINESS WIRE)-- Ameresco, Inc., (NYSE: AMRC), a leading cleantech integrator specializing in energy efficiency and renewable energy, today announced it has been selected by Wasatch Integrated Waste Management District (WIWMD) to design, build, own, and operate a landfill gas to renewable natural gas (RNG) plant at the Davis Landfill in Layton, UT. This project would be Ameresco’s second landfill gas beneficial use arrangement with the district and represents both organizations’ continued commitment to sustainable waste management solutions for the past twenty years.

Landfill gas collection system (Photo: Business Wire)

The Davis RNG facility will capture naturally occurring landfill gas, primarily composed of methane, resulting from the decomposition of organic waste and transform it into renewable energy resource. The green energy expected to be produced by the plant would reduce over 953 million pounds of carbon dioxide emissions annually. This annual CO₂ reduction is the equivalent to the carbon sequestered by removing 79,223 cars from the road or planting over 98,000 acres (about more than half the size of Zion and Bryce Canyon National Parks combined) of forests.

As the owner of the complex processing facility, Ameresco will be responsible for all aspects including design, engineering, construction, commissioning, and operations. Upon completion, Davis RNG is expected to replace the use of over 8 million BTUs annually of fossil fuels, such as coal and natural gas.

"Leveraging waste byproducts to displace the use of fossil fuel is a critical part of our nation's clean and renewable energy transition,” said Michael Bakas, Executive Vice President of Ameresco. “Reducing the introduction of new emission sources from the combustion of fossil fuel makes comprehensive landfill decarbonization solutions more urgent than ever. By transforming landfill gas into renewable natural gas (RNG), we're taking a significant step toward creating a cleaner planet. This approach makes sense—why drill for natural gas that is sequestered deep in the earth when we can harness what's already in our atmosphere?”

“This is the type of win-win project that is exciting to be involved with,” said Nathan Rich, Executive Director of WIWMD. “Turning an environmental liability into a renewable energy source is a great way to meet the mission of the district. After commissioning the first landfill gas to energy project in Utah almost 20 years ago, we are looking forward to updating the project to a modern RNG plant to supply the current energy market.”

As Wasatch enters the next phase of landfill gas to energy projects, it will continue working with Ameresco to develop a Renewable Natural Gas (RNG) plant, creating a renewable resource to be delivered to and used by homes and businesses around the region for the next quarter of a century. It is one more example of Wasatch’s objective to view waste as a resource and its continued efforts to create sustainable opportunities within its community. Wasatch looks forward to the future, partnering with Ameresco in developing new ways to utilize waste as a resource.

To learn more about the distributed generation solutions offered by Ameresco, visit www.ameresco.com/renewable-energy/.

To learn more about Wasatch Integrated Waste Management District, visit www.wasatchintegrated.org.

About Ameresco, Inc.

Founded in 2000, Ameresco, Inc. (NYSE:AMRC) is a leading cleantech integrator and renewable energy asset developer, owner and operator. Our comprehensive portfolio includes solutions that help customers reduce costs, decarbonize to net zero, and build energy resiliency while leveraging smart, connected technologies. From implementing energy efficiency and infrastructure upgrades to developing, constructing, and operating distributed energy resources – we are a trusted sustainability partner. Ameresco has successfully completed energy saving, environmentally responsible projects with Federal, state and local governments, utilities, healthcare and educational institutions, housing authorities, and commercial and industrial customers. With its corporate headquarters in Framingham, MA, Ameresco has more than 1,500 employees providing local expertise in North America and Europe. For more information, visit www.ameresco.com.

About Wasatch Integrated Waste Management District

Wasatch Integrated Waste Management District (Wasatch) is a quasi-governmental, Utah Special Service District, formed in 1984 to assume responsibility for waste and recycling in Davis and Morgan Counties, Utah. Wasatch has a long history of utilizing waste as a resource beginning with construction of municipal waste incinerator in 1987 (closed in 2017) and a material recovery facility for the capture of recyclables, which opened in 2020. Wasatch has continually pursued sustainable solutions for waste, including energy recovery, green waste upcycling, re-use of usable household hazardous waste, a landfill thrift store, which is recovering usable items from the waste stream, and landfill gas to energy. For 30 years its municipal waste incinerator provided steam to Hill Air Force Base for heating and other uses.

The announcement of the development of a renewable energy asset by Ameresco is not necessarily indicative of the timing or amount of revenue from such asset, of the company’s overall revenue for any particular period or of trends in the company’s overall total assets in development or operation. This project was included in our previously reported assets in development as of June 30, 2024.

View source version on businesswire.com: https://www.businesswire.com/news/home/20240814300721/en/

Media:

Ameresco: Leila Dillon, 508-661-2264, news@ameresco.com

Source: Ameresco, Inc.

FAQ

What is the expected CO2 emission reduction from Ameresco's new RNG plant at Davis Landfill?

The Davis RNG facility is expected to reduce over 953 million pounds of carbon dioxide emissions annually, equivalent to removing 79,223 cars from the road or planting over 98,000 acres of forests.

How much fossil fuel will Ameresco's Davis RNG plant replace annually?

Upon completion, the Davis RNG plant is expected to replace the use of over 8 million BTUs annually of fossil fuels, such as coal and natural gas.

What is Ameresco's role in the Davis Landfill RNG project?

Ameresco (NYSE: AMRC) will design, build, own, and operate the landfill gas to renewable natural gas (RNG) plant at the Davis Landfill in Layton, UT. They are responsible for all aspects including design, engineering, construction, commissioning, and operations.

How long is Ameresco's partnership with Wasatch Integrated Waste Management District expected to last?

The partnership between Ameresco and Wasatch Integrated Waste Management District is expected to continue for the next quarter of a century, focusing on creating sustainable opportunities within the community.