Company chosen to lead study for Canada’s first waste-to-energy facility in Alberta

The provincial government has signalled it is all in with waste-to-energy technology.

The Alberta government announced Tuesday it is providing $2.8 million through Emissions Reduction Alberta for a $6.1-million front-end engineering and design study led by Varme Energy.

“The study is an important first step to realizing a large-scale municipal waste-to-energy facility with carbon capture and storage,” said Justin Riemer, chief executive officer for Emissions Reduction Alberta in a Sept. 10 media release. “This project not only reduces emissions, but also sets a new standard for how we provide clean, reliable energy from waste destined for landfills."

The new funding is expected to help get Canada’s first waste-to-energy facility closer to construction in Alberta’s Industrial Heartland, about 40 kilometres northeast of Edmonton.

• RELATED: Varme set to pitch waste-to-energy plan to Calgary

“Alberta is a global leader in carbon capture, utilization and storage technology, and the best place for innovative projects like this one to thrive,” said Rebecca Schulz, minister of Alberta Environment and Protected Areas, in the news release.

“Varme Energy is tapping into our province’s exceptional geology, workforce and expertise to advance a landfill elimination solution that will reduce emissions and continue Alberta’s reputation for delivering clean, secure energy to the world.”

Varme Energy’s front-end engineering and design study is expected to be completed in December of 2024, with construction set to begin in 2025.

The facility is expected to capture and store about 185,000 tonnes of carbon dioxide annually.

The announcement was of special interest to many in Innisfail where Varme has plans for a new state-of-the-art $200 million plant.

Since 2022, the company has been busy in the region securing interest and contracts for its planned facility on 13 acres of land in the town’s new Southwest Industrial Park.

“It's fantastic to see the Government of Alberta taking an interest in the waste-to-energy sector in Alberta and being a leader in the sector across the country,” said Town of Innisfail Mayor Jean Barclay.

In the meantime, Sean Collins, Varme Energy’s chief executive officer, said the study for the Industrial Heartland project will have a benefit for the future Innisfail project.

“We will have direct benefit to the Innisfail project in that this is supporting the front-end engineering and design and all the procurement work on the project, all of which can be leveraged and (have) cost savings for us on our future projects, including the Innisfail asset,” Collins told the Albertan. “We're still not fully contracted, and most of the organization's focus for the last six months has been primarily focused on the Edmonton project.

“We’ve been pretty heads down, executing and making fairly strong progress on the Edmonton asset,” he added. ”I think that is all in service and in support of the Innisfail project, and behind it as well.”