Encyclis welcomes ETS expansion in support of industry decarbonisation

The decision to include Energy-from-Waste (EfW) in the UK Emissions Trading Scheme (ETS) from 2028 has been broadly welcomed by Encyclis, the operator and developer of energy recovery facilities.


The scheme, which aims to reduce greenhouse gas emissions in line with the UK’s 2050 net zero commitment, has been extended to include EfW facilities alongside the aviation, power and industrial emitters already participating.

Encyclis understands the expansion of the ETS is an important component of the UK’s decarbonisation journey but insists that net zero targets will only be met if ETS is applied in conjunction with other key policy measures delivered consistently across the UK.

Owen Michaelson, Chief Executive Officer of Encyclis, said: “As a business driven by sustainable waste management policy, we have already established our own decarbonisation roadmap. As part of that roadmap, we are partnering with the Department for Energy Security and Net Zero to develop one of the UK’s first commercial carbon capture and storage (CCS) plants at an EfW facility, at Protos ERF in Cheshire. ETS is the framework that will support the decarbonisation of UK industry but needs to be uniformly and consistently applied across all regions of the UK and across the whole waste management hierarchy.

“We believe that the application of ETS to EfW facilities will accelerate decarbonisation progress across the industry, providing it is aligned with other policy measures. Realignment of the Landfill Tax and RPI is critical to prevent increased emissions and carbon leakage through waste crime.

“It is vital that the regulatory framework in which we operate allows us, first and foremost, to continue to deliver an essential public hygiene service by processing residual waste that cannot be recycled. In doing so, we need to ensure that EfW in the UK does not become an uneconomical option compared with landfilling or overseas export of residual waste, both of which have negative impacts in terms of emissions.”


Note to Editors about Encyclis

Encyclis provides energy recovery services which turn residual waste into low-carbon electricity, heat and other reusable materials. Formerly known as Covanta Europe, our state-of-the-art energy recovery facilities support the transition to a circular economy by making productive use of residual waste that would otherwise go to landfill. With over 200 employees, our portfolio includes three facilities in the UK and Ireland, which operate 24/7 to collectively divert 1.5 million tonnes of waste from landfill every year and generate enough electricity to power nearly 300,000 homes. Further facilities are currently under construction. With expertise stretching back over three decades, extensive partnerships and continuous innovation, Encyclis provides a progressive solution for waste management. Visit www.encyclis.com for further information.