Financing
SELCHP is the first large-scale mass-burn incinerator to be constructed under the NFFO. The £100
million+ financing (including capitalised interest during construction and working capital) was arranged
and agented by Bank of Scotland and Banque Nationale de Paris. The financing closed in 1992 and is
now syndicated. Project cash-flows and all project assets were granted as security for the
financing. Approximately 85% of the total project cost was provided by the banks via an 18-year loan
which covered the construction period and the first 15 years of operation. Long-term "take or pay" waste
supply contracts have been agreed with Lewisham and Greenwich Borough Councils, with further
domestic waste being sourced from other Local Authorities and commercial wastes from nearby
businesses.
The shareholders in SELCHP are:
- AEP - Associated Energy Projects plc, a subsidiary of Compagnie Generale de Chauffe (CGC)
- MES/CNIM - Martin Engineering Systems Ltd, a subsidiary of Constructions Industrielles de la Mediterranee (CNIM)
- The London Power Company Limited (subsidiary of London Electricity plc)
- London Borough of Lewisham
- London Borough of Greenwich
- Raab Karcher, District Heating Specialists
- Laing Technology Group.