The incineration is based on the resource-saving cogeneration process, which enables the energy potential of the non-recyclable waste and rubbish to be optimally exploited. In Mannheim, we generate steam and electricity, while our Offenbach plant generates district heating and electricity. Our biomass power plants in Mannheim (20 MW), Königs Wusterhausen (20 MW) and Flörsheim- Wicker (15 MW) generate electricity from old and scrap wood.

The incineration of non-recyclable waste and the disposal of biomass are a high-growth area: a law coming into effect in Germany on 1 June 2005 stipulates that only waste which has been subject to thermal or biological pre-treatment may be disposed of at rubbish dumps. While the estimated annual volume of non-recyclable waste amounts to 25 to 30 million tonnes, the current incineration capacity available across Germany amounts to 17 million tonnes per year. The level of waste disposal capacities required will therefore rise sharply. The Renewable Energy Act (EEG) forms the basis for securing investments in renewable energy technologies, such as electricity generation using biomass, in the long term.

We have combined our waste disposal and biomass power plant businesses to form our new business field of Environmental Energy. This will enable us to make even better use of the longstanding engineering experience acquired in the field of non-recyclable waste incineration, for example in the construction and operation of bioenergy facilities. Moreover, this measure will simplify the management of the Group and enable synergies to be exploited.

We are already one of the market leaders in Germany in the field of biomass power plants. Once our non-recyclable waste incineration facility in Leuna has commenced operations, we will have an incineration capacity totalling around 1 million tonnes, making us the third-largest operator in Germany of incineration and energy extraction facilities in the fields of non-recyclable waste and biomass.