The waste specialist and its partner Catalyst Lend Lease today reached financial close on the PFI deal to handle Suffolk’s waste, opening the way to build the large-scale energy-from-waste plant.

The deal marks the second major PFI success for the joint venture in the last month, after being named as preferred bidder for the three-council South Tyne and Wear Waste Partnership contract four weeks ago.

The Teeside deal will see SITA build a £120m incinerator and waste facility.

Bovis Lend Lease is expected to handle the procurement process for work packages at both facilities.

SITA UK’s chief executive, David Palmer-Jones, said: “We are delighted to sign this important contract with Suffolk County Council just over four months since we were selected as the preferred bidder.

“Since then, we have been out and about, consulting with residents over our plans to develop an energy-from-waste facility at Great Blakenham, near Ipswich, and we are on course to submit a planning application in December 2010.”

If planning permission is secured next year, SITA expects to have the energy-from-waste facility up and running by late 2014.

The £1bn value of the PFI waste deal is comprised of total revenues from the council, third party waste and the sale of electricity.

Suffolk county council estimates that the contract will save it £350m of additional expenditure over the 25-year period, as well as generating enough electricity to power over 30,000 homes and saving the equivalent of 75,000 tonnes of CO2 a year.