Chester Lost Millions in Covanta Incinerator Fee Contract, Receiver Says

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The Covanta waste-to-steam plant in Chester.
Image via Covanta.com.
The Covanta waste-to-steam plant in Chester.

Chester City Receiver Michael T. Doweary got into an argument with Chester Mayor Thaddeus Kirkland over an incinerator contract, claiming the 2017 Covanta contract lost the city almost $10 million in the deal, writes Kathleen E. Carey for the Daily Times.

Doweary has been overseeing Chester’s finances as a Receiver for the state of Pennsylvania due to the city’s struggle with multi-million dollar deficits.

 “There is no deal that I entered into,” Kirkland responded.

A discussion was triggered by a presentation from Doweary’s Chief of Staff Vijay Kapoor on host fees given by Covanta to Chester to locate its incinerator in the city.

In 2017, the incinerator fees were lowered overall from what was set in 1989, when the incinerator opened.   

On Jan. 11, Covanta notified officials it is extending its host agreement with the city for another three years.

If fees were to remain the same for the next three years, the city would lose more than double of what they have received from 2017 to 2021, Kapoor outlined.

Doweary will be negotiating with Covanta in February, it was announced.  

Read more at the Daily Times about suggested lost revenue for Chester from an incinerator contract with Covanta.

The Energy Justice Network gave a public presentation in June 2021 on why and how to end incineration in Delaware County.

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