New York City has formed a partnership with Waste Management Inc. and a utility to covert organic waste to energy.

Houston-based Waste Management has begun delivering pre-processed organic food waste to the Newtown Creek Wastewater Treatment Plant, where it is added to wastewater sludge to increase the production of biogas, according to a news release from the New York City Department of Environmental Protection (DEP).

Also, the city is partnering with the London-based National Grid PLC to convert the biogas byproduct into pipeline quality renewable natural gas for residential and commercial use. 

Together, these projects could produce enough energy to heat nearly 5,200 homes in New York City, reduce annual greenhouse gas emissions by more than 90,000 metric tons and help the city reach its goal of reducing municipal greenhouse gas emissions by 30 percent by 2017. 

National Grid will finance the design, construction, operation and maintenance of the biogas purification system. Initially, DEP will provide the biogas for free. Once project costs have been recouped, profits will be split between DEP and National Grid customers.

The parties expect construction of the purification system to begin this year and be completed in 2015.

During the summer Waste Management’s transfer facility in Brooklyn began processing organic food waste collected from local schools into a liquefied feedstock delivered to the wastewater treatment plant.