Divert, a Massachusetts-based technology company focused on food-waste reduction, has announced breaking ground on its previously planned food waste recycling facility in Turlock, California. The construction is funded in part by a USD 63 million municipal green bond issued through the California Public Finance Authority (CalPFA).

The Turlock facility will convert waste food into carbon-negative renewable energy, preventing it from emitting methane in landfills. Once operational in 2024, the 65,000 sq ft plant will process 100,000 tons of waste food a year, producing renewable energy for around 3,000 homes and offsetting 23,000 metric tons of CO2 emissions. The facility also plans to provide data analytics to help companies reduce waste and donate edible food. 

The company claims that the Turlock facility is in line with the SB 1383 law and will support California in reaching its net-zero carbon pollution goal by 2045. 

Divert reports that this facility is the first step towards its plans to expand to 30 facilities across the US within eight years. As of date, the company manages 0.5% of US wasted food (which comes from 5,400 food retail stores) and aims to increase this percentage to 5%.

Analyst QuickTake : Within four months of announcing the plan, the company has already broken ground at its Turlock facility and is expecting the facility to be operational by 2024 as initially planned. Last month, the company inked a USD 1 billion infrastructure development agreement with Enbridge for the development of wasted food to renewable natural gas (RNG) facilities across the US. The company also secured an extra USD 100 million in funding to back up its expansion plans. This development agreement and funding, including the municipal green bond, is aiding the company to advance toward its target of building facilities within a 100-mile radius of 80% of the US population.