FEBRUARY 20, 2007 - COVANTA COLLABORATES WITH GLOBAL ROUNDTABLE ON CLIMATE CHANGE TO LAUNCH JOINT STATEMENT

Statement lays foundation for affecting change in policy and industry to address climate change and to create sustainable energy systems for the 21st century

Fairfield, NJ - February 20, 2007 - Today, an esteemed group of global leaders from political, industry and academic sectors gathered to issue a Joint Statement which marks the culmination of three years of brainstorming, researching and collaboration to address the pressing issue of climate change. Since 2004, the Global Roundtable on Climate Change (GROCC) has met twice a year to explore areas of potential consensus regarding core scientific, technological, and economic issues critical to shaping public policies on climate change.  The statement lays out a proactive post-Kyoto framework for affecting change at the levels of policy and industry, particularly in regard to stimulating economic growth through the creation of sustainable energy systems.

In developing the framework, the GROCC closely examined energy generation and has recognized the climate benefits of producing energy from waste. According to the statement, "efforts to reduce global emissions of methane from landfills should be expanded, including increased use of waste-to-energy facilities where appropriate and cost-effective."(¹)  Covanta (NYSE: CVA), a world leader in generating renewable energy from waste, has been an active participant in the GROCC and fully endorses the principles and findings of the Joint Statement.

Covanta is a strong supporter of global efforts to reduce greenhouse gas (GHG) emissions and to promote the development and availability of renewable energy solutions. Waste-to-energy, also known as Energy-from-Waste (EfW) is a process that takes municipal solid waste (i.e. household trash), and burns it at high temperatures, creating steam heat that turns turbines to produce electricity.  By reducing the amount of trash shipped to landfills, energy from waste also avoids the formation and release of methane, a potent greenhouse gas. Using the EPA's municipal solid waste life cycle model, it is estimated that each year the United States energy-from-waste industry prevents the release of approximately 30 million tons of carbon dioxide equivalent.

"Creating renewable energy from waste is a readily available and proven technology that reduces the emission of greenhouse gases," said Anthony Orlando, CEO of Covanta. "We are proponents of a sustainable waste management approach that supports greater source reduction, recycling and generation of clean electricity from modern Energy-from-Waste facilities. These waste management practices work together to reduce emissions of CO2 and methane, the primary man-made gases that cause global warming. We fully endorse the Joint Statement and look forward to continuing our collaboration on the action items that are laid out in the statement."

The Joint Statement specifically calls on appropriate stakeholders to enact the following:
* Set scientifically informed targets for global GHG concentrations.
* Develop mechanisms to place a price on carbon emissions that is reasonably consistent internationally and across sectors in order to reward efficiency and emission avoidance and encourage innovation.
* Establish policy initiatives to address energy efficiency and de-carbonization in all sectors.
* Take proactive advantage of existing technologies and accelerate the promising development of new ones in order to significantly increase energy efficiency and dramatically expand the use of non-fossil fuel energy sources.

"Leaders from key economic sectors and regions of the world have reached a consensus on the path forward to reduce human-made climate change," said Jeffrey D. Sachs, Chair of the Global Roundtable on Climate Change and Director of The Earth Institute at Columbia University. "This initiative points the way to an urgently needed global framework for action. I congratulate the Roundtable signatories, and thank them for their bold leadership and contribution to global progress on this critical issue."

About Covanta Holding Corporation:
Covanta Holding Corporation is a New York Stock Exchange listed company engaging in waste disposal, energy services and specialty insurance through its subsidiaries. Covanta's subsidiary, Covanta Energy Corporation, is an internationally recognized owner and operator of energy-from-waste and power generation projects. Covanta's energy-from-waste facilities convert municipal solid waste into renewable energy for numerous communities, predominantly in the United States. For more information, visit www.covantaholding.com
 
About GROCC
The Global Roundtable on Climate Change brings together more than 100 high-level, critical stakeholders from all regions of the world--including senior executives from the private sector and leaders of international governmental and non-governmental organizations--to discuss and explore areas of potential consensus regarding core scientific, technological, and economic issues critical to shaping sound public policies on climate change. http://www.earthinstitute.columbia.edu/grocc

Media Contacts
Gavin Bell
(973) 882-7107
GBell@covantaholding.com

Kate Casolaro
(617) 443-9933 x338
kcasolaro@rasky.com

[1]   "The Path to Climate Sustainability: A Joint Statement by the Global Roundtable on Climate Change"