FEBRUARY 18, 2009 - COVANTA ENERGY NAMED "CLIMATE ACTION LEADER" BY CALIFORNIA CLIMATE ACTION REGISTRY

FAIRFIELD, NJ, February 18, 2009 — Covanta Energy, a wholly-owned subsidiary of Covanta Holding Corporation (NYSE: CVA) and a world leader in development, operation and ownership of Energy-from-Waste and other renewable energy projects, today announced it has been named a “Climate Action Leader” by the California Climate Action Registry.

The California Climate Action Registry, a private nonprofit organization committed to solving climate change through emissions reporting and reduction, has named Covanta a “Climate Action Leader” for voluntarily calculating, verifying and publicly reporting its greenhouse gas (GHG) emissions under the California Registry’s rigorous program.

“Participation in the California Registry represents a critical step in finding sustainable solutions to greenhouse gas emissions and improving Covanta’s overall sustainability efforts,” said Paul Gilman, Covanta’s Chief Sustainability Officer. “Climate change is one of the biggest environmental challenges society faces and Covanta is proud to be part of the solution.”

Covanta is committed to supporting and investing in renewable and alternative energy sources. As a global leader in generating energy from waste, Covanta’s facilities offset up to one ton of carbon dioxide equivalents for every ton of waste converted into energy by preventing methane production from waste (landfills) and reducing the use of fossil fuel to generate electricity, according to the U.S. EPA’s Life Cycle Assessment methodology in the Decision Support Tool. Covanta has also established internal goals of reducing its energy usage and improving its operational efficiency.

“We are thrilled that Covanta has earned the status of Climate Action Leader. We believe that Covanta’s example helps set a positive tone and a meaningful standard of energy efficiency in the energy industry,” said Gary Gero, President of the California Climate Action Registry.

Covanta is also a Founding Member of The Climate Registry, a nonprofit collaboration among North American states, provinces, territories and Native Sovereign Nations that sets consistent and transparent standards to calculate, verify and publicly report greenhouse gas emissions into a single registry, and a member of the Global Roundtable on Climate Change (GROCC), a group of high-level, critical stakeholders from all regions of the world, who discuss and explore areas of potential consensus regarding core scientific, technological, and economic issues critical to shaping sound public policies on climate change.

About Covanta
Covanta Energy is a subsidiary of Covanta Holding Corporation (NYSE:CVA), an internationally recognized owner and operator of large-scale Energy-from-Waste and renewable energy projects and a recipient of the Energy Innovator Award from the U.S. Department of Energy's Office of Energy Efficiency and Renewable Energy. Covanta’s 38 Energy-from-Waste facilities provide communities with an environmentally sound solution to their solid waste disposal needs by using that municipal solid waste to generate clean, renewable energy. Annually, Covanta's modern Energy-from-Waste facilities safely and securely convert approximately 16 million tons of waste into more than 8 million megawatt hours of clean, renewable electricity and create 10 billion pounds of steam that are sold to a variety of industries. For more information, visit http://www.covantaholding.com.

Contact
Vera Carley
Director, Media Relations and Corporate Communications
973-882-2439