ADA said that its activated carbon products are specifically tailored for flue gas applications and which are optimised for mercury removal.
The new agreement supports Covanta's corporate initiative of achieving cost reductions through the formation of strategic partnerships with select suppliers.
For Covanta, the agreement is one of a number of new or updated strategic supplier relationships being implemented across a variety of critical categories.
"We believe that by forming corporate partnerships with world class suppliers, we can continue to control and maintain our cost base, even in a very uncertain marketplace," explained Scott Shaw, vice president of procurement for Covanta.
Meanwhile, president and CEO for ADA Carbon Solutions, Brian Leen added: "We are investing aggressively in new technologies aimed at achieving improved performance in flue gas applications."