30 October 2013

FCC preferred to Viridor for Cheshire waste deal

By Will Date

Officers at Cheshire West and Chester council have recommended that waste management firm FCC Environment be named as the preferred bidder for an eight-year residual waste treatment contract.

A report submitted to the councils executive ahead of a meeting next Wednesday (November 6), recommends that FCC be chosen ahead of a rival bid by Viridor Waste Management as it further to meeting the authority’s target to save 1.2m per year over the lifetime of the deal.

FCC is proposing to send waste to SSE and Wheelabrator's multifuel facility at Ferrybridge, an artists' impression of the facility of which is pictured on the left

FCC is proposing to send waste to SSE and Wheelabrator’s multifuel facility at Ferrybridge, an artists’ impression of the facility of which is pictured on the left

The council claims that it will make savings through the deal, which includes an optional two year extension, as it does not involve a guaranteed minimum tonnage be sent to the waste contractor with the local authority instead paying per tonne of material delivered to the contractor.

Further details of the value of the contract have been kept confidential by the local authority, but it is expected that the winning bidder will treat around 65,000 tonnes of waste per year.

FCC proposes to treat the waste collected from households by collection contractor May Gurney and through the councils network of Household Waste Recycling Centres (HWRCs) at a facility it is developing in Ellesmere Port which will shred the waste to create a refuse derived fuel (RDF).

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Under the new contract we as an authority only pay for the waste we deliver, we would not have to provide a minimum annual tonnage. This continues to incentivise us all to continue to reduce, reuse and recycle waste.

Cllr Lynn Riley, Cheshire West and Chester council

Refuse derived fuel

RDF will then be transported to the multi-fuel energy from waste (EfW) facility at Ferrybridge, currently being constructed by Scottish and Southern Energy (SSE) and Wheelabrator Technologies, which is scheduled to come online in 2015.

Non-recyclable waste produced by the local authority is currently sent to the FCC-operated Gowy landfill site near Chester and the Maw Green site near Crewe. Following the start of the new contract in April 2014 waste will continue to be landfilled at these two sites until the new facilities are available.

FCC estimates that as much as 81% of the councils residual waste will be diverted from landfill over the life of the deal.

Landfill

Commenting on the deal, councillor Lynn Riley, executive member for localities, said: Cheshire West and Chester council has continued to invest in waste reduction, reuse and recycling – seeing the amount of non-recyclable waste it sends to landfill steadily decrease from 95,500 tonnes in 2009/10 to 67,200 tonnes in 2012/13.

Sending waste to landfill generates significant greenhouse gas and diverting our waste to create energy will see a massive carbon emission reduction equivalent to around 13,600 tonnes of CO2 per year compared to current arrangements.

Under the new contract we as an authority only pay for the waste we deliver, we would not have to provide a minimum annual tonnage. This continues to incentivise us all to continue to reduce, reuse and recycle waste.

Procurement of the new contract began in June 2012, following the withdrawal of 160 million in PFI support from Defra for a joint project with Cheshire East council to build a dedicated waste facility (see letsrecycle.com story). Waste management company Viridor had been the frontrunner for the 850 million deal.


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