21 December 2011

Four bidders shortlisted for West London waste deal

The West London Waste Authority has shortlisted four bidders for a 500 million contract to treat residual waste from households in Brent, Ealing, Harrow, Hillingdon, Hounslow, and Richmond upon Thames.

In August 2011, eight companies were long-listed for the 25-year deal (see letsrecycle.com story).

WLWA's Transport Lane waste transfer station in Brentford

WLWA’s Transport Lane waste transfer station in Brentford

And, the authority today (December 21) announced that this number has been cut in half. The successful companies will now be invited to develop detailed solutionsfor the next stage in the competitive dialogue process.

The shortlisted bidders are:

  • Cory Environmental Ltd;
  • E.ON Energy from Waste leading a consortium with Tata Chemicals Europe Limited with sub-contractor Grundon Waste Management Limited;
  • SITA UK Ltd;
  • Viridor Waste Management Ltd.

This means that bids from Covanta Energy Ltd, FCC/Waste Recycling Group Ltd, Veolia ES Aurora Ltd and Wheelabrator Technologies Incorporated are not being taken forward.

Contract

The contract involves treating up to 300,000 tonnes of residual waste per year generated by a population of 1.4 million people, and covers all aspects of treatment including any necessary transport, the operation of transfer stations, and contracts for outputs such as energy and refuse-derived fuel.A spokesman for the WLWA told letsrecycle.com that the contract would be worth around 500 million, although this could rise to 1 billion over the 25 year of the contract due to inflation.

The WLWA is technology neutral but has stipulated that the technology must be proven in operation on a municipal scale.

Bids were invited from single entity companies, consortia, or joint ventures. The WLWA has offered its three waste transfer stations at Brentford, South Ruislip and Park Royal as part of the procurement but also welcomed proposals involving sites within bidders control or which they intend to acquire.

Process

The next stage of the tender process will be the submission of detailed solutions by the shortlisted bidders in spring 2012. Two final bidders will then be selected to submit final tenders in autumn 2012. The preferred bidder will be selected in spring 2013.

The new services will start in April 2015, but WLWA is exploring with bidders the opportunity for an earlier start to begin diversion from landfill as soon as possible.

Related Links

WLWA

West London currently recycles or composts almost 40% of its household waste, more than any other sub region of London. The Authority said that the new contract would allow continued flexibility to increase recycling up to at least 50% by 2020 and WLWA will focus even more on waste minimisation schemes in the future.


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