In September 2005 council officers in Gloucestershire advised councillors to drop a proposed PFI backed integrated waste contract. This was because the two bids from Cory and Shanks, represented too much financial risk without guaranteeing sufficient landfill diversion.
” As part of the procurement strategy we will be looking into funding options and we can't rule out PFI “
– Tony Childs, Gloucestershire county council
The council made the decision then that the PFI credits were no longer needed and the promise of the 30 million from Defra was removed.
Following a rethink Gloucestershire is now looking for two separate waste contracts. The tender process is already underway for a landfill disposal, composting and civic amenity site management contract.
A second contract will cover the treatment of residual waste – originally the cause of Gloucestershire's PFI problems. Bidders will be sought once a residual waste procurement strategy has been agreed upon by the council.
Tony Childs, waste contracts manager for Gloucestershire, told letsrecycle.com that once this strategy was in place the council would be in a better position to select a form of residual waste treatment.
And, Mr Childs believes that revisiting PFI as a funding option is a realistic possibility. He said: “As part of the procurement strategy we will be looking into funding options and we can't rule out PFI.
“When we had our problems before it was more of a timing issue, we were uncertain about the landfill allowance trading scheme and there questions as to whether mechanical biological treatment would meet it. The risks were too great,” he added.
Mr Childs said that once a strategy was put together, it was likely to be around 2007 when Gloucestershire began the procurement process for a waste contract.
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The council is now tendering for a contract to deal with landfill disposal, composting and CA site management in the county. Companies will have the opportunity to bid by February 2006, with a preferred bidder selected next May. The contract is set to start next August and will run for 10-years.
District councils will continue to deal with their own recyclables.
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