The plan includes the cessation of organic waste composting at the sites’ two in-vessel composting (IVC) units, with the county instead to secure a separate windrow composting contract to treat material.
Cuts to the services, which are carried out by a council-owned company Global Renewables Lancashire Operations Ltd, are expected to result in more around 250 job losses, whilst saving in the region of £5-8 million for the authority by the end of 2018.
As part of the cuts, the two facilities will also cease treating residual waste, instead acting as waste transfer facilities, with the material sent to third party facilities for treatment and disposal. Previously, the plants took in municipal waste for sorting to recover recyclable materials and processed the residues into a marketable compost product.
MRF
The processing of commingled dry recyclables at a materials recycling facility (MRF) at the Farington site will continue.
Closure of the processing lines at the sites comes into effect with immediate effect at the Thornton facility, and from 1 April at Farington. Processing equipment made redundant through the changes will be kept at the sites while the council decides what the long term future of the two facilities will be. The council has pledged to assess the ‘market options’ for the sites, should opportunity to re-introduce the service present itself.
‘Soft services’ including an environmental education service, a waste minimisation programme and various community projects will also be ended by 1 April.
Budget
In a report on the proposals, considered by councillors on Friday (19 February), the council said: “The service changes will provide the lowest cost, lowest risk operation to the county council which it is considered can be delivered within the prescribed revenue budget; delivering a revenue saving of £8.5 million per annum on current operations.
“Early delivery of the service changes is likely to save £5m – £8m of allocated transitional reserve over the financial years 2016-17 and 2017-18.”
The two MBT plants at Farington and Thornton were brought under council ownership in August 2014 after the early termination of a 25-year deal with contractor Global Renewables.
Both facilities were developed under a £2 billion PFI contract between Lancashire and Blackpool councils and Global Renewables in 2007. Defra, which had originally pledged to provide £6 million for the plants via its waste infrastructure funds, terminated its payments in 2014.
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