The Bristol-based company has formed a strategic partnership with German-based Reverse Logistics Group, the parent company of CC Logistics Systems AF and its UK subsidiary CCR UK Ltd, based in West Drayton. Under the arrangement, CCR UK will close its CCR REBAT battery compliance scheme and its members including the likes of BT, Dell and Lidl – will be asked to move over to Budget Pack.
Budget Pack is already the UKs second largest battery compliance scheme and the deal will help to consolidate this position, by growing its membership from 88 at present to up to 139. The largest player in the battery compliance market is currently Valpak, which has 163 battery producer members.
Budget Pack is also set to take on the members of CCRs RELECTRA WEEE compliance scheme when it closes in the next few months, however there are fewer members involved compared to the battery scheme.
Under the partnership arrangement, Budget Pack will run collections of waste batteries and WEEE, but it will use Reverse Logistics Group as a preferred supplier for providing collection and take-back services. Budget Pack members will also have access to RLGs international compliance and collection expertise. Budget Pack said it was unable to divulge the commercial details of the agreement.
New era
Stephen Clark, managing director of Budget Pack, said: This partnership agreement spells a new era in compliance services and waste management for Budget Pack members, and it comes amid continuing economic uncertainty, which has created volatility in UK markets.
Through this partnership we can offer strategic added value to our members via the benefits of a global market place for waste products, as well as a consolidated international compliance network.
Patrick Wiedermann, chief executive and Stephan Matz, managing director of CCR UK, said: We have been looking for a UK partner for some time now and have chosen to work with Budget Pack due to their excellent track record of customer service and the synergy between our companys ethoses.
We want to enable greater return-to-value solutions for clients on an international basis waste products hold their value and the waste management industry exploits that value. We should be sharing the profit with customers at every level and we plan to do this across waste streams going forward.
Data
The announcement of the forthcoming closure of the CCR REBAT scheme comes after Mr Matz told letsrecycle.com in August 2011 that the scheme was resolving differences with the Environment Agency which had seen its portable battery collection data left out of official figures for 2010 (see letsrecycle.com story).
The announcement also comes after the Wastepackgroup last month forecast further consolidation in the compliance market after it took over two small compliance schemes, claiming that the compliance market was a little too crowded (see letsrecycle.com story).
As well as being the second largest compliance scheme for batteries in the UK, Budget Pack is the seventh largest compliance scheme for WEEE in the UK, with over 230 members. The company was set up by Mr Clark in 2003 and its members include the likes of Black & Decker and Robert Bosch.
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