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Cornwall given go-ahead for 60 million PFI waste contract

Cornwall is to begin a “Europe-wide search” for a private contractor to reach a target of 40% recycling by 2010-11 in the county, after a 25m PFI grant from the government was given the go-ahead on Friday.

The new integrated waste management contract will replace existing contracts currently held by council-owned County Environmental Services, which could also be sold to the successful bidder as part of the deal. The new contract should be in place by 2005 and will run for 25 years with a capital expenditure of around 60 million.

District councils will continue to run collection services under the plan, which was submitted for government approval under the Private Finance Initiative in February 2003.

Granting his support for the scheme, environment minister Michael Meacher said: “I am pleased to be able to support the county council's efforts to deliver better waste solutions. I know there has been a lot of debate in the county about how best to tackle the increasing volumes of waste that are created. I am especially pleased that the county council has been able to bring forward proposals that will maximise the contribution that recycling and composting make.”

The contract will involve an “enhanced network” of civic amenity sites, new waste transfer stations, composting plants and materials recycling facilities according to the council. There is also provision in the longer term for an energy-from-waste recovery facility, and an application is being sought for a 64,000 tonne facility in the Roche area.

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Commenting on the government's approval of the plan, Cornwall's executive member for environment and heritage, Helen Richards, said: “This is good news, and just reward for all those involved in the long and detailed process. This 25 million of government backing will open the door to a range of possibilities, and we hope to attract the very best private sector input to help the county realise its recycling and recovery plans.

“Experience of other councils shows a net increase in the number of jobs related to waste management and disposal, and there is every reason to expect the same to happen here in Cornwall,” Ms Richards added.

Cornwall currently recycles or composts about 12% of its waste, with 88% going to landfill and a growth rate of about 3%. Around 263,000 tonnes of domestic waste is collected each year, predicted to rise to 290,000 tonnes by 2004 with new housing developments coming online.

Commercial and industrial waste amounts to about 275,000 tonnes each year, 125,000 tonnes of which is recycled through the materials recycling facility run by the Cornwall Paper Company, the Roodscroft MRF run by CES and Viridor's MRF at Lean Quarry.

The county received 1.69 million from DEFRA's 140 million recycling fund in July 2002, which will be put towards a new 50,000 tonne MRF at Bodmin.

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