The decision to award the Reception, Haulage and Reuse & Recycling Centres Contract (RHRRC Contract) was confirmed by Authority Members on 17 July 2026.
The contract will begin in late December 2027 and will last for 10 years and three months, with the option of being extended by an additional five years after the initial period.
Councillor Jo Blackman, Chair of ELWA, said: “I am pleased to announce the award of our RHRRC Contract to Veolia following a highly competitive procurement process.
“This is a critical part of the modernisation of our waste services in East London – improving the service to residents, making use of latest technology and minimising our environmental impact.
“Veolia will become a new long-term partner working with us to improve the service provided to our local residents, as well as investing in our sites and facilities to help us to increase reuse and recycling, and to drive forward the Circular Economy in East London.”
Richard Kirkman, Chief Executive Officer for Veolia UK, added: “I am delighted to announce this new contract with ELWA, which will deliver high-quality and modern services that place community benefit at the forefront. Our ambition is to help build a more resilient circular economy by maximising resource recovery, reducing waste and strengthening environmental security for the communities we serve.
“Our business is deeply embedded in the local areas we serve and our investment in people and infrastructure will support ELWA in achieving both its environmental and social goals.
“We look forward to working together to drive continuous improvement, unlock the value of resources, advance circular economy solutions and support inclusive economic growth.”
The procurement process was launched in June 2025 and services are set to begin in late December 2027 – at the closure of the current contract.
The agreement includes the operation of ELWA’s large waste management sites at Frog Island (Havering) and Jenkins Lane (Newham).
It also includes the following Reuse & Recycling Centres:
- Frizlands Lane in Barking & Dagenham
- Gerpins Lane in Havering
- Jenkins Lane in Newham
- Chigwell Road in Redbridge
Veolia will take over the operation of the existing sites, and will also commence modification works at Frog Island and Jenkins Lane to ensure they are able to be used effectively as waste transfer stations.
The contract also includes the provision of haulage services to other waste treatment and reprocessing sites which ELWA is procuring.
Veolia has additionally committed to delivering a “Circular Economy Hub” at Jenkins Lane and £5 million in “social value contributions”.
The evaluated price of the contract, based on the net present value of the bid backs and the anticipated tonnage assumptions set out by ELWA in the procurement documentation, is in the region of £183 million over the initial period of the contract.
Andrew Lappage, Managing Director at ELWA, said: “We are very pleased to have reached this important outcome for this second major procurement.
“Veolia is offering improved solutions for managing our waste and recycling, investing in new systems to support the Circular Economy, and delivering excellent value for money for our residents.
“I would like to thank all the bidders that have engaged with us on this procurement process, and look forward to beginning work with Veolia to mobilise this important part of our future services.”
Further procurement processes
The existing “Integrated Waste Management Services” (IWMS) PFI Contract is currently held by Biffa, which acquired previous contract holder Renewi.
ELWA announced in 2023 that it planned to “disaggregate” the IWMS contract into several separate parts following its expiration.
The newly-awarded RHRRC contract is the second of the five resulting recycling contracts.
Cory was announced as the winner of the first contract – for residual waste treatment – in July 2025.
ELWA has recently launched two new procurement processes as part of the disaggregation.
The contract notices for the food waste and dry recycling contracts were published on 7th April 2026.
A further procurement for garden waste treatment capacity will commence in September 2026.
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