A line-up of more than 50 domestic and international companies attended a special “Bid 4 Greater Manchester” conference hosted by the GMWDA on Wednesday, which highlighted its prospectus for the contract.
Including inflation, the contract is likely to be worth more than 4 billion over the expected 25 year period. The Authority is aiming to award the contract by March 27, 2007.
”Greater Manchester needs a world class waste disposal solution and to get it we need to bring together the assets that the authority has with the financial, technical and managerial expertise that the private finance sector can bring.“
– Cllr Neil Swannick, GMWDA
The showcase conference was held at the City of Manchester Stadium, with both contractors and finance companies attending the event.
Already Manchester has secured a record 100 million in Private Finance Initiative credits for infrastructure work from Defra – the largest ever PFI award allocated for a waste management contract – and the GMWDA estimates that some 200- 300 million in infrastructure improvements will be needed overall.
An April 29 deadline has been set for expressions of interest, with invitations to tender to be sent out by 21 September. Responses from contractors will be received by January 6 next year. The deadline for best and final offers will then be May 2, 2006 with a preferred bidder likely to be announced by 18 August, 2006.
GMWDA is the largest of the six English waste disposal authorities created under the Local Government Act 1985 to carry out the waste management functions and duties of the metropolitan county councils, which were abolished in 1986. It employs 800 people and works with the arms-length Authority-owned waste firm Greater Manchester Waste, which could be acquired or retained as a subcontractor as part of the forthcoming waste contract..
Contract
The contract would serve more than two million people, providing waste disposal services for some 958,000 homes in the Greater Manchester area. The Authority serves the waste disposal needs of nine local authorities – Bolton, Bury, Manchester City, Oldham, Rochdale, Salford, Tameside and Trafford councils.
About 1.5 million tonnes of waste is generated in the area – some 5% of the UK’s total of household waste and the Authority's waste management strategy sets ambitious targets for reducing landfill and aims to recycle and compost 33% by 2010 and 50% of all household waste by 2020.
The need for new composting facilities for treating garden waste and an early decision on future investment in new material recycling facilities are also set out in the Manchester management strategy.
MBT
It also envisages building a “world class” mechanical biological treatment system that will be able to divert some 750,000 tonnes of household waste a year from landfill sites. But, MBT is not necessarily the route the Authority will ultimately go for in its contract.
GMWDA chair Cllr Neil Swannick said: “We are keen to have a positive engagement with companies who feel they have the necessary technology and skills.”
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“Greater Manchester needs a world class waste disposal solution and to get it we need to bring together the assets that the authority has with the financial, technical and managerial expertise that the private finance sector can bring.
“This is a substantial commercial opportunity for industry and a critical service delivery issue for local people. The UK has traditionally used landfill as the major means for disposing of waste. That must change,” said Cllr Swannick.
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