Lancashire selected Herhof as the preferred bidder to build and manage the counties first MBT plant at Leyland Park near Preston in January 2004. The plant was to be the first of at least three MBT sites in the county. The other plants will follow as part of a 25-year, PFI backed waste management contract.
” The selection of the preferred contractor for the Lancashire PFI waste scheme is likely to take place in September. A decision on the Herhof situation should be made by then “
– Lancashire county council
Early this year, the German arm of the Herhof company, which provides the technology for its plants, went into administration throwing the UK project into doubt.
Since this date Lancashire and Herhof have been in discussion over whether or not the company could still provide the technology for the plant. But, with a decision on a preferred bidder for its Private Finance Initiative backed waste management contract looming, Lancashire county council has said that something will have to be decided soon.
Lancashire has previously stated that if Herhof was unable to provide the technology for the site, it would fall back into the county's PFI contract. A decision is set to be made on a preferred bidder in September of this year on a preferred bidder for the contract.
Discussions
A spokeswoman for the county said: “Discussions between Herhof and Lancashire are still taking place. The selection of the preferred contractor for the Lancashire PFI waste scheme is likely to take place in September. A decision on the Herhof situation should be made by then.”
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The spokeswoman also pointed out that a formal contract for the PFI scheme would be signed in March 2006.
Lanfill targets
Lancashire has also said that the delay in the MBT plant being built will not affect its landfill targets. The spokeswoman said: “The PFI contract and the MBTs which will be built as part of it aim to divert 80% of waste from landfill. This is an overall target and there are no specific individual targets for each site.”
A spokeswoman for Treasury Holding, Herhof's parent company, said that the company had no update with regards to the Lancashire contract.
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