20 October 2017 by Elizabeth Slow

GMWDA seeking to replace PFI contract

The Greater Manchester Waste Disposal Authority (GMWDA) has begun the process of procuring for new contractors to deliver waste treatment services across the region.

This follows the conclusion of the Greater Manchester PFI contract on 29 September with Viridor Laing.

GMWDA

GMWDA has begun the process of procuring for new contractors to deliver waste treatment services (Picture: Ed Reardon, Shutterstock)

In a statement today (20 October), GMWDA said it is seeking to procure residual waste management services, household waste recycling and transfer services, bio waste management services, and all associated works.

Procurement

The scope of the procurement will include operation of five residual waste sites, twenty household waste recycling centres, eight transfer loading stations, the Bolton thermal recovery facility, the materials recovery facility, a number of bio waste facilities, the obligation to produce refuse derived fuel and associated rail transport and supply to the Runcorn Thermal Power Station.

In April this year, GMWDA voted to end the waste and recycling private finance initiative (PFI) contract with Viridor Laing Greater Manchester (VLGM) (see letsrecycle.com story).

And, in August, GMWDA said it would be exiting the contractual arrangements by “acquiring VLGM via a negotiated settlement for £1. As part of the arrangements GMWDA will be paying back outstanding bank loans at full value.”

A suppliers briefing session is being held on 2nd November at Manchester Art Gallery to outline the GMWDA’s aspirations for the project, detail the scope and the procurement process with timescales and submission requirements.

Pennon Group – the parent company of waste and resources firm Viridor –  confirmed the termination of the contract with GMWDA last month (September 29).

Response

In a response today, a Viridor spokesperson said: “Since 2009, Viridor has helped  to transform waste services across the North West of England. As anticipated following final agreement on the Greater Manchester PFI Contract, the authority has begun the process of procuring new contractors for certain waste treatment services.

“Viridor, as one of the UK’s largest recycling and renewable energy companies, had registered its interest as part of this procurement process.”

UPDATED: 20/10/2017 at 16.30

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