Backed by funds from the government’s Private Finance Initive (PFI), the deal is expected to boost the city’s municipal waste recycling rate to around 40% by 2005. Hopes are that landfilling of waste will drop from the current 91% to 60% by 2005.
Commenting on the announcement, Leicester’s cabinet member responsible for the environment, Nigel Holden, said: “The contract – worth around 300 million – represents the biggest single contract ever awarded by the city council, so it was vital that the selection process was stringent.
He added: “I am pleased to say that we have found a partner who shares our objectives, and who will provide the city with a truly integrated waste management service over the next 25 years.”
Biffa will take over the collection of the city’s waste in 2004, with plans for a £30 million recycling and composting facility for 2005.
PFI
The Government is to provide £30 million in PFI credits to the city council over the 25-year period to cover capital costs, but Biffa will develop facilities to deliver the contract at its own expense. The council will pay an annual fee to Biffa for the facilities and service costs, and at the end of the contract period any infrastructure will be owned by the council.
Biffa’s managing director, Martin Bettington, said: “We are delighted to have this opportunity to work in partnership with the city council in Leicester on this exciting project. Our aim is to deliver a quality service based on the highest levels of customer care and environmental leadership for the people of Leicester.”
As well as the new recycling centre, proposals for the new contract also include a weekly collection for glass, plastics and paper. A purpose-built anaerobic digester for composting the city’s organic waste is to be build at Severn Trent Water’s facility at Wanlip in Leicestershire.
The contract should also include city-wide public awareness campaigns to promote waste minimisation and recycling.
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