The rationale for supporting what many see as a profitable industry was explained by Mrs Price who was speaking at the Environmental Services Association conference in London. “The answer is that they can invest anywhere but will look at the rates of return and the payback period. Because of problems such as the high value of sterling, they say they cannot achieve what they need here without some form of assistance.
“Whatever the rights and wrongs, the investment is not going to take place without kick-starting it.”
And WRAP – the Waste and Resources Action Programme – said Mrs Price is hoping that the newsprint project will bring improved collection infrastructure that will stimulate and facilitate the collection of other recyclables.
Tenders for the newsprint project from the four bidders, Aylesford Newsprint, Bridgewater Paper Company, Shotton Paper Company and Finnish company Stora Enso are due in on September 26 with an award in October. Mrs Price emphasised that the 300,000 tonnes of new reprocessing capacity under the project must be situated in the UK. Referring to Stora Enso's project for a new mill in Belgium, Mrs Price said: “With Stora Enso we don't want to delude you into thinking it will be in Belgium.”
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