Palm Recycling wins South Wales paper bank deal

Palm Recycling has beaten off competition from the likes of Aylesford and Biffa to secure a three year contract providing a paper bank service across six South East Wales councils.

The contract involves the company paying the local authorities an agreed undisclosed price per tonne for paper collected in over 100 banks across the region. The deal began in July 2011.

Based on tonnages collected by previous contractor Aylesford Newsprint, the deal is expected to yield around 1,000 tonnes of material a year. The contract has the option of a two-year extension.

In total, Palm banks are being sited at 70 convenient locations across the region such as supermarkets, schools and community locations. The scheme aims to increase both the amount of paper collected for recycling and the quality of material.

The six councils involved are Blaenau Gwent, Caerphilly, Merthyr Tydfil, Monmouthshire, Newport and Torfaen, who are all members of the 10-council South East Wales Waste Management Group (SEWWMG).

The contract represents the latest deal to be let on a regional basis by the Group, which is working with consultancy Resource Efficiency Wales to procure materials contracts for its member councils.

Theother four members of the SEWWMG can decide to opt into the deal. James Kay, South East Wales regional waste co-ordinator for Resource Efficiency Wales, told letsrecycle.com today that one new as-yet-unnamed council was virtually signed up to the contract.

Competition

To secure the contract Palm Recycling beat off competition from Kent-based Aylesford Newsprint, which previously held the bank contract, as well as waste firm Biffa and two South Wales-based waste firms DS Smith Recycling and Wormtech.

Ross Johnstone, business manager at Palm Recycling, said: The new paper bank collection service, developed in partnership with The South East Wales Waste Management Group, adds to the various recycling opportunities within the local community offering even more ways to recycle paper simply and easily.

Once collected, the paper is processed through our state-of-the-art paper mill in Norfolk, providing reels of newsprint for the major newspaper and magazine groups throughout the UK and Europe.

Palm currently operates a network of over 6,000 bring banks nationwide, offering what it has dubbed a turn-key management package for the sites which involves supply, service, maintenance and monitoring options.

The award of the deal follows a similar contract let on behalf of nine of the SEWWMG councils earlier this year for the management of their textile recycling bring banks. That contract was awarded to West Midlands-based JMP Wilcox (see letsrecycle.com story).

Commenting on the paper deal, Mr Kay said: This is excellent news for the region. The authorities will receive a fair income for the value of the resource material together and receive a technically competent and professional service. This complements the other regional contracts for WEEE, glass and textile materials.