Pickles slams “rubbish” council waste procurements

And, the minister reiterated his pledge to increase the frequency and quality of household waste collections.

Mr Pickles was commenting on the ‘Household Waste Collection: Procurement Savings Opportunities’ report, which found £70 million could be saved by local authorities every year through better procurement and standardised processes.

DCLG collated findings from a short study of both the public and private sectors, as well as information from experts in the field.

It found that councils could save up to 10% on vehicle procurement and 35% on wheeled bins through clearer specification and procuring in “larger volumes” in partnership with other councils.

It adds that every wheeled bin in England costs an estimated £5 more than it does in Germany, so that a council procuring 50,000 branded bins could be wasting £250,000 of taxpayers’ money.

The report continues that a “pipeline” style procurement would present an “obvious opportunity” for local authorities – which would highlight which councils are due to make large-scale procurements and when.

The pipeline, it states, would facilitate more joining up of procurement, meaning higher volumes at a lower price resulting in lower unit costs for local authorities. DCLG advises that it could be hosted on Contracts Finder – the government’s main advertising platform for both central and local government tenders.

Frameworks

The report is also supportive of frameworks, in which a list of pre-qualified suppliers is drawn up to save time during the procurement process. In January, nine waste firms successfully bid for inclusion in a framework covering treatment and disposal of refuse in North Yorkshire (see letsrecycle.com story).

Significantly, DCLG also claims that geographical location “should not pose a barrier to using any of the frameworks or joining with other authorities from an entirely different part of the country” if savings can be made.

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This could give credence to councils setting up wholly-owned waste companies, which then operate services on their behalf at ‘arm’s length’. The procurement option has become an attractive option for neighbouring local authorities, which promises savings on lengthy procurements or outsourcing contracts to the private sector (see letsrecycle.com story).

Meanwhile, DCLG has announced that it is funding a project to see how councils can work together and standardise their approach to ‘digital’ waste services. Adur and Worthing, Brentwood, Bristol, Calderdale, Chelmsford and Luton councils have all agreed to take part in the study with an aim to give authorities greater flexibility to switch suppliers at lower cost.

Waste

Mr Pickles said: “For too long rubbish town hall procurement policies have wasted taxpayer’s money as councils have worked in isolation when they should have been working together to deliver a better deal for local taxpayers.

“People want and deserve a comprehensive bin collection service in return for their Council Tax, which is why this government is working with town halls to increase the frequency and quality of rubbish and recycling collections.

He added: “Instead of cutting frontline services or introducing stealth taxes such as charges for the collection of garden rubbish, councils should be making the sensible savings such as more joint working, better procurement and new technology.”