Reducing waste costs

In a bid to guide organisations through a potentially confusing and onerous task, recycling and waste management broker Waste Cost Reduction Services (WCRS) has launched a new knowledge guide for waste cost reduction. It is the second in a series of documents designed to help customers improve waste practices and reduce their impact on the environment the first was a knowledge guide on compliance that discusses how businesses can fulfil their obligations with regards to the waste they produce.

The latest offering from WCRS provides practical advice and information for all types and sizes of businesses that are looking to minimise the amount of money they spend on waste management.

Explaining the purpose of the guide Alex Mirkovic, commercial director for WCRS, says: We understand that managing waste in a cost effective way is a challenging undertaking. This guide is aimed at helping our customers manage their waste effectively and reduce the associated costs whilst keeping waste management systems practical and compliant.

WCRS says it is extremely difficult to identify areas for cost savings without understanding the types of waste being produced, in what quantities and at what cost to the business. This can be overcome by a characterisation waste audit which helps businesses to understand the nature of the waste being produced. It is important to note that this is likely to change as a business evolves, meaning new waste streams may be introduced and the quantities vary. As such, a waste management system that has been in place for many years without review is unlikely to be fit for purpose, believes WCRS. It is therefore important to undertake an effectiveness audit to determine whether the right bins are in place, whether they are labelled clearly and whether the waste collection service being provided by a contractor meets your requirements.

There are many ways a waste audit can be done but WCRS explains that the same basic principles are likely to apply regardless of the approach taken. They are:

• Planning
• Collecting waste for analysis
• Sorting waste for analysis
• Reviewing management information
• Analysing the data and identifying areas for improvement.

Treating waste in line with the waste hierarchy can also be a significant source of cost saving, according to WCRS which quotes figures by WRAP showing that the UK food and drink manufacturing sector alone could save over 400 million a year by taking steps to prevent waste throughout their operations and become more resource efficient.

Explaining what retailers can do WCRS says: For retail and manufacturing operations, preventing waste through reduced packaging in supplies received and products sold can lead to significant cost savings. Designing out waste in new products and reducing raw material wastage are also areas where huge gains can be had.

Businesses can also find potential savings by exploring alternatives to landfill, according to WCRS which notes that landfill tax is now 80 per tonne which is charged on top of gate fees. Reducing the amount sent to landfill and avoiding the tax altogether can also reap savings and WCRS advises that separating more materials for recycling is the quickest and easiest way to stop paying landfill tax and reduce your waste management costs. Ensuring materials separated for recycling are not contaminated is also important as recyclables may be rejected by your waste contractor…or they may send them to landfill. In either case, the costs will be borne by your business.

Ensuring high quality recyclables has other benefits, explains WCRS stating that: If you produce high quality materials, you may be able to earn money from these waste streams, turning your waste into a revenue stream.

While all of these measures, among others, can help reduce costs, WCRS says it is important to communicate the changes in order to encourage participation. Good communication is vital to the success of any recycling systems, including cost reduction initiatives. Staff, visitors and contractors who are generating waste, need to know what is required of them and why in order to encourage participation.