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Two left in running for 500m NI waste deal

Two left in running for 500m NI waste deal

By Nick Mann 

A partnership between seven councils in the north west of Northern Ireland announced yesterday (November 8) the two final bidders for its £500 million long-term residual waste treatment contract.

 

We are pleased with the calibre of the final two solutions and look forward to announcing the preferred bidder in spring 2011

 
Cllr Evelyne Robinson, NWRWMG

The North West Region Waste Management Group (NWRWMG) expects the successful bidder for the 25-year deal to develop a combination of mechanical biological treatment (MBT) and energy recovery technologies to deliver the contract – although it has previously stated its opposition to mass-burn incineration.

The group – which is made up of Ballymoney borough council, Coleraine borough council, Derry city council, Limavady borough council, Magherafelt district council, Moyle district council and Strabane district council – covers an area which currently generates around 200,000 tonnes of waste a year.

The shortlist for announced today is made up of Greenstar Holding Ltd and a consortium between civil engineers Brickkiln, United Utilities and construction company Sisk – halving the four-bidder shortlist announced in November 2009 (see letsrecycle.com story).

Acquisitions

Both the final bids have been affected by recent takeover and acquisition activity, with Greenstar's UK operation being bought by the owners of Biffa in June 2010 (see letsrecycle.com story), and United Utilities selling its bidding interest in major waste deals to Shanks last month (see letsrecycle.com story).

But, commenting on how this might affect the NWRWMG procurement process, a spokesman for the council partnership only noted that the Shanks acquisition took place after the short-listing decision and as a result “any consequences of that purchase will be dealt with accordingly”.

And, with regards Greenstar and Biffa, he understood that Greenstar Holdings was the “correct reference” to the bidder.

Commenting on today's announcement, the chairman of the NWRWMG, councillor Evelyne Robinson, said: “The NWRWMG has carefully managed the procurement process since it was launched at the start of last year, closely scrutinising each bid at every stage of the process to ensure we can achieve the most economically advantageous waste management solution for the region.

“We are pleased with the calibre of the final two solutions and look forward to announcing the preferred bidder in spring 2011, with the new waste facilities set to be operational before the end of 2014.”

The next stage of the process will involve the two final bidders submitting their final Competitive Dialogue sessions, followed by their Final Tenders.

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