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Uncertainty knocking waste investment, Gerstrom warns

Uncertainty knocking waste investment, Gerstrom warns

Uncertainty caused by government and a lack of confidence because of PFI funding withdrawals and planning delays are threatening future investment in the waste management sector, Peter Gerstrom, the new chair of the Environmental Services Association, has warned.

Peter Gerstrom
Peter Gerstrom, new chairman of the ESA, has warned that the industry needs to engage more with government

Mr Gerstrom, chief executive of Cory Environmental, has been elected chair of the organisation in succession to David Palmer-Jones, chief executive of SITA UK and was speaking at the ESA’s annual lunch last Friday (November 21).

The new chairman told industry representatives and guests that any certainties that had existed in the sector were long gone. “The PFI/PPP pipeline has come to an end, the landfill tax driver has run its course and recycling has plateaued. As 2020 approaches, that old EU legislation is up for review.”

The changing landscape with the scale of the challenge to encourage changes in product design and stimulate use of the recyclates produced by the sector, needs the unifying direction of government, Mr Gerstrom declared.

He said: “We need a comprehensive Resource Strategy that will coordinate all these elements, and I feel that the industry will be less confident about investing until we have that engagement.”

Common objectives

Mr Gerstrom noted that he had recently been to the CBI conference and listened to “Cameron, Clegg and Miliband. Whatever their bones of contention with the EU, the environmental agenda isn’t one. All want inward investment and more infrastructure, so we have common objectives – why not try and lead the discussion.”

And, Mr Gerstrom declared that delays in planning decisions, as well as the withdrawal of PFI funding support from some projects, had knocked confidence.

He advocated a closer relationship between the industry and government and Europe to try and improve the situation. “We have the tools to engage. In Europe we should use all our levers – our MEPs, FEAD, where David Palmer-Jones is president and other organisations like the CBI…. If we fail we will end up with inefficiency from wasted resources, low investment and probably being told what to do by the EU at any cost. But I am hopeful. As I said , we are an industry that, in my career, has come through massive change. We should celebrate what we have achieved, but not rest on it – it is time to build the next phase.”

ESA Lunch 2014
(click on picture to enlarge) Clockwise from top left: Clare Deansley of Nabarro receives a rose bowl in recognition of life membership from David Palmer-Jones; Mr Palmer-Jones receives a decanter from new chairman Peter Gerstrom; Barry Dennis receives recognition of his forthcoming retirement from the ESA; and Richard Skehens receives a rose bowl from Mr Palmer-Jones.

Also addressing guests at the annual lunch, outgoing chairman David Palmer-Jones outlined the achievements of the ESA over the last two years.  He highlighted the work done raising the issue of waste crime, and the allocation of £5m to help tackle it and the discussion involving ESA and HMRC around landfill tax, and the ongoing deliberations.

Life membership

The event also saw Mr Palmer Jones presenting engraved silver rose bowls to three recipients of life membership: Barry Dennis, Clare Deansley and Richard Skehens.

Mr Dennis retires at the end of the year as ESA director general and received a standing ovation from those present when he was presented with a rose bowl and life membership of the association.

Ms Deansley has recently retired from Nabarro Llp where she has been an expert on waste management and has had long involvement with the association. Mr Skehens is a former ESA chairman and has recently retired from Grundon.

And, Mr Palmer Jones also received a crystal decanter in recognition of his two years as president of the ESA.

 

 

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