Biffa Waste Services, which currently runs West Berkshire's collection service and civic amenity sites, has cited the cost of bidding for the contract as the reason for dumping its proposals at such a late stage.
” Project affordability was one of a number of issues that influenced this decision.“
– Barry Walton, Biffa
The contract, which only Onyx is now preparing a bid for, will be backed by 28.5 million worth of PFI credits and is set to run for 25-years.
Barry Walton, spokesman for Biffa, said: “After careful consideration Biffa has decided to withdraw from the West Berkshire Waste PFI tendering process. Project affordability was one of a number of issues that influenced this decision.”
“Biffa has had a long-standing and successful relationship with the West Berkshire Council, and regrets having to withdraw from the project. In the meantime, the company is committed to maintaining the high quality of its existing refuse collection and civic amenity site management for the Council, until the current contracts expire,” he added.
Concerns
There are now concerns that the council might not get value for money for its contract with only one bid from the private sector. The deadline for the proposal return has now been delayed and Onyx has said that it expects to find out the new date in the next few weeks.
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Dan Lester, spokesman for Onyx, said: “Onyx is committed to the project and to providing best value to the Council and West Berkshire residents. Because we are still in the tendering process we cannot make any further comment at this moment in time.”
West Berkshire is just the latest council to suffer problems in the run up to signing a PFI backed contract. Northumberland has been left with only one bidder for its contract after two companies pulled out, the second at the last minute (see letsrecycle.com story).
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