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Agenda Item No

 

The Vale of Glamorgan Council

 

Cabinet Meeting:  4th January 2012

 

Report of the Cabinet Member for Visible and Building Services

 

Payments to Commercial Undertakings who accept Household Recycling Waste

Purpose of the Report

1.             To seek the approval of Cabinet to pay Commercial Undertakings who accept household waste for recycling.

Recommendations

1.             That Cabinet support the payment of up to £10 per tonne to Commercial Undertakings who are able to provide full auditable records of any household waste they recycle.

2.             That Officers be permitted to enter into formal Agreements with relevant Commercial Undertakings in this regard.

Reasons for the Recommendations

1.             To obtain authority to make relevant payments in pursuance of the Council's National Recycling and Landfill Diversion Targets.

2.             To ensure that the Council's interests are appropriately protected and, that in particular, all evidence of recycling is capable of withstanding a robust audit process.

Background

 

2.             Tesco is the first major retailer within the Vale of Glamorgan to manage former Council bring sites on its own land.  Tesco use their 'Clubcard' rewards scheme to promote the use of their new sites, which have been installed at their three major stores (Penarth, Barry and Culverhouse Cross).  Currently the weight of material recycled by these Tesco stores is "lost" to the Vale of Glamorgan and this is having a detrimental impact on our recycling performance.  Similarly a household waste 'Save and Sort Rewards' scheme introduced by Site Serv in Llandow has also resulted in a loss of household recycling.  In this case, mostly from Schools in our area.

3.             In addition to these particular companies, it is likely that other similar initiatives could be introduced, either by major retailers or private waste management businesses.  This is mostly due to the current high value for recyclable material.  Unless action is taken to 'capture' the weights of the materials these companies are recycling, it is likely to be more and more difficult to achieve our targets in the future.  We have even had incidents recently of recycling being 'stolen' from the kerbside overnight, and Officers believe this is due to the rewards currently being offered by various private companies for recyclable material.

4.             Cabinet of the 20th January 2010 previously considered the environmental and financial benefits of making donations to charities who recycle household waste.  Cabinet resolved as follows (Minute C746 refers):

RESOLVED -

(1)  T H A T the introduction of a fixed payment of £10 per tonne to registered charities that provide full auditable records of any household waste collected within the Vale of Glamorgan that it subsequently recycled be supported.

(2)  T H A T a report be submitted to Cabinet on the operation of the scheme after 12 months.

Reason for decision

(1&2)  To recognise the merits of paying charitable donations for household waste arising in the Vale of Glamorgan that is recycled and to contribute toward the Council's recycling and landfill diversion targets.

5.             In respect to point (2) above, no further report has yet been taken to Cabinet on the success or otherwise of the scheme.  The reason for this is that none of the charities involved have been able to satisfy our audit requirements.  No payments have therefore been made to date, though officers are still hopeful that suitable processes will be able to be introduced in the near future that will satisfy our audit conditions.

6.             This report explains the rationale behind the proposal to pay for, in effect, auditable weighbridge tickets of domestic waste sent for recycling by private companies.

Relevant Issues and Options

 

7.             In principle, any household waste that fails to be collected by the collection Authority under Section 45 of the Environmental Protection Act 1990 (EPA), could be subject to these payments.  However, payments should only be made where the household waste is recycled or where it can be reused.

8.             Officers have recently obtained indicative projections of the recycling figures (by weight) from Ty Hafan, Site Serv and Tesco, for 2011 / 2012.

Organisation

Weight in Tonnes

 

 

Ty Hafan

317

 

 

Site Serv

281

 

 

Tesco

271

 

 

Total (Tonnes)

869

 

 

9.             Assuming these figures are correct, they represent 10.25% of the total amount of dry recycling collected in 2010 / 2011 and would increase our overall dry recycling performance by approximately 1.5% for this current financial year.

10.        As with the previously agreed Charity donations.  The following controls will need to be in place to ensure there is no error or potential for impropriety within the payment process:-

·               Full written details of the tonnage claimed including copies of weighbridge tickets must be provided;

·               The waste must not have been previously presented to the same or another authority for payment;

·               The waste must originate from the non chargeable household waste stream;

·               The waste must originate from the Vale of Glamorgan;

·               The waste must be removed from the Authority's collection system before, rather than after, collection by the Council;

·               Waste on which payments are claimed must be recycled and evidence of this will be required.

Resource Implications (Financial and Employment and Climate Change, if

appropriate)

 

11.        Based on the estimated annual weight of 869 tonnes the maximum cost of the scheme would be £8,690.  However should this tonnage provide the difference between meeting Landfill and Recycling targets or not, then it could save additional costs of £400 per tonne in fines from the WG.  The registration, administration and payment of the donations will be an additional burden on staff time, but this is nominal and will be met from within the existing budget allocation.

12.        For comparison purposes, the table below shows the cost per tonne of collecting and treating recycling from our bring sites:-

2010 / 2011 Costs

 

Collection and Treatment by Biffa

£118,882.00

Costs of Cleaning Bring Sites

£  69,008.00

Total Cost

£187,890.00

Tonnage

1317.66 Tonnes

Cost per Tonne

£  142.59

Legal Implications (to Include Human Rights Implications)

 

13.        The power to make payments to third parties is provided by Sections 52(3) and (4) of the Environmental Protection Act 1990 (EPA).  Where a person other than a waste collection authority, for the purpose of recycling it, collects waste which would fall to the collected under the Council's 'duty to collect' under Section 45 they may make payments in respect to the waste collected.

14.        Section 55 of the EPA also provides waste collection authorities (for the purpose of recycling waste under section 553 (a) power to 'buy or otherwise acquire waste with a view to recycling'.

Crime and Disorder Implications

 

15.        Providing payments are managed as stated in paragraph 10 then there should be no possibility of fraudulent claims and no crime and disorder implications in providing a recycling credit donation scheme for charities and commercial undertakings.

Equal Opportunities Implications (to include Welsh Language issues)

 

16.        As the scheme would be available to all commercial undertakings that collect and recycle household waste arising within the Vale of Glamorgan, there are no Equal Opportunity implications.

Corporate/Service Objectives

 

17.        Enhancing the environment to ensure that people living, visiting and working in the Vale have access to a clean and high quality local environment.

Service targets:

·               Increase the percentage of total waste arising that is recycled from 25.54% in 2005 to 35% by 2009;

·               Reduce the percentage of total waste arising that is disposed of in landfill sites from 70.8% in 2005 to 65% by 2009;

Policy Framework and Budget

 

18.        This report is a matter for Executive Decision by Cabinet.

Consultation (including Ward Member Consultation)

 

19.        None, as this matter relates to all areas of the Council.

Relevant Scrutiny Committee

 

20.        Economy and Environment.

Background Papers

 

None.

 

Contact Officer

 

Clifford Parish - Operational Manager, Waste Management and Cleansing

Tel No:  02920 673220

 

Officers Consulted

 

Accountant Building and Vehicle Services

Operational Manager Legal Services

 

Responsible Officer:

 

Rob Quick, Director of Environmental and Economic Regeneration