Defra has awarded Private Finance Initiative (PFI) credits to four projects across England to improve local waste management. The biggest PFI credit amount awarded is to Suffolk County Council who will receive £102 million.
These four projects will make a significant contribution towards meeting the UK's landfill directive targets by helping to divert over a million tonnes of waste.
Environment Minister Joan Ruddock commented:
"These are ambitious yet realistic projects which have risen to the challenge of supporting the whole waste hierarchy. They have contributions to make on minimisation, recycling and waste diversion. A combination of these activities is essential in our drive to tackle climate change.
"PFI agreements like these provide an incentive for local authorities and industry to work together to achieve our goals of reducing the environmental impact of waste, and making better use and reuse of the waste we create. Importantly, each one of them is pursuing a solution which will achieve major carbon benefits."
Each of the four projects will support the local authority's waste ambitions. All aim to reduce the overall amount of waste created and it is anticipated they all will deliver a minimum of 50% recycling rate by 2020, with some aspiring to reach 60%.
The PFI credits awarded to the four projects are:
- Barnsley, Doncaster and Rotherham Partnership - £77.4 million.
- Bradford Metropolitan District Council - £62.1 million.
- Suffolk County Council - £102 million.
- Leeds City Council - £68.6 million.
Each project will be considering the climate change impacts of its technology choice. They are all actively seeking options for Combined Heat and Power with an Energy from Waste or Mechanical Biological Treatment solution.
It is expected that each authority will issue a notice to prospective bidders in the Official Journal of European Union (OJEU) soon.
Note on Private Finance Initiative (PFI)
Public private partnerships (PPPs) are arrangements typified by joint working between the public and private sector. In the broadest sense, PPPs can cover all types of collaboration across the interface between the public and private sectors to deliver policies, services and infrastructure. Where delivery of public services involves private sector investment in infrastructure, the most common form of PPP is the Private Finance Initiative. (From HM Treasury website).
