The tenders are from:
--SITA UK Ltd
--Onyx UK Ltd
--Viridor Waste management
--Waste Recycling Group Ltd
The Authority will now evaluate these tenders with a view to awarding a contract or contracts from 2008 onwards.
These tenders reflect the Authority's procurement strategy that includes a 'main' waste management contract to secure new facilities and services on recycling and residual waste treatment, a separate 'landfill' procurement for the short-medium term and, possibly, a separate procurement for fuel derived from the new residual waste solution. This approach reflects the size of the task in managing Greater Manchester's waste and the structure of the UK waste management market.
Cllr Neil Swannick, Chair of the Waste Disposal Authority said:
'Our action to increase recycling and composting in Greater Manchester and our separate procurement for the bulk of waste management services will greatly reduce our dependence on landfill. However, we will continue to need substantial landfill capacity in the short to medium term. It is essential that we secure adequate capacity so that we can continue to deliver a high quality waste disposal service and that we do so in a way that minimises the cost increases that are coming through, both as a result of increases in landfill tax and the reducing supply of landfill in the UK.
'We are very pleased to have received such a strong market response, in terms of the numbers of responses and in terms of the quality of the tenderers. A number of people have commented on the low level of competition in the UK waste management market at present. Our experience suggests that if the procurement strategy is right, then a highly competitive tendering exercise is possible'.
1.GMWDA is the largest of six English waste disposal authorities that were created under the Local Government Act 1985. GMWDA provides waste disposal services for 958,000 households in Bolton, Bury, Manchester City, Oldham, Rochdale, Salford, Stockport, Tameside and Trafford.
2.Today's announcement concerns landfill capacity. In July 2005, the GMWDA said four shortlisted companies would be invited to tender for the 'main' contract. They were: Shanks Group plc, SITA U.K. Ltd, Viridor Waste Management Ltd and Waste Recycling Group Ltd. Tenders are due to be returned to the Authority on 13 February 2006.
3.Today's announcement confirms that 3 of those 4 bidders seek to also supply landfill capacity. In addition two other companies who are not bidding
4.The Greater Manchester Municipal Waste Strategy committed the conurbation to arresting waste growth, recycling and composting 50% of waste and reducing the amount of biodegradable waste going to landfill to 35% of that produced in 1995.