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New council-owned waste firm expected to save £3m

Cheshire East Council has said its arms-length waste management company will deliver ‘major efficiency savings’ of around 10% of its £30m budget over the next five years, as well as finding new business.

Ansa Environmental was launched on 1 April after councillors rejected proposals to outsource their waste service last year.

Council leader Michael Jones told MRW the company would be looking to expand into other markets.

He said: “We will be looking at commercial, public sector and school waste as well and whether we can compete for that. We’re doing that within the next few months.

“At the moment we have a 94% approval rate for our waste service. We have a 56% waste recycling rate. We’re also pulling away from landfill use and we’re looking very aggressively at energy-from-waste (EfW) as well.”

The services staff were transferred to the company under TUPE regulations, which protect local authority employees existing terms and conditions.

Jones said there had been no redundancies and that trade unions had been “fully involved”.

He added that the council’s EfW plans “may be the best way” to deal with waste more cheaply than competitors.

An application for a proposed AD and combined heat and power plant at Twemlow was currently going through the planning process. Jones said it was on course to start construction this year.

Cheshire East Council became a unitary authority in 2009 and brought together three different district council waste services.

NB: This article was updated after publication to clarify Jones’ comment that the Twemlow plant was a council scheme. It is, in fact, a private application.

Readers' comments (1)

  • I'd love a peek at the Cheshire Waste Co business plan. There is a world of difference between forecasts and actual income. there is also a world of difference between household customer satisfaction figures and the ability to secure and keep commercial collection contracts.

    I personally think Local Authorities should not be entering the commercial waste market and competing with established local and/or national service providers. They lack true business acumen and the inability to respond to markets effectively.

    However, if the government decided to make all waste management a statutory responsibility, well that's an entirely different discussion!

    Unsuitable or offensive? Report this comment

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