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Nottinghamshire's waste PFI contract goes to Veolia

Nottinghamshire County Council has awarded its 26-year waste management PFI contract to Veolia Environmental Services. The move follows the selection of Veolia as preferred bidder for the £850 million integrated waste management service last year.

The contract, which started this month, is the first waste PFI to be signed for two and a half years.

Environment minister Ben Bradshaw said: “The signing of this contract shows what can be achieved and should give confidence to the waste PFI sector and to the other projects that are going through the procurement process.”

A combination of waste education, recycling, composting and energy recovery through incineration will be used to handle the 460,000 tonnes of waste the county produces annually.

Nottinghamshire’s strategy will combine kerbside collections of mixed dry recyclables, green waste and glass by Waste Collection Authorities and the performance of its Household Waste Recycling Centres (HWRCs).

Veolia will manage 17 HWRCs and be responsible for the handling of recyclables and the disposal and treatment of residual waste. The plan is for there to be virtually no direct delivery of material to landfill from 2011, to ensure the authority exceeds its diversion requirements.

Capital investment of £140 million will be made in new recycling, composting, treatment and delivery facilities, and plants and equipment by Veolia over the term of the contract. The proposals include: a new materials recycling facility in Mansfield to handle around 85,000 tonnes of recyclables a year, a new composting facility in central Nottinghamshire, a new HWRC for Worksop plus the upgrade of existing sites, development of a network of new transfer stations for Newark and Worksop, and construction of an energy recovery facility to be operational from 2011 in the Mansfield/Ashfield area with an 180,000 tonne per year capacity.

Councillor David Kirkham said: “This contract with Veolia Environmental Services will see us in six years time reducing the amount of residual waste going to landfill from 75% to just 12.5%.”

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