It is one of the UKs largest waste, recycling and street cleansing contracts and will last for seven years, with a possible seven year extension.
With the appointment of Veolia, Westminsters current recycling rate of 23% is expected to substantially increase, ensuring it reaches its waste recycling target of 40% by 2016. The contract will see Veolia deal with 190,000 tonnes of waste annually.
Now, is the cooling-off period and Veolia will officially have won the contract next week once this period is over.
Westminster City Council cabinet member for city management Cllr Danny Chalkley said: We have an unrivalled reputation for the cleanliness of our streets and take great pride in the fact that in our area street sweepers and bin men are a regular and welcome sight, wherever you may live or work.
We have managed to negotiate a great deal for the council tax payer by maintaining the same high standards of service people rightly expect of Westminster with just as many bin collection and street cleaning services as before but at a substantial discount of £800,000 a year. We will also reduce our impact on the environment by using new low carbon technologies.
The contract begins in September 2010, with immediate priorities to expand commercial recycling services and roll out new litter bins to tackle the smoking-related litter problem in the area.
Westminsters waste collection system currently, involves weekly kerbside collections of mixed recyclables and twice weekly waste bag collections.
Veolia Environmental Services chief executive Jean-Dominique Mallet said: We believe our vast experience and unrivalled expertise in meeting the round the clock challenges of this 24/7 City - which attracts millions of people and hosts all manner of special events - has been a major factor in the decision by Westminster City Council to propose to continue our successful partnership.
According to Westminster City Council, the area poses a challenge for waste contractors, as more tourists visit it than any other area, with more than a million visitors coming into the city every day. In addition, the area houses 250,000 residents and 47,000 businesses.