Waste management company Straight says that its core recycling market has not been affected by the economic downturn.
Straight financial director Jim Mellor said: The waste and recycling sector is a growing industry which still has a vast range of opportunities to be explored. Although globally we are currently experiencing some tough times economically, we dont foresee this directly affecting Straight or our core recycling market in the immediate future.
Mellor said that he had not seen any evidence of a downturn in the trade side of his business but said that it would be difficult to predict what will happen over the next 12 months.
He explained: One explanation for this could be that local authorities have specific waste and recycling budgets allocated each year to ensure that they meet their recycling targets. There is immense pressure on local authorities to further reduce the amount of waste they send to landfill. If funding was cut, many local authorities would struggle to meet their targets and would incur fines, which would in turn impact on the benefit of the funding cuts.
Industry experts claim that banks will become more risk averse and that local authorities will have a problem finding funding for private finance initiative projects.
But Bank of Ireland head of infrastructure Andrew Hartley said that the bank continues to show an interest in financing these projects.
Image: Straight 23 litre kerbside caddy