Defra has picked the WEEE compliance fee proposal submitted by the Joint Trade Associations (JTA) for the 2017 compliance year which ended on 31 January.
Following a consultation launched by Defra last year, in which Valpak also submitted a proposal, the JTA methodology will be used to calculate the fee that producer compliance schemes (PCSs) will need to pay if they miss 2017 WEEE collection targets. It will be administered by accountancy firm Mazars.
For the first time, there will be a flat overhead fee of £3.50 per tonne to reflect variable overhead costs associated with bid preparations for local authority collection contracts, ongoing management of operational contracts and the costs of auditing.
Susanne Baker, head of environment and compliance at techUK and chair of the JTA, said: ”We have worked hard to make sure that the proposal is robust and economically sound. The compliance fee needs to strike a delicate balance: it has an important role as a ’safety valve’ for the compliance market, but also has to avoid acting as a disincentive to collect.
”This year we have structured the methodology to further encourage local authority collections and membership of the PBS [producer compliance scheme balancing system], which we see as a now vital feature of the UK WEEE system.”
It has been predicted that there will be a shortfall against the target this year, with some saying it could be as much as 70,000 tonnes.
Valpak’s proposal was adopted in 2016, with JTA methodology being previously used in 2014 and 2015.