DEFRA unveils trio of waste management PFI schemes

The government is hoping to draw new competition into the waste management sector with the launch of three major PFI waste management initiatives in Southwark, Manchester and Cambridgeshire.

The Department of Environmental, Food & Rural Affairs has given the green light to £170m of PFI credits to fund the three schemes. The largest is the £100m Greater Manchester project, one of the biggest waste disposal contracts in Europe.

More than 1.5 million tonnes of rubbish is produced by Greater Manchester each year, but it recycles and composts just 10%.

The project is expected to boost recycling and composting to more than 50% by 2020 and divert 3.26 million tonnes of municipal waste away from landfill sites.

The PFI deal will help the city meet key national targets to recycle or compost 25% of household waste by 2005/06 and to reduce the amount of biodegradable waste disposed in landfill by 25% by 2010.

The London Borough of Southwark work is worth £34.5m. The upgrade of parts of Cambridgeshire County Council’s waste management facilities is worth £35m.