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New energy waste contract could save Dudley Council up to £2 million a year

Lower processing fees at a waste plant coupled with the ability to sell energy could save Dudley Council up to £2 million a year, it has been claimed.

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At the Lister Road site from left to right: Nicholas Evans, new business development manager/mobilisation manager at Urbaser, Javier Peiro, managing director at Urbaser, Councillor Steve Clark, deputy leader of Dudley Council, Councillor Rob Clinton, cabinet member for waste management and climate change, Dan Pearson, contractor director at Urbaser, Councillor Patrick Harley, leader of Dudley Council

The council is hopeful of the boost after signing a deal with Urbaser Environmental Ltd, the UK waste treatment division for Urbaser Ltd.

The move will see the firm take over the running of the Lister Road energy-from-waste plant, used for the disposal of household and trade waste.

As part of the new contract, the council will be able to benefit from being able to sell the energy back to the National Grid to generate more cash.

It will also be paying a lower processing fee per ton of household waste, with both leading to the big saving after the contract started this month.

Councillor Rob Clinton, cabinet member for waste management and climate change, said: "It goes without saying that our priority as a council is to encourage everyone to recycle more and reduce the amount of waste they produce.

"As an authority, we must dispose of household waste in the most efficient and cost-effective way.

"We’re really pleased to be working with Urbaser under the new arrangement. The contract will offer up significant financial savings in the short-term and has the potential to generate substantial income from the sale of the electricity we produce, which is great news for the public purse.

"We hope in the future to use the electricity we produce to power our vehicles and buildings, which could reduce our demand on fuel and gas."

The new three-year contract started February with an option to extend it for another two years.

Javier Peiro, managing director of Urbaser UK, said: "We are thrilled to have commenced operations at the Lister Road facility and starting, what we hope will become, a long-term collaboration with Dudley Council.

"Given our established portfolio of energy-from-waste facilities in neighbouring regions, we will utilise our existing regional expertise and network of local suppliers and subcontractors to maximise value for money for Dudley whilst enhancing the existing service levels at the facility."

The council’s energy-from-waste facility has been operational since 1998 and continues to provide a waste treatment solution on behalf all residents within the borough as well as a number of commercial customers.

Urbaser is a leading global environmental management company, focused on sustainability and innovation, serving more than 70 million people in 21 countries through a network of more than 59,000 employees.