In August 2019, the long-term waste management contract between us and Resource Recovery Solutions (Derbyshire) Ltd (RRS) – which had been commissioned to design, build and operate the facility – came to an end.
Renewi UK Services Ltd was then appointed to carry out a deep clean of the facility and undertake a series of condition surveys to help assess the state of the facility and inform an appraisal into its future viability, which we will now consider.
Along with Derby City Council, we are being asked to move forward with the development of a business case that compares 2 options. The options are:
- To rectify and use the facility and,
- To close the facility and dispose of the waste using a third party.
Councillor Chris Poulter, Leader of Derby City Council, said:
“With such a long-standing and important project, it’s prudent to take stock of where we currently are, and what measures need to be in place for the councils to make an informed decision on the facility’s future.
“By beginning the process of developing the full business case now, we’re giving ourselves the greatest chance for success.”
The business case will be developed over the next few months, and once complete, we will reconvene with Derby City Council to review and decide how to proceed.
Our Cabinets will also be asked to approve an 8-month extension to the current continuity services contract with Renewi – a contract which was agreed to ensure that the city and county’s waste continued to be disposed of and treated, and that the household waste recycling centres and waste transfer stations continued to operate when the contract with RRS was terminated in 2019.
Renewi was initially appointed for a 2-year contract to allow time for us to understand the condition of the waste treatment facility and begin the process of putting new contracts in place to deliver these services on our behalf in the future. The current contract is due to end in February 2022.
Councillor Simon Spencer, our Deputy Leader and Cabinet Member for Corporate Services and Budget, said:
“It’s important that the existing contract with Renewi UK Services Ltd is extended for a short period to ensure waste from the city and county can continue to be disposed of and treated, and that the household waste recycling centres and waste transfer stations continue to operate while the councils search for potential contractors to manage these services on their behalf.
“We’re taking a different approach by separating the contracts for these services so that the councils are able to ensure best value for money for council tax-payers. Work to appoint contractors for these services has been underway for a number of months and we hope to appoint the successful contracts in summer 2022.
“We’re working hard to determine the future of the waste treatment facility and maintain these vital waste management services so that we can concentrate on getting the best deal for residents in both of these areas.”