Suez has been awarded an 18 month extension to its household waste and recycling collection contract with Warwick district council.
The extension will begin when the existing contract with Suez comes to an end in March 2021. There is also an option for another year, with the contract worth up to £5.8 million over its duration.
This comes after Warwick district council said it was “untenable to continue the procurement process” it launched in 2019 for waste collection services, “based on the information received from bidders thus far”.
Suez has held the contract with Warwick since 2008
Suez has managed the district’s waste and recycling services since 2008, and retained the contract in 2013 in a deal worth around £2.1 million a year.
Extenstion
The council said that after “concluding that it was untenable” to continue the 2019 tender, officers were asked to request a contract extension of 18 months (with the option of a further year) from the current service provider Suez.
Suez provided a quote of £5.29 million, which was £1.76 million greater than in the council’s indicative budget for 2021/22. This also included around £500,000 for facility upgrades.
“There was no alternative other than to accept this offer as the procurement process had ended, and there would be no time to commence and conclude a new process in time for the new contract period,” the council minutes said.
Warwick said it is keen to use the contract extension period to explore options around co-mingling, Materials Recovery Facilities options, a joint contract with Stratford and service redesign.
Service
The extension will run for 18 months from March 2021, with an option to extend for a further year.
The contract will see Suez continue to collect recyclable, organic and residual waste from households, and sort the material at its Blick Road Transfer station in Warwick.
Suez said that under its existing contract, it has supported the council’s ambitions to be carbon neutral by 2025 and has worked in partnership to increase recycling rates from 30.8% in 2008, to 55% in 2019.
‘Strong partnership’
Nick Browning, Suez’s regional manager, said: “We have worked closely with Warwick district council for over twelve years and we are delighted to be continuing our strong partnership. I would like to thank our 90-strong workforce who work tirelessly to make a greener Warwick.”
Warwick district council’s portfolio holder for neighbourhood services Cllr Moira-Ann Grainger added: “Alongside Suez, Warwick district council works hard to put waste to good use and to continually improve how much we recycle. We look forward to working with SUEZ and local residents to achieve our ambition of being carbon neutral by 2025.”
Suez added that it collects on average 10,000 tonnes of recyclable materials , 17,000 tonnes of organic material and 21,000 tonnes of residual waste each year on behalf of Warwick district council.
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Source: letsrecycle.com Waste Managment
