Select Committee on Environment, Transport and Regional Affairs Memoranda


MEMORANDUM BY MR BRIAN MAYNE (DSW 81)

  It should be welcomed by the committee that there is a move towards sustainable waste management through the publication of a statutory framework as outlined by the Waste Strategy 2000. However, whilst the document should be seen as an important move in the right direction, there are a number of concerns which need to be raised and recognised by the committee.

  The overriding concern is that through lack of local authority funding the goals set out in the waste strategy will not be achieved. The whole area of how local authorities will receive funding to achieve the aims of the strategy needs to be considered. It is hoped that the Welsh Assembly will conduct a thorough financial assessment of the proposals they intend to introduce in Wales and allocate funding to deliver them, which is likely to mean ring fencing any new resources. In the highly pressurised financial environments that local authorities have become, strategies will not survive without such accompanying funding as alternative pressures can always take precedence.

  A further concern is that in order to meet the targets there will be a need for a range of waste management facilities. Unless radical changes are made to the planning process then it is unlikely that progress will be made, not only in granting permission for Energy from Waste facilities which may be required, but equally for Materials Recycling Facilities or commercial composting plans. Therefore, the publication of the Planning Guidance note PPG10 or equivalent for Wales is even more imperative than before.

  As regards the other specific issues the environment sub-committee has resolved to inquire into the following issues need to be considered.

More efficient use of resources and a consequent reduction in the amount of material entering the waste stream

  It should be recognised that at the heart of sustainable waste management is resource optimisation. Minimising the amount of waste an householder or a business produces goes hand in hand with optimising their use of resources.

  There is also a need to consider the issue of waste in broader terms than the solid product left over at the end of a process or action, and recognise that waste is a much broader issue than that. We should not concentrate on reducing the amount of solid waste we produce at the exclusion of considerations about, among other things, wastage of energy or water.

  Whilst waste minimisation is at the top of the waste management hierarchy. Most attention is focused, apart form a few schemes conducted within particular companies and industries, on finding ways to deal with wastes once they have been produced. This is due to the fact that minimising the wastes actually produced during a particular process requires very specific knowledge of that process, unlike techniques used once the waste has been created such as re-use, recycling or composting. In order to successfully reduce waste volumes it is necessary not only to establish the composition of the waste but the reasons why it was created.

  A way of introducing waste re-use could be gained from considering new developments in the area of waste reduction in Germany for example. The Kreislaufwirtschaftsund Abfallgesetz (Cycle Economy Law Oct 1996). Instead of supporting the commonly held view that refuse is for disposal, this law encourages the avoidance of waste and makes reduction and re-use mandatory. A distinction is made between waste for recycling and for disposal, removing the gap between secondary raw materials (glass, paper, metals) and refuse.

  Many German firms are designing novel concepts to help come to terms with the new law. One such concept is ShaRe Centres, a Second Hand Department Store and Recycling Centre. ShaRe Centres are a combination of a depot for second hand goods, for both re-use and recycling. It functions as a conventional department store offering the same selection and convenience but with used products only. Ideally situated centrally to populations of 10,000 inhabitants and close to supermarkets. By combining their grocery shopping with a trip to the ShaRe Centre, customers can minimise travel.

  The ShaRe Centre is a service provider offering collection, storage, repair, distribution, rental and recycling. ShaRe Centres could offer expensive equipment to rent, a local laundry service including a nappy washing provision, an on-line computer service with up to date databases of goods along with a range of products and materials for sale, to rent or share. This concept could be developed in the UK.

An increase in recycling of waste, particularly by greater development of markets for recycled material (including compost) and the use of producer responsibility measures

  There is a lack, however, of meaningful producer responsibility measures in the strategy which means that the public continue to pay the full costs of waste disposal and not the producers of products that eventually becomes waste. The result therefore is that the responsibility of dealing with waste falls upon local authorities who have to bear the brunt of the costs. Concerted action across Europe and indeed other developed nations will be the only way that ultimately, producer responsibility measures can be deployed to adequately account for and make manufacturers of wasteful products pay the true costs of their activity.

  It is unlikely that there will be a significant demand for secondary materials unless some form of financial incentives to manufacturers are introduced. These could include, reduced or zero rated VAT on recycled products used in manufacturing, or tax benefits with targets for consumption of secondary materials to match those for reduction.

Increased use of incineration as a waste disposal/recovery option

  Government should take account, however, that energy recovery may be the BPEO at present simply because markets for recyclate are uncertain. As the EU landfill directive is implemented, waste may be diverted from landfill at a rate faster than the market for recycled goods can sustain, creating a need to expand incinerator capacity. The measures proposed by WRAP therefore to increase markets are extremely important. Energy from waste in the light of this should only be supported when recycling has been given time to develop. This would create a level playing field.

  There is also concern that as a result of the lack of definitive guidance on how waste planning authorities are to prove that they have fully examined different recycling and composting options before moving lower down the waste hierarchy and expanding energy from waste initiatives, EfW projects will benefit. It is recognised that the strategy outlines that various recycling and composting avenues should be fully explored before energy from waste, but his scarcity of guidance will leave waste planners open to concern of the public that EfW options are being given a clearer run than public opinion is likely to desire.

A reduction in the amount of waste sent to landfill

  The issue of tradable permits requires a great deal of consideration. A major concern is that there is a possibility that a permit system could well lead certain areas of the country being encouraged to concentrate on landfill, which would limit them to developing other waste management options. This could also result in transporting waste over long distances to landfill in order to reach permitted areas. This would be environmentally unfriendly. The further consultation on the implementation of landfill permits proposed should take these issues into consideration.

  The landfill tax has had a pronounced impact on local government finances and a limited impact on sustainable waste management. It has directly led to higher disposal costs for local authorities which has meant less money available to invest in sustainable waste management activities. This means that what were originally limited funds available for community recycling projects from local councils is stretched even further. A WLGA survey of authorities in Wales indicated that over half of the Authorities reported an increase in disposal costs of between 25 per cent and 75 per cent.

  It has also led to increased flytipping around the country which means even more unnecessary expenditure by local authorities to clean up the mess left by environmental vandals. In addition, misuse of Civic Amenity Sites by unscrupulous traders using the waste disposal facilities has also added to the financial burden. To add insult to injury, not only do authorities have to bear the additional costs of collection or removal they then have to pay the tax on the waste which has illegally been deposited in the first place.

  It is worth raising the point that local authorities have no control over the amount of waste they are obliged to collect by law, but have to pay for the consequences of carrying out their duties. Authorities collect the waste but do not produce it, so much for the producer pays principle. This however leads to another debate on the environmental and social aspects of charging for public waste collection.

  The answer to the continuing spiralling costs of landfill is obvious, cut down the amount we produce and recycle more, but the tax has had an adverse effect on the latter. Reprocessors whose authorities provide materials collected from recycling have reduced their payments or in most cases introduced charges by the level of the landfill tax, thereby nullifying any financial benefits that would have been achieved.

  Another negative result of the tax has been described by the WLGA who have shown that there has been a net flow of resources out of Wales with little coming back into the system. In 1997-98 £4.7 million was paid in landfill tax and yet only 4 per cent (£185,000) was apparently made available in landfill tax credits. Money leaving Wales which could have been spent on waste management projects in the country.

  A further drawback to the scheme is the requirement for landfill operators to contribute or find a contribution of 10 per cent towards initiatives using the tax. If this was removed then it would result in a greater number of small operators participating who would be more likely to support community based projects.

  Apart from the negative financial impacts of the tax, the block on local authorities directly benefiting from the scheme has led to bitter recriminations from the community sector when Authorities have been able to obtain funding to support trial or research waste prevention/recycling projects. The overly complex application system which has resulted in fewer applications by community projects has not helped either. A drawback for voluntary groups is the £100 required to register as an Environmental Body. What is needed is a fund made available to help small voluntary groups register as environmental bodies. There is also a need for advice to be provided to groups to explain how they become Environmental Bodies and the type of projects the Landfill Credits are able to support. There is a great deal of confusion around who to apply to and how.

  One way to ensure that recycling received a major boost in Wales would be to allow local authorities to submit schemes directly to ENTRUST for approval.

  Apart from the financial problems caused by the tax there is the limited impact that the present funding from the tax has on sustainable waste management, for example, repairs to historic buildings and landscaping of parks. There is little enough money now for recycling and re-use, without money which has been directly raised through landfill being used on repairing the church roof. There is a way that could resolve this and that would be to increase money for recycling and re-use without interfering with the present expenditure on "worthy" projects. The WLGA have stated that a greater proportion of the tax collected could be made available for re-use as the tax increases. In their response to the government document "Less waste more value" they state that the proportion of tax for re-use could increase from 20 per cent to 40 per cent without any detriment to Customs and Excise Revenue. By 1 April 2000 this could have increased to 49 per cent and by 2004, when the tax is projected to be at a level of £15 per tonne, 63 per cent of the tax could be made available to re-use without detriment to Customs and Excise income.

  The way forward for the landfill tax would be to ensure that:

    —  more use is made of the Tax to promote sustainable waste management;

    —  explore methods of transferring the tax to producers of waste;

    —  investigate a system that addresses the flow of landfill tax from Wales;

    —  remove the requirement for landfill operators to contribute towards initiatives using the tax;

    —  establish a fund and advice scheme to help convert voluntary groups into Environmental Bodies;

    —  allow local authorities direct access to submit schemes;

    —  increase the proportion of tax for re-use.

A reduction in, and better management of hazardous waste

  The burden of the collection and separation of hazardous household waste cannot fall on Authorities alone, restricted resources could mean the cheapest rather than the best option for an area is considered. Most Authorities deal with HHW through their CA Sites where members of public bring their waste. These sites are generally not available to traders and anything that is likely to compound existing control problems should be avoided. In addition as the initiative is expected to be highly publicised Authorities may not have the infrastructure to cope.

  The way forward should be to develop a partnership approach between the manufacturing industries, retail outlets, local authorities and waste management companies.

  Manufacturers/Retailers need to consider labelling, return packaging options and waste disposal options. Whilst LA's need to think about waste collection from both bring and doorstep schemes to cover hazardous household waste material in larger volumes. The expense of operating collections in sparsely populated rural areas found in Wales and their subsequent disposal will no doubt be costly. In addition there are likely to be significant costs in publicising schemes.

  It is important that the public are educated and informed of what is and is not considered to be hazardous waste and how it should be dealt with.

  Consideration should be given to product labelling, a crossed out wheeled bin is totally inappropriate as a number of Authorities use refuse sacks and more importantly it does not indicate what should be the correct method of disposal. There needs to be careful consideration of the symbol used and liaison with all sectors involved should be undertaken to ensure an appropriate symbol is promoted.

Significant action to improve the example set by Government in exercising "green" procurement policies

  The Waste strategy commits DETR and the Office of Government Commerce to developing a list of products with high levels of recycled content which should be purchased. This should be welcomed as the potential is vast; EU figures on public spending at around 18 per cent of total spend indicate the enormous potential a public sector procurement programme could have.

  Much of the programmes development will borrow from the US Governments Comprehensive Procurement Guidelines (CPG) programme which was developed as a result of the Resource Conservation and Recovery Act. The US approach encourages the purchase of recycled products by introducing legislation which requires government agencies to buy recycled products. The first CPG designated 19 products which procuring agencies are required to purchase. A procuring agency is any federal state, or local agency or government contractor that uses appropriate federal funds to purchase products. The range of products continues to be expanded under these guidelines. It is disappointing therefore that WS2000 starts solely with paper purchasing. A pilot scheme focused on recycled paper is simply not enough. Good quality recycled paper has been on the market for many years.

  Work has already been undertaken by the Environment Industries Commission with the Treasury on using Whole Life Costing to bring environmental issues into public procurement. The EIC have said that their work "has highlighted that the need is not for tinkering with pilot schemes on recycled paper but for a full scale effort to reduce the impact of all public sector purchasing".

  The waste strategy has therefore in my opinion wasted an opportunity and this is an area that needs to be addressed as there is an urgent need for effort to be applied to the reduction of the impact of all public sector purchasing.

Sufficient action to educate the public about the importance of sustainable waste management

  No guaranteed support for the National Waste Awareness Initiative is extremely disappointing, if the public are to be made aware then the type of activity this organisation can promote needs appropriate funding. A concern about the structure of the NWAI is that it does not have a representative from Wales, although it does have representatives who represent Welsh organisations (Cylch and some local authorities who are members of LARAC). There is a need that if they intend to campaign in Wales this omission is addressed.

September 2000


 
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