Select Committee on Environmental Audit Minutes of Evidence


Supplementary memorandum from the Environment Agency

1.  ADDITIONAL FUNDING

  Q1.   In his response to 022, Dr Leinster refers to discussions with DEFRA on additional funding to enable the Agency to expand its role in information gathering and data analysis. What progress has been made in these discussions? What is the level of additional funding required? What additional data services is the Agency hoping to undertake?

  1.1  Agency proposals

  We have made two proposals to Defra for additional funding for the Agency in response to the Strategy Unit Report. One is for a Fly Tipping abatement Task Force and the second for a National Waste Data Centre for England and Wales. Both are based on core funding being available on a continuing basis but with additional funding in Year 1. It is possible that funds will only be available for one year—2003-04. If this is the case, the Agency will not be able to employ, train and deploy additional staff and will have to seriously revise its Year 1 proposals. We have also prepared a bid for funds from the Treasury Capital Modernisation Fund over three years. This is to develop a modern on-line system for capturing data on waste production and, management. Discussions are ongoing with Defra and the Treasury on all three proposals, including preparation of more detailed business cases.

  1.2  Fly-Tipping

  We estimate that fly tipping is currently costing all parties between £100 million and £200 million per year in England and Wales. We predict that illegal waste management will increase in the near future in response to a number of strategic pressures:

    —  The proposed increase in Landfill Tax will affect all non-inert industrial and commercial wastes—especially general non-hazardous wastes. If the tax reaches £35 per tonne the cost of a normal skip will at least double.

    —  A sharp reduction in hazardous waste landfill capacity following the end of co-disposal under the Landfill Directive in 2004. This will drive much of the roughly 50% of hazardous wastes that still go to landfill into more costly pre treatments of recovery/disposal. Pre treatment will cost roughly an extra £50 per tonne, high temperature incineration could cost over £1,000 per tonne.

    —  Early introduction of higher/direct charges for household wastes will affect householders' waste costs directly for the first time.

  All of the above pressures will increase the cost of responsible waste management, and increase the incentive to cut costs through illegal waste management. This will include mis-description of wastes, abuse of exemptions, abandonment and fly tipping. We believe that to protect people and the evironment, it would be sensible to provide funding—possibly from the centralised portion of the Landfill Tax Credit Scheme, to combat fly tipping. Our proposals include increased enforcement activity at a local level by the agency and better support to local authorities. Both the environment Agency and local authorities also need clearer responsibilities and improved powers to help combat fly tipping and these are also under discussion with Defra in relation to the proposed Anti-social Behaviour Bill.

  Key Agency Proposals:

    —  overall increased level of resources for illegal waste management in Environment Agency Area offices (100 FTE)

    —  a new national fly tipping data base, used by the Agency and local authorities

    —  dedicated specialist criminal intelligence and surveillance capability to support local fly tipping abatement task forces

    —  dedicated legal support and advice, to streamline and increase formal enforcement and prosecutions

    —  co-ordination of Agency and local authority task force programmes

    —  national surveillance and enforcement training programmes

    —  pilot multi-agency (Agency, local authorities, police, courts, landowners and businesses) anti fly tipping programmes in two major urban areas

    —  targeted clean-up for major illegal disposal sites

    —  high profile publicity for fly tipping abatement and enforcement

  Total cost for year 1—£14 million.

  Subsequent costs per year—£6 million.

  1.3  Waste Data and Information

  The Strategy Unit report criticises waste data collection and publication for being "widespread but not very well co-ordinated". Their recommendations 15, 20 and 21 identify the need for reliable and timely information on wastes and waste management options. The Agency already collects and reports on waste data and develops technical guidance on the waste management decision makers, the Agency proposes that it provides a national waste data service.

  Key agency proposals:

    —  to collect and co-ordinate data on the volumes of all waste streams generated in England and Wales and to present this as in formation to all the key stakeholders involved in the management of waste

    —  identify the main components and likely changes in each of the waste streams

    —  to provide tools, techniques and training to support the development of regional and local waste plans including ongoing development of Life Cycle Assessment software packages

    —  to provide data and performance information on near market waste technologies to supplement data on Best Practicable Environment Options (BEPO) and Best Available Techniques (BAT) provided as part of Pollution Prevention and Control (PPC) guidance for waste disposal and waste incineration industries

    —  to provide information on developing market trends, capacities and the impact of legislative changes on waste market economics

    —  to undertake Life Cycle Assessments to inform the development of key policy decisions as they impact product design

  Total cost for 1 year—£16.2 million.

  Subsequent costs per year—£5 million.

  1.4  On-Line data—Treasury Capital Modernisation Scheme

  The Agency is also bidding for funding over three years for a collaborative project for real time information on waste arising, movements and management/disposal for commercial and industrial waste. The project would require significant investment and co-operation between the Agency and the waste management industry to introduce systems to monitor wastes from the point of production through to eventual recovery of disposal. The system would draw on information already required under the Duty of Care and any enhancements needed to monitor Landfill Directive pre treatment requirements.

  The bid is for £15 million over a three year period and complements the development of the proposed waste data and information centre.

2.  TRENDS IN INDUSTRIAL AND COMMERCIAL WASTE

  Q2.   In response to 028, Mr Lee quoted figures on the amount of waste recycled or recovered by industry and commerce. What timeframe do these figures apply to an is it possible to identify trends over time? It would also be helpful to have a source for the figures.

  2.1  Waste statistics given in the Agency's evidence are generally from 1998-99. we completed the first national survey of industrial and commercial waste in that year and have used data from the same year for other wastes (eg household waste) in the preparation of our 2001 Strategic Waste management Assessments. Some waste data has been subsequently updated eg construction industry wastes in 2001 for our 2002 Strategic Waste Information publication. We have begun work on the second national waste survey and will begin publishing updated information in 2004, allowing comparison with the first survey and simple trend analysis. The surveys themselves are large sample surveys, mainly collecting data through visits to waste producers. These are slow, expensive and difficult to interpret over small areas. The Agency favours moving to a more steady state waste data system for the future, gathering routinely prepared information from the waste management industry.

  2.2  75 million tonnes of industrial and commercial waste were produced in 1998-99. 50 million tonnes of this waste came from industry and 25 million tonnes from commercial sectors. 61% of industrial and commercial waste arises from small and medium sized enterprises and over 70% of commercial waste currently goes to landfill. Nearly 17% (12.8 million tonnes) of waste in the industrial sector comprises mineral wastes and residues from steal works and power stations. Changes in these volumes, produced by relatively few companies, mask activity in the bulk of the industrial sector.

  2.3  If we exclude mineral wastes and residues (where over 70% are recycled or reused), three sectors dominate industrial and commercial waste:

    —  food drink and tobacco

    —  retail

    —  hotels and catering

  These three sectors alone are responsible for nearly 30% of wastes from the commercial and industrial sector. Much of this waste is general industrial and commercial waste where landfill disposal dominates. Clear waste reduction targets in these sectors are required as an important first step towards reducing the considerable waste arising from businesses.

3.  GREEN PROCUREMENT

  Q3.   In 035-7, reference was made to the Agency's own efforts on green procurement. The Committee would welcome further examples of good practice within the agency and further details of the work the Agency has done with other bodies to spread the green procurement message.

  3.1  It is essential that the environment agency demonstrates best practice in running its own operations. To do this we have a management system including environmental and quality matters accredited to both ISO 14001 and 9001.

  3.2  The first step in implementing this system is to identify the agency's environmental impacts and the environmental and ethical credibility of our supply base. One of the highest impact areas is procurement, involving £380 million goods and services each year. We therefore work with our top 20 suppliers (contracts worth £200 million) focusing on construction and information technology, to agree joint plans to reduce environmental impacts. With COMPAQ we have agreed:

    —  participation in an Agency-led packaging benchmarking with Hewlett Packard

    —  identification of the recycled component of packaging and a plan to increase it

    —  identification of the recycled components in IT products

    —  to identify the issues (cost and technical) surrounding utilisation of upgraded components rather than buying new ones

    —  the provision of information on how COMPAQ evaluate their suppliers from an environmental prespective.

  Further details on these programmes are contained in the Environment Agency's Annual Environment Report 2001-02.

  3.3  We have also worked with:

    —  Forum for the future to promote environmental procurement techniques

    —  the Chartered Institute of Purchasing and Supply to develop environmental procurement guidance

    —  utility companies to establish an environmental procurement group, which is now involved in developing tools and techniques specific to their needs

    —  the Association of chartered Certified Accountants (ACCA) and other bodies on environmental accounting for businesses

  3.4  At a Government level, our Chief Executive gave a presentation to Green Ministers on the challenge of environmental procurement. As a result, we are working closely with the Office of Commerce (OGC) and Defra to help develop an environmental procurement policy and system for application across the whole of Government.

  3.5  Our work has been recognised by the Chartered Institute of Purchasing and Supply who have awarded the Agency and Kelly Award for the best ethical purchasing initiative of 2002.

  3.6  Overall in our business we have also been able to reduce the environmental effect of our own activities from our base line year of 1999-2000. A number of the key deliverables during 2001-02 have been:

    —  a 4.3% fall in energy consumption

    —  a switch to renewable energy at a lower cost for 40% of our energy need

    —  reducing water consumption by 11.4%

    —  reducing office waste by 27%

    —  reducing the purchase of paper by 25%

    —  the purchase of 59% of secondary/recycled aggregates (reducing construction wastes by 402,483m3), avoiding the need for virgin aggregates

4.  WASTE HANDLING CONVICTIONS

  Q4.   059 refers to the increasing number of prosecutions for illegal waste handling. If possible, please provide corresponding figures on convictions.

  4.1  We secured 466 convictions (including 132 for fly tipping) in 2001-02 under waste legislation—a 93% increase over 1996-97. Average fines in these cases increased from £1,132 in 1996-97 to £3,004 in 2001-02. we remain concerned that fines are still too low, failing to act as a deterrent and not reflecting the economic gains from illegal waste management. For example, a recent case in Wales involved illegal cost savings in excess of £400,000 but resulted in total fines of less than £1,000 and no costs awarded to the Agency.

  4.2  The Agency has consistently sought to influence the courts and Government to increase the level of fines. We have worked closely with the Magistrates Association for some years and contributed to sentencing guidelines for environmental crimes. We have addressed the Association's AGM and produced further sentencing training material, launched by Michael Meacher on 20 November 2002 .

  4.3  Agency enforcement and prosecution activities are funded through Government grant-in-aid which is reducing year on year. Under the expected outcome of the funding review for 2003-04 the Agency is having to propose a cut in the funding for enforcement work which can only partly be re-couped through efficiencies. We have therefore made a substantial bid to Defra to support our response to illegal waste management and fly tipping.

January 2003




 
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