BUILDING ENGLISH RESOURCE NETWORKS: THE AGGREGATED SERVICES MODEL

Transcription

1 BUILDING ENGLISH RESOURCE NETWORKS: THE AGGREGATED SERVICES MODEL

2 INTRODUCTION Recycling policy remains largely based on outdated assumptions about resources which reinforce expensive, resource management systems that were designed in a different age for a bygone era when collections were based on geographic areas and an overall objective of reducing transport costs. Therefore, even now decisions about collections, contracts and infrastructure are still often based on arbitrary political boundaries by authorities not focused on the value of resources to the national economy. This, together with a lack of central government strategy and common standards, simply reinforces a wasteful system rather than seeks to resolve its inefficiencies. This situation is made worse by the current pressures on local authority funding which mean that even existing recycling systems are being undermined. There is therefore no doubt that the current resource management systems are no longer fit for purpose. They are in urgent need of replacement in order to improve a recycling rate in England of 44.8 percent, to move towards a circular economy and make a positive contribution to the nation s economy by creating jobs and boosting productivity. CURRENT ACTIONS DEFRA Minister Rory Stewart MP has indicated that he wants to see England move to more consistent policies in recycling and resources policy. Addressing a fringe meeting at the Conservative Party Conference in October 2015, Mr. Stewart stated that he wanted to see councils move towards one of five or six types of collection system over the course of the next five to ten years and there are indications that the initial focus could be on London boroughs. It is understood that the Minister is also enthusiastic about bringing forward a business case that would demonstrate to local authorities the potential benefits of consistency across recycling collections; research into harmonisation is being spearheaded by WRAP, with engagement from the London Waste and Recycling Board (LWARB), councils and the Chartered Institution of Wastes Management. Our proposals are therefore set against the backdrop of and are in some respects developments on the Government s current activities. Fundamentally, there needs to be a shift in the country s resources policy from one that encourages wastefulness to one based on preserving material, generating demand for high-quality recyclate to enable investment in next generation recycling and recovery infrastructure. Collection and processing systems for example will need to operate on a more aggregated model that goes above and beyond a focus on the reduction of administrative costs in order to meet the needs of quality-focused reprocessors and manufacturers. Even now decisions about collections, contracts and infrastructure are still often based on arbitrary political boundaries by authorities not focused on the value of resources to the national economy. 44.8% 2 Building English Resource Networks: The Aggregated Services Model 3 Building English Resource Networks: The Aggregated Services Model

3 ENGLISH RESOURCE NETWORKS To achieve a resource management system that is fit for purpose and able to take full advantage of opportunities available now and in the future, the Government should develop as a priority fullyintegrated English Resource Networks focused on the availability of consistently collected, high quality materials. This would lead the way across the UK and Europe, signalling a nation ripe for investment by global manufacturers such as Coca Cola and Unilever. The English Resources Networks would be based on an aggregated services model which is already developing in Greater Manchester: the successful Manchester Model is Europe s largest resource partnership between the public and private sector which is not only delivering results but through its innovative 2020 Vision is also attracting inward investment from manufacturers, and supporting the region s decentralised energy ambitions. Each aggregated service area (resources network) may require access to: One Energy Recovery Facility Two Materials Recycling Facilities One polymers recycling facility One glass recycling facility Logistics depots and transfer stations BENEFITS English Resource Networks would: Offer a fresh start for resources policy, better regulate and align with Europe s circular economy agenda. Create economies of scale, join-up the country s value chain, plan for and meet regional social infrastructure and resource requirements, and deliver on a natural capital agenda supporting national economic growth. Develop appropriate levels of social infrastructure and a planned and maintained asset base, without the risk of over-capacity. Aid in the creation of around half a million jobs (gross), reducing unemployment by around 102,000. Boost productivity to UK business. In establishing the English Resource Networks, the Government would have a variety of options open to it as set out below: OPTIONS The Government could: Recognise, as part of national infrastructure and resilience policy, the economic opportunity of the nation s resources and move to establish a new, economy-wide model, including mandatory common standards for collections by councils and businesses. Progress the business case that would demonstrate to local authorities, businesses and manufacturers the potential benefits of consistency across recycling collections. Pilot standard collections on specific materials such as paper, glass and e-waste (computers, televisions, fridges and copiers for example.) Extend the discussion with local authorities on how their duties are currently defined in relation to waste disposal and collection on the viability of new collection authorities able to take advantage of size and scale, and better able to meet the resource needs of city-regions. Develop a English Resource Networks Innovation Fund to allow councils or collection authorities to bid for finance to demonstrate the economic and environmental benefit of an aggregated services model. Innovate and drive the above through the creation of a National Resources Council to strengthen the Government s ability to respond strategically to resource supply threats to UK industry. JOBS: The Green Alliance & WRAP estimate that by 2030, on the current development path, the circular economy could create over 200,000 gross jobs and reduce unemployment by about 54,000. More extensive expansion of circular economy activities could more than double these figures, creating around half a million jobs (gross), reducing unemployment by around 102,000, and potentially offsetting around 18 per cent of the expected loss in skilled employment over the next decade. PRODUCTIVITY: The Ellen MacArthur Foundation states that any increase in material productivity is likely to have an important positive influence on economic development beyond the effects of circularity on specific sectors. Circularity as a rethinking device has proved to be a powerful new frame, capable of sparking creative solutions and boosting innovation rates. 4 Building English Resource Networks: The Aggregated Services Model 5 Building English Resource Networks: The Aggregated Services Model

4 THESE OPTIONS CAN BE DEPICTED THUS: NATIONAL RESOURCES COUNCIL ENGLISH RESOURCE NETWORKS INNOVATION FUND COMMON STANDARDS FOR RESEARCH ON NEW AUTHORITIES STANDARD S FOR SPECIFIC MATERIALS PILOT CASE STUDY: GREATER MANCHESTER Europe s largest resource partnership between the public and private sector. Working with nine waste collection authorities to manage 4.2% of England s waste. Serving 2.2m people across 1m households. 1.1m tonnes of municipal waste per annum. City-region planning allowing the delivery of circa 790m investment in world-class infrastructure. 4 award-winning education centres; 20 recycling centres; 5 MBTs with AD ; 4 in-vessel compositing facilities; 1 metal recovery facility; 7 transfer stations; 1 thermal recovery facility; 1 thermal power station. Innovative 2020 Vision to align waste reduction, reuse, quality focused consistent collection systems designed to attract inward investment from manufacturers and support the region s decentralised energy ambitions. EUROPE S LARGEST RESOURCE PARTNERSHIP WORKING WITH NINE WASTE AUTHORITIES MANAGING 4.2% OF ENGLAND S WASTE 790M INVESTMENT IN WORLD-CLASS INFRASTRUCTURE INNOVATIVE 2020 VISION CONCLUSION England is at a crossroads: it can risk being overtaken by devolved nations or it can put in place policies that puts it at the forefront of resource management and better regulation on these islands. With next steps for Circular Economy policy currently under review, aligned with its response to the European Commission CE package, England is well placed to realise the opportunities outlined above, creating jobs and boosting productivity. Viridor will continue to make a positive contribution to policy development by seeking to persuade opinion formers and decision makers of the merits of the aggregated services model, in particular, and of the necessity of continuing to make progress towards a truly circular economy. CASE STUDY: LONDON DEFRA Minister Rory Stewart MP announced in October his desire to see England move to more consistent policies in recycling and waste policy. Speaking during a fringe session at the Conservative Party Conference in Manchester, the minister expressed his desire to see councils move towards one of five or six types of collection system over the course of the next five to ten years. Details have come to light indicating a possible initial focus on London boroughs. It is understood that Mr Stewart is also enthusiastic about bringing forward a business case that would demonstrate to local authorities the potential benefits of consistency across recycling collections. Research into harmonisation is being spearheaded by WRAP with engagement from the London Waste and Recycling Board (LWARB), councils, and the Chartered Institution of Wastes Management. MORE CONSISTENT POLICIES IN RECYCLING AND WASTE POLICY MOVE TOWARDS ONE OF FIVE OR SIX TYPES OF SYSTEM INITIAL FOCUS ON LONDON BOROUGHS BUSINESS CASE TO DEMONSTRATE THE POTENTIAL BENEFITS 6 Building English Resource Networks: The Aggregated Services Model 7 Building English Resource Networks: The Aggregated Services Model

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