A metric for the construction sector. The Net Waste Method testing a new standard for measuring waste neutrality

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1 A metric for the construction sector The Net Waste Method testing a new standard for measuring waste neutrality

2 WRAP works in partnership to encourage and enable businesses and consumers to be more efficient in their use of materials and recycle more things more often. This helps to minimise landfill, reduce carbon emissions and improve our environment. Contents Testing a single standard 03 The demand for a new way of measuring waste performance in construction 05 The Net Waste Method 06 Why measure by value? 08 Helping to improve performance 09 How will the Net Waste Method be applied? 10 Taking it forward 11

3 The Net Waste Method 03 Testing a single standard WRAP is working to develop, test and introduce an accepted metric for measuring progress towards waste neutrality. The Net Waste Method has been created in conjunction with key industry players and the principles have already received broad support. While development of tools and supporting material is on-going, this document sets out to introduce the concept and overview the rationale for the Net Waste Method. WRAP is keen to continue a strong dialogue with the industry as it progresses in its aim of embedding a single measurement standard for waste neutrality. WRAP is working to develop, test and introduce an accepted metric for measuring progress towards waste neutrality.

4 04 The Net Waste Method In simple terms, we consider waste neutral to be where the value of construction materials wasted is matched by the value of additional reused and recycled content employed on a project. This is to be achieved particularly by reducing waste, and with a reduction in overall environmental impact.

5 The Net Waste Method 05 The demand for a new way of measuring waste performance in construction The issue of how materials are managed and wasted in construction is gaining increasing resonance. Never before in construction has so much attention been focused on sustainability issues, including the way materials are used and reused in new build, refurbishment and infrastructure projects. These are fast changing times and much of this change is being driven by Government. There are clear messages in the Waste Strategy and draft Sustainable Construction Strategy which propose the adoption of waste neutrality as a holistic target for waste reduction, increased recycling and use of recovered materials in construction (by 2012/2015). This sits alongside other highlevel targets such as carbon neutrality and water efficiency, highlighting the three key areas where construction can improve its resource efficiency. The adoption of such standards is promoted by the Government s Sustainable Procurement Action Plan and Thames Gateway Interim Plan, and fits with the industry s own priorities. The Strategic Forum for Construction has adopted the target of halving waste to landfill by 2012, and the Major Contractors Group has committed to measuring what can be achieved. Waste neutrality is seen as a powerful aspirational target. But, as we stand, there is no accepted, common methodology for its measurement. Without a single, accepted methodology, individual organisations could develop a range of systems, which will not help the supply chain or construction clients in managing data and seeking continual improvement. In its role as a public-funded delivery body for materials efficiency, WRAP is responding to this need. We are testing a simple, robust and workable process that can be widely adopted. Waste neutrality provides a simple, measurable and deliverable target (or direction of travel ) that should drive the adoption of good practice in waste minimisation and diversion from landfill. By focusing on the commercial as well as the environmental costs of waste, it should deliver real benefits for the construction sector. In particular, it highlights where companies can reduce costs and increase profits through greater efficiency. It also supports the demonstration of Corporate Social Responsibility.

6 06 The Net Waste Method The Net Waste Method MATERIALS OUT: Value of materials wasted W Materials delivered to site gate Completed works MATERIALS IN: Value of additional recovered materials R NET WASTE W R = Z W is the cost of wastage (value of materials not incorporated in the construction works 1 ) [Materials Out]; R is the value of additional recovered materials 2 incorporated in the construction works or in off-site applications [Materials In]; and Z is the NET WASTE, which contractors would aim to reduce towards zero for waste neutrality. By focusing on the top 5-10 changes, the impact can be maximised whilst minimising the effort. The Net Waste Method is proposed as the standard way of measuring progress towards waste neutrality; it provides a basis for continual improvement in business performance. It will create an indicator of performance for both the supply chain and the construction client. Each project will be able to identify options for improvement at the design stage, as well as assessing actual practice post-construction to learn how to make improvements in the future. As the Method is adopted, it should be possible to compile benchmarks for good practice (by project type, e.g. housing, roads, schools), based on the level of Net Waste as a % of project value. This will allow clients and contractors to evaluate their own performance over time and against their peer group. Some projects can go beyond zero fairly readily, others will struggle to do so therefore a client or developer will focus on performance in reducing Net Waste, not on reaching a precise target. The components w and r will be measured and improved individually, driven by requirements for waste reduction/diversion and higher recycled content. In this way, Net Waste will enable the sector to measure progress towards its goal of halving waste to landfill by The Net Waste Method relates specifically to materials efficiency on individual construction projects, i.e. the materials entering and leaving the site, and opportunities to close the loop. It is aimed at enabling developers and contractors to optimise a project s design and delivery, rather than influencing the types of materials used. The outcome-based target encourages contractors to consider various ways of reducing wastage, and to prioritise those where the business and environmental case is strongest 3. By focusing on the top 5-10 changes, the impact can be maximised whilst minimising the effort. 1 This includes packaging waste. Costs of waste disposal (Landfill Tax, transport costs, gate fees etc) are not included in the basic Net Waste metric, but will be calculated by the Net Waste tool as additional management information. 2 This includes materials reused on site, recycled content above baseline practice for manufactured building products, use of reclaimed products, and the value of materials reclaimed for use off-site. 3 To avoid data overload, the Net Waste Method and tool are not intended to evaluate accurately the total environmental impact of all the materials used on a construction project. Rather, environmental impact is included in the Net Waste tool as a health check to ensure waste management and recovery measures also deliver environmental benefit.

7 The Net Waste Method 07 Net Waste will enable the sector to measure progress towards its goal of halving waste to landfill by A web-based tool is planned for calculating Net Waste and related metrics such as waste reduction and diversion from landfill with minimum effort. Cost of wasted materials and waste disposal will also be estimated. The cost/value data will be derived from data on quantities of materials and wastes that are most readily available from construction projects. 4 The tool s waste assessment module will also provide a standard method for forecasting waste, setting targets for improvement in priority areas and comparing against measured practice thereby helping project teams to satisfy proposed regulatory requirements for Site Waste Management Plans in England from Key success factors WRAP s Net Waste Method provides a standard metric for waste neutrality that: 1. is holistic it covers waste reduction, recycling and the reuse of recovered materials; 2. prioritises actions according to the waste hierarchy, in particular waste reduction; 3. identifies and promotes those actions that reduce environmental impact; 4. provides management information on value/cost to motivate clients and contractors by revealing the potential to reduce the cost of waste; 5. makes transparent the value of materials being wasted not just the costs of waste disposal; 6. highlights key areas where improvements can be made at the design and planning stage, as well as enabling actual performance to be monitored and lessons learnt for future projects; 7. is practical in making best use of currently available data, such as measured quantities of waste; 8. can be supported by easy-to-use tools (e.g. web-based) and reference data (on cost rates, impact rates etc) to minimise effort; 9. provides an iconic target to drive improvement by providing a working concept of waste neutrality ; and 10. gives credit for use of recovered materials in a balance sheet that sensibly relates Materials Out to Materials In. 4 WRAP will work with the construction sector to define a standard set of procurement requirements for data on waste that would be requested from waste service providers.

8 08 The Net Waste Method Why measure by value? Traditionally, waste has been measured by weight or volume. However, to determine Net Waste, value is proposed as the indicator because: it will identify cost savings and motivate improvement in commercial organisations; it can be estimated from existing data on waste quantities; and it helps contractors identify priorities, such as waste reduction and the use of recovered materials in higher-value applications. Recycled content is also commonly measured by value at the project level. The tool would attribute value to recycled content and wastage, using available project data on construction material and waste quantities, and stored reference data on wastage rates, materials cost rates and recycled content levels. The actual cost of recycled content or materials in a skip would not need to be measured. A value indicator will ensure that the high density materials that dominate the high mass of inert wastes and the low density materials that contribute to the smaller volume of higher-impact non-inert wastes, are given adequate weight within the Net Waste metric. Transparency of the true costs of waste will encourage clients and developers to set requirements in the procurement process aimed at driving measurement and good practice right from the start of the project. At present, clients pay for waste but have little visibility of the costs.

9 The Net Waste Method 09 Helping to improve performance The Net Waste Method is ideal to help set procurement and planning requirements as it demands the adoption of good practice on both Materials In and Materials Out. Materials In can be influenced by the setting of minimum targets for recycled content in a project, and can be simply calculated. Materials Out can be improved through a client mandate for better performance on waste minimisation and management. For construction clients in the public and private sectors, setting a Net Waste requirement would ask project teams to calculate Net Waste and to adopt the top actions to reduce Net Waste towards (or beyond) zero. Improvement would be relative to baseline practice estimated at the design stage using a web-based tool which is currently in development. The results could be shown as a balance sheet of value wasted and value recovered. The impact of the requirement through the project and down the supply chain is illustrated below. CLIENT AND TEAM / PLANNING AUTHORITY CONTRACTOR AND TEAM SUB-CONTRACTOR AND TEAM 1. Set requirements for WMM, RC and Net Waste Project definition 2. Identify key options to reduce waste and use more recovered materials Outline design 3. Planning for site waste management, materials etc; setting targets for waste reduction, recovery and RC; defining subcontractor and waste contractor actions Detailed design 4. Selection of specific good practice actions for WMM and RC Package procurement 5. Contractual requirements for measurement of site waste, evaluation of Net Waste, and delivery of good practice (Quick Wins) for WMM and RC 6. Reporting Net Waste outcome and Quick Wins (with evidence) 6. Reporting outcome and Quick Wins (with evidence) 6. Evidence of waste reduction, recovery and use of higher RC Construction

10 10 The Net Waste Method How will the Net Waste Method be applied? Once the Method has been fully developed and tested, developers and contractors would be asked to measure and reduce their Net Waste towards (or beyond) zero, adopting the top elements of good practice in both waste management and recycled content specific to their project. Action will be driven by requirements adopted by construction clients, planning authorities and development agencies and by contractors and developers seeking to differentiate themselves. The Net Waste metric could be implemented with minimum effort through a simple, freely-available web-based tool which WRAP is developing as an extension to its existing Recycled Content Toolkit ( This will help project teams identify and select options for good practice at the design and planning stage, and check post-construction against measured data to confirm actual performance and learn for the future: By using a web-based system, different users (architect, QS, engineer, main contractor etc) will be able to contribute to a shared picture of forecast and actual outcomes. The tool would make best use of existing project data (based on material/waste quantities) to tell project teams about the estimated value they are wasting and the potential to improve performance from standard to good practice. The opportunity to save costs should motivate acceptance and wider adoption of the method. Other metrics (e.g. diversion from landfill, cost of waste disposal) would be calculated as further indicators of project and corporate performance, using reference data such as environmental impact and cost factors. These metrics would not require additional data collection by the user. In particular, the tool will enable project teams to check that their actions deliver a reduction in overall environmental impact. WRAP would develop the tool and test the method with exemplars and proposes to work in partnership with BRE and others to ensure the best available reference data on environmental impact and wastage are included in the tool. WRAP would also advocate good practice to the sector, with on-the-ground support and training for leading adopters.

11 The Net Waste Method 11 Taking it forward The web-based tool will be developed during 2007, and WRAP is setting up eight test projects with leading developers and contractors to pilot the Net Waste Method: We are continually looking for other organisations to register their interest in being kept informed of the results and further developments in the Method contact

12 Through WRAP s work, by 2008 we believe that the construction industry will: Divert 1.7m tonnes of construction waste from landfill (or avoid being extracted from primary sources) Specify projects valued at more than 10 billion with a requirement for waste minimisation, recycling and recycled content Save more than 50m from site waste minimisation and recycling more waste While steps have been taken to ensure its accuracy, WRAP cannot accept responsibility or be held liable to any person for any loss or damage arising out of or in connection with this information being inaccurate, incomplete or misleading. For more detail, please refer to our Terms & Conditions on our website - Waste & Resources Action Programme The Old Academy, 21 Horse Fair, Banbury, Oxon OX16 0AH Tel: Fax: info@wrap.org.uk Helpline freephone Printed on 80% recycled content paper When you have finished with