Somerset County Council Waste Project
Published
Description
Somerset County Council (“Council”) awarded a contract to Viridor Waste Management Limited (“Viridor”) in 2006 following a procurement for project management services for the delivery of the Council’s municipal waste strategy and its landfill directive obligations to divert biodegradable municipal waste from landfill (the “Contract”). The procurement was advertised in OJEU Contract Notice (2004/S 204-174980). This also encompassed the delivery of waste services and development of new waste treatment facilities - details can be found in the OJEU Contract Notice. Viridor has subsequently changed its name to Valencia Waste Management Limited “(VWML”). The Council is intending to enter into a novation agreement with Syracuse Waste Limited (No. 13269384) (“Syracuse”) which is a contractor successor to VWML. This will result in Syracuse replacing VWML as the party to the Contract for the remainder of the term. Lot 1: The Contract was entered into on 14 May 2006 for a duration of 191 months with an est. value of £288m (and a max. duration of 299 months) for the services referred to above. The proposed novation will not seek to extend the duration beyond the max. duration of the Contract and will expire on 31 Mar 2031. Viridor transferred the resources, assets and staff (engaged in providing the services) into a newly created wholly-owned subsidiary, Syracuse, on 31 Jul 2021. On 31 August 2021 Biffa Waste Services Limited acquired the entire share capital of Syracuse. The Council intends to novate the Contract to Syracuse with the remaining term running until 31 Mar 2031. The novation will take place no earlier than the expiry of 10 days from the publication of this notice. The £288m value in II.1.7) represents the est. value of the Contract when it was entered into on 14 May 2006 on the basis of a ~£17m value per annum across 191 months. See II.2.14) for details of est. remaining value. The Contract has an initial term of 191 months (~16 years) with an option to extend for 9 years (which has been invoked). The remaining term on the novated Contract will be ~108 months with an estimated remaining value of £115m on the basis of ~£12m value per annum. The per annum value is lower due to the March 2017 variation that removed residual waste treatment and disposal from the services.
Timeline
Publish date
2 years ago
Award date
2 years ago
Buyer information
Somerset County Council
- Contact:
- Vicky Woodland
- Email:
- vwoodland@somerset.gov.uk
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