Integrated Waste Management Services

Description

This notice is published to advertise a market engagement exercise being conducted by the East London Waste Authority (ELWA). ELWA wishes to engage with market operators regarding a new contract opportunity to process and treat the residual waste for which ELWA is responsible and a separate contract for the Reception, Haulage of the entire waste stream for which ELWA is responsible for, and the operation of Reuse and Recycling Centres. Market engagement on future waste management arrangements for the treatment of dry recycling waste, food waste and garden waste will take place as part of a separate engagement. ELWA's existing Integrated Waste Management Services Contract (IWMS Contract) shall expire in 2027. Further details are contained in this notice at section II.2.4 which sets out the issues which ELWA is seeking to discuss with market operators. The date for submission of response to this preliminary market engagement is 18 September 2023. ELWA will then arrange meetings with respondents to discuss key topics. Participation in this preliminary market engagement exercise is not a requirement for participation in the forthcoming procurement, which shall be formally commenced through publication of a contract notice. Lot 1: ELWA is responsible for the disposal of the Local Authority Collected Waste (LACW) collected by (or on behalf of) the London Boroughs of Barking and Dagenham, Havering, Newham and Redbridge (the Constituent Councils). ELWA is also responsible for the disposal of commercial waste collected by the Constituent Councils. The current Integrated Waste Management Services Contract (IWMS Contract), which was signed in December 2002 with ELWA Ltd (the IWMS Contractor) and is operated by Renewi (the IWMS Operator), includes infrastructure for mechanical biological treatment, waste transfer, and Reuse and Recycling Centres (RRCs) for use by the general public. The IWMS Operator also has a number of sub-contractors for services, including the provision of material recovery facilities for mixed recycling, offtake of materials, transfer and RRC facilities. The IWMS Contract expires in December 2027. Further details on ELWA and the services it provides can be found at https://eastlondonwaste.gov.uk/. A new Joint Strategy for East London’s Resources and Waste (Joint Strategy) for the period from 2027 to 2057 has been developed by ELWA and the Constituent Councils, which has been ratified by all five authorities in February 2022. The Joint Strategy sets out a direction of travel for the future management of waste after the expiry of the IWMS Contract that includes: ambition to increase recycling levels; accessing more affordable solutions to managing the waste streams; and, working to reduce emissions; all of which are identified as key priorities. Further details on the Joint Strategy can be found at https://eastlondonwaste.gov.uk/jointstrategy/. Following the ratification of the Joint Strategy in early 2022 by each of the Partner Authorities , ELWA set up the Procurement and Contract Expiry Programme (PACE Programme) to manage the complex work associated with: • Contract Expiry and Transition: the activities required to manage the expiry and demobilisation of the IWMS Contract; • Future Services Delivery: the activities required to ensure that new services arrangements are in place at the expiry of the IWMS Contract so that services continue to be delivered without interruption. The Outline Business Case (OBC), part of the Future Services Delivery component of the PACE Programme, was then produced to determine the preferred service delivery model for the new services at the expiry of the IWMS Contract. ELWA undertook an initial phase of preliminary market engagement during the development of the OBC and a PIN was published on 26 January 2023 . ELWA explained at the time its intention to undertake preliminary market engagement in two stages: • Stage one: during the development of the OBC; and • Stage two: during the preparation for procurement (this stage). Engagement with the market was instrumental during the development of the OBC to determine the preferred commissioning route, service delivery model and future configuration of waste treatment and disposal services. Preparation for procurement, to implement the preferred option of the OBC, can now commence and therefore ELWA is inviting market operators to participate in this new stage of preliminary market engagement. The OBC concluded that the proposed approach to procuring the services to replace the IWMS Contract will be a disaggregated service delivery model with new contracts for the following waste services to be procured: • Residual Waste Disposal (including Bulky Waste and Street Cleansing); • Waste Reception, Haulage and Reuse and Recycling Centres; • Treatment of Garden Waste; • Reprocessing of Dry Recycling; and • Treatment of Food Waste. As a result of the disaggregation of the IWMS Contract, it is necessary that the procurement of the new contracts is staggered. ELWA also intends to stagger this stage of preliminary market engagement so that the engagement with market operators who may wish to participate in the procurement of the Residual Waste Contract (RWC) and the pro