DEPARTMENT FOR INFRASTRUCTURE
REINTRODUCTION OF THE Pallet board waste charge
Purpose of the Report
To provide the Minister for Infrastructure with information to support the reintroduction of the pallet board waste charge.
Current Situation
The Department has recently found that a housekeeping error resulted in the charge to receive pallet board waste being omitted from the fees and charges 2014 – 2016.
The charge was introduced in 2009 as a mechanism to stimulate the commercial industry to manage this waste upwards through the Waste Hierarchy by increasing the reuse of pallet boards and finding ways to recycle this material. This rationale is still current.
The Department has no record of pallet board waste being delivered into the La Collette facility since 2013. This suggests that the waste has been received via other channels, most likely mixed in with other commercial combustible loads delivered into the Energy from Waste plant.
The absence of charging for this waste means there is little financial incentive for the local commercial industry to manage pallet boards better by ensuring maximum reuse and then processing boards unsuitable for reuse i.e. creating kindling and decorative mulch and taking responsibility for the resultant waste.
As the charge for pallet board waste has been previously agreed as part of the Department’s fees and charges, the Department is able to reintroduce this charge with Ministerial approval.
This charge serves primarily to encourage the industry to maximise reuse and recycling and so reduce their pallet board waste. As a consequence, the Department expects to receive little additional revenue from reintroducing this charge. For example the difference between income received from pallet boards and pallet board waste in 2013 when the pallet board waste charge was in force compared with 2014 when the pallet board waste charge had been omitted was £297.67.
Recommendation
To reintroduce the pallet board waste charge at the correct 2016 rate:
£48.74 per tonne excluding GST / £51.18 per tonne including GST.
Reason for Decision
To enable the charge for pallet board waste received by the Department to be reintroduced to correct a housekeeping error.
Resource Implications
The Department will require a small resource to reactivate this charge, inform operational staff and update their communications but this will be encompassed within existing roles and responsibilities so no additional resources are required.
This charge serves primarily to encourage the industry to maximise reuse and recycling and so reduce their pallet board waste. As a consequence, the Department expects to receive little additional revenue from reintroducing this charge.
Action Required
The Minister to sign the accompanying Ministerial Decision as formal approval of the reintroduction of the pallet board waste charge.
Written by: | Recycling Manager |
Approved by: | Assistant Director, Solid Waste |