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Recycle More may not generate savings until early 2023, as project deficit approaches £ 1million Bath City News

A new recycling program in Somerset may not start generating savings until early 2023 as the projects run out to around £ 1million.

The Somerset Waste Partnership (SWP) began rolling out Recycle More at the end of October 2020, with more recycled items by the curb and waste collection dropping from every fortnight to once every three weeks.

After rolling out the program to the Mendip region, residents of southern Somerset will be the next to benefit from the new collections starting Monday, June 28 – with the SWP promising that its driver shortage will not affect the deployment.

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However, the SWP has admitted that it will take longer than expected for the program to deliver the annual savings that had been promised – with the Recycle More budget now in deficit by almost £ 1million.

Sarah Rose, SWP’s chief financial officer, set it out in a report released ahead of a joint review committee meeting on Wednesday afternoon (June 23).

In FY 2020/21, the program exceeded its annual budget by £ 824,200, leaving the overall Recycle More project fund (a separate budget in the SWP accounts) with a deficit of £ 964,200.

Ms Rose said in her report: “Recycle More was expected to break even at the start of the second quarter of 2022/2023.

“Additional work has been done to update this position and it is now expected to be in the third quarter of 2022/23.

“This position is the result of updated information on recycling yields and revenues and the actual deployment costs incurred.

“There are still unknowns that could impact the break-even point, such as the demand for replacement containers and the continued impact on the value of materials sales. We will continue to review this regularly as the deployment continues.

Guide to what happens in every recycling box or bag under Recycle More (Image: Somerset Waste Partnership)

Ms Rose said she remains convinced that Recycle More will still deliver annual savings of over £ 2million.

She added: “As previously agreed, no savings resulting from the new contract will be taken from the SWP until all deployment costs have been fully funded and the breakeven point is reached.”

Following the South Somerset deployment, the former Taunton Deane area – comprising Taunton, Wellington and Wiveliscombe – will be the next to receive service.

SWP chief executive Mickey Green said work on the Taunton Deane depot – at Walford Cross near Monkton Heathfield – was progressing well ahead of this phase of deployment starting on November 1.

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He said in his written report: “Construction of the new Walford Cross depot is on schedule.

“Contingency plans are in place to ensure that the deployment on November 1 can still continue if the construction program is delayed, and it is clear that any future wave of Covid-19 could have an impact as well. “

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This notice was published: 2021-06-24 10:40:11

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