The Far North’s $50m 10-year waste contract has been awarded to Northland Waste.
The Far North’s $50m 10-year waste contract has been awarded to Northland Waste.
The Far North’s $50 million 10-year rubbish contract has been awarded to Northland Waste, as Far North District Council prepares to consult the public on the possibility of kerbside recycling.
But the council is expected to consult on introducing additional solid waste services, possibly including kerbside recycling, alongside consultation on revising the council’s Solid Waste Management and Minimisation Plan later this year.
The council said Northland Waste Limited has been awarded a 10-year contract, worth about $50 million, to operate the council’s network of refuse transfer stations and community recycling centres.
The company expects this to lead to more employment opportunities for people in the Far North.
Northland Waste will take over the operation of the Far North’s southern areas from Waste Management on October 1 while continuing to operate the northern sites. The current contracts expire on September 30.
Kerbside services will continue to be provided independently of this contract as user-pays services, the council said.
The contract length was decided after consultation with potential suppliers as it relates to the life expectancy of assets such as bins, trucks, balers etc and allows for the cost recovery of those items to be spread across the longest possible term.
The recycling from Te Hiku is sorted at Northland Waste’s Resource Recovery Centre in Kaitāia
The tender was initially offered as six portions to separate the capital-intensive activities to make the facility operations contract more accessible to smaller tenderers.
However, it was recognised that the package put forward by Northland Waste to operate all sites offered the best service and value for money while retaining a proven operator, the council said
Having served the Far North for more than 15 years, Northland Waste has strong foundations in the area.
In addition to its core services, the company is committed to community involvement and development, having donated and sponsored many local initiatives over the years.
With the takeover of the southern contract, Northland Waste is excited to provide additional local job opportunities.
“An important element of the service was its potential to stimulate local employment,” chief operating officer Andrew Sclater said.
The contract includes a provisional price for kerbside services. These were included because last year, the Ministry for the Environment stated its intention to standardise kerbside recycling nationally and mandate providing kerbside recycling by 2027.
Legislation for this hasn’t been passed by the current Coalition Government.
The introduction of standardised kerbside recycling, and other additional services, haven’t been decided on yet.
The public will be consulted on introducing additional solid waste services alongside consultation on revising the council’s Solid Waste Management and Minimisation Plan later this year.
