Waste contract now signed

Dunedin Mayor Dave Cull signs the $26.7 million contract for Dunedin's new kerbside collection...
Dunedin Mayor Dave Cull signs the $26.7 million contract for Dunedin's new kerbside collection service yesterday, watched by EnviroWaste managing director Gary Saunders. Photo by Gerard O'Brien.
The launch of Dunedin's new kerbside collection system has come another step closer, with the signing yesterday of the multimillion-dollar contract for the service.

Dunedin Mayor Dave Cull and EnviroWaste managing director Gary Saunders put pen to paper in front of media yesterday, concluding negotiations on the $26.7 million contract after months of negotiations.

EnviroWay, a division of EnviroWaste, heads a four-strong consortium of contractors which won the bid to provide the Dunedin City Council's new collection service from February 28 next year.

The deal, announced in July, led to a heads of agreement being signed between the parties, but negotiations over some details meant the contract was not finally signed until yesterday.

The contract price has risen by $700,000, to $26.7 million, since details of the new service were approved by councillors last month.

However, council solid waste manager Ian Featherston said the increase reflected the cost of a four-month extension of the contract, which would now end on June 30, 2018, and the addition of new collection areas.

"We didn't have the exact numbers [for councillors] and $26 million was the ballpark figure until we got the final sign-off," he said.

The signing comes after council staff last month confirmed financing problems for one of the partners, Hall Bros, meant a new recycling plant next to the Green Island landfill had been delayed by up to four months.

That meant up to 2400 tonnes of non-glass recycling would have to be transported to Christchurch for sorting, and negotiations had been continuing over who would pay the cost.

However, council water and waste services manager John Mackie said yesterday negotiations had been concluded, and EnviroWay would be responsible for the extra cost, which could be offset by savings in processing costs.

"That was the mood of the council and that was the message they got back."

Under the new system each household will be provided with a 240-litre wheelie bin - or a smaller 80-litre substitute - for use with plastic, cardboard, paper and other non-glass recyclables.

Existing blue recycling bins would be used for separated glass recycling and existing black bags for rubbish.

Rubbish would still be collected weekly, while recycling would be collected on alternative weeks.

Mr Featherston told media yesterday the first of 17 new collection trucks had already arrived in the city, the rest were expected by next month, and 44,000 wheelie bins had been delivered to a Dunedin warehouse.

Another 4000 smaller 80-litre wheelie bins would arrive next week, ready for distribution to homes, beginning on January 10.

Each wheelie bin would be individually identified with its home address and would come with instructions, including a calender showing collection dates and information about what to recycle in the new bins.

chris.morris@odt.co.nz

 

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