WRAP Release Gate Fees Report

28 July 2011

WRAP's fourth annual Gate Fees Report, published yesterday (27 July), highlights that gate fees at many MRF and AD facilities are now lower than at the time of the previous survey

Feedback from a range of local authorities and MRF operators interviewed for this research highlights that a growing number of local authorities are receiving payment (or being charged zero gate fees) for their recovered materials.

Marcus Gover, Director of Closed Loop Economy, WRAP said: "The message in the Gate Fees Report is that there are cost-effective waste management options other than landfill which also deliver greater environmental benefits.

"We have seen a substantial decrease in MRF gate fees since the previous report, with some local authorities telling us that they are now receiving revenues of up to £15 to £20 per tonne for their recovered materials, rather than being charged gate fees. This reflects the additional MRF capacity in the market, and buoyant recovered material prices.

"Another notable change compared with last year's report is that the median gate fee for AD has dropped considerably - by around £13 per tonne. Indeed, several operators questioned indicated that they felt that AD gate fees might fall further. However, as the AD industry is still relatively young this finding is based on quite a small sample and so does need to be treated with some caution."

Findings

Gate fees for similar waste management options vary substantially, both across and within regions. Notwithstanding these variations, the summary information from the survey indicates that:

• median gate fees for waste recycling options are substantially lower than those for waste disposal routes

• for organics treatment facilities, open-air windrow (OAW) median gate fees are lower than those for anaerobic digestion (AD) and in-vessel composting (IV). These, in turn, are lower than median gate fees at mechanical biological treatment (MBT) facilities

• the median AD gate fee for separate food waste is lower than the median IV gate fee for food only, but is comparable to the IV gate fee for mixed food and garden waste

• andfill gate fees including the landfill tax are broadly comparable to gate fees for EfW and MBT.

Compared with last year's gate fees report;

• the cost of disposal to landfill including the landfill tax has increased

• gate fees at MRFs have fallen substantially and many local authorities surveyed are either not paying gate fees or are receiving net revenue for their recovered materials

• for AD facilities, the median gate fee is substantially lower by around £13 per tonne

• OAW gate fees are little changed, as are IV gate fees for mixed food and garden waste.

Darrel Moore