Gate Fees Report 2011

27th July 2011

WRAP’s fourth annual Gate Fees Report, published today, 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.

Said Marcus Gover, Director of Closed Loop Economy, WRAP

“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.”

Key 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.
  • Landfill 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.
  1. WRAP’s report summarises gate fees charged for a range of alternative waste treatment, recovery and disposal options together with an analysis of the factors likely to influence future gate fees, and comparison with last year’s report. The indicative gate fees reported are based on survey information from local authorities, MRF operators, compost facility operators, waste management companies and other market intelligence.
  2. The WRAP Gate Fees Report 2011 can be found here
  3. The aim of this report is to disseminate information on gate fees thereby increasing price transparency and enhance the efficiency with which the waste management market operates. The information provides local authorities with important market information to help them make informed decisions regarding waste treatment and disposal.
  4. The survey covers England, Scotland, Wales and Northern Ireland. Local authorities and waste management companies were contacted during December 2010 and January 2011.
  5. WRAP’s vision is a world without waste, where resources are used sustainably. We work with businesses and individuals to help them reap the benefits of reducing waste, develop sustainable products and use resources in an efficient way.
  6. Established as a not-for-profit company in 2000, WRAP is backed by government funding from England, Scotland, Wales and Northern Ireland.
  7. More information on all of WRAP's programmes can be found on www.wrap.org.uk

 

Ian Palmer, PR Officer

Tel: 01295 819 677

ian.palmer@wrap.org.uk

Contact

Ian Palmer

PR Officer, WRAP
01295 819 677