Recycling Services

Following the recent decline in prices being paid for recyclable materials, the government has released a statement (November 11) intended to reassure those businesses worst affected by the downturn that plans are underway to help them.

The joint statement issued by those government bodies directly concerned with waste — Defra, the Environment Agency (EA), WRAP and NISP — acknowledges that demand and prices have “significantly” dropped and that as a result, increased storage of some materials at recycling plants may be a necessity in the short term until the market begins to correct itself.

Since the statement was issued, the EA has confirmed a six month storage ‘amnesty’ could be granted to recycling facilities in response to what it describes as an “unprecedented downturn” in market conditions, as overseas buyers of recyclables suspend orders in response to the slowing global demand for raw materials.

A spokesperson for the EA commented: “We do not want the current economic problems to result in a return to landfill and a reversal of the trend for households and businesses to recycle more of their waste.”

The full statement is as follows:

Markets for recyclable materials

This statement has been produced by the main bodies concerned with recycling in England - Defra, the Environment Agency, the Waste & Resources Action Programme (WRAP), and the National Industrial Symbiosis Programme (NISP), in discussion with representatives from industry.

Our performance on increasing recycling and reducing reliance on landfill has improved significantly in recent years. We have also seen increased demand for recyclable materials for developing economies, reflected in the unprecedented rise in the value of these materials earlier this year. Demand and prices for some materials have now dropped significantly and we want to ensure that this does not undermine public confidence in the value of recycling, nor lead to unacceptable environmental consequences.

Resource efficiency and waste prevention are even more important during the economic downturn. Our priorities are therefore:

• To further promote waste minimisation

• To maintain public confidence that recycling is worthwhile to ensure continuity of collection systems for recyclables

• To focus on producing high quality marketable recyclables

• To ensure any storage of recyclables doesn't undermine the environment or public health or the recyclability of those materials

• Where the traditional markets for recyclables have contracted, to encourage recovery and disposal options towards the top of the waste hierarchy - i.e. landfill as a last resort

• To avoid actions which exacerbate the situation whilst markets stabilise.

Dialogue between waste producers (including local authorities) collectors and waste processors is crucial, to ensure the right quality of material. The storage of recyclables at sites regulated by the Environment Agency is a normal part of the secondary materials business. We expect that there may be increased storage of some materials in the short term and the Environment Agency is issuing helpful guidance on its approach.

In making decisions, local authorities and their contactors will want to ensure that they have a home for materials that is being stored in the short term, that the storage won't compromise the environment and doesn't lead to deterioration in the quality of the materials that will further reduce their recyclability or value.

The Local Government Association (LGA) is issuing advice to local authorities in England later this week on practical measures that can be taken.

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