Waste Management cost saving tips
Waste Management is very often one of the last things small to medium enterprises want to worry about. It‘s clearly not one of the most glamorous subjects and most SME’s have enough to keep themselves busy without considering the cost and legislative side of waste collections. Waste is also a relatively small cost compared to other utilities.
However with prices for collection ranging from a few hundred to thousands of pounds per annum, there are still significant cost savings to be made. It is also vital that all businesses comply with regulations surrounding waste collection to avoid heavy fines that can cost dearly. An effective waste management policy also bring with it significant environmental, corporate and social responsibility gains.
General waste collections have become more and more expensive over the last 10 years mostly due to the impact of landfill tax. Landfill tax is designed to encourage businesses to reduce the amount of waste being sent to landfill and has increased from £21 a tonne in April 2006 to £48 per tonne in April 2010.
The recent emergency budget confirmed that it will continue to increase by £8 per tonne each year until at least 2014 taking it up to £80 a tonne. Unless you are charged by weight, which is still fairly unusual, then you will not see these charges directly but you will no doubt have had the cost of your waste collections increased by your waste company.
So how can you minimise these charges?
1. Most waste companies will start off with a relatively low price at the start of the contract and then try to increase these rates exponentially each April in line with landfill tax increases. Fight this by ensuring you have the right to cancel, taking note of point two below. The threat of cancelling will usually get you a better price or alternatively you can go elsewhere.
2. Watch out for strict contract terms. Certain companies will attempt to tie you into a rolling contract, making it very difficult to get out of. Avoid this by writing ‘one month’s notice to cancel at any time’ on the contract.
3. Always approach at least three different companies for a quote. Make use of a waste management broker who will often contact numerous local waste companies on your behalf to get the best price. Watch out for hidden extras such as bin rental, annual duty of care charges etc.
4. Ensure that you always have a valid ‘Duty of Care/Waste Transfer Note’ document as this is a legal requirement for ALL businesses. This confirms that your waste is being sent to a company with a valid waste carriers licence and also that they are disposing your waste at a site with a valid disposal licence.
5. Recycle as much as possible. Cardboard, paper and glass collections, while unlikely to be free unless you have large quantities, are much cheaper than general waste collections. Food waste and mixed recycling collections are also now available in most areas. If you are having your waste recycled you should have very little need for an actual general waste collections.
6. Examine the range of waste equipment available. There are now many different options of balers, compactors and composters that can help reduce the amount you pay for your waste. Most waste equipment companies will provide a free audit to show you what they can save your business.
7. Remember the three “R”s: Reduce, Reuse and Recycle. We have dealt with the third and most obvious one but actually the preference should be the first two. Have a look at where your waste is coming from. Can it be reduced or eliminated? Speak to your suppliers about reducing packaging-especially the packaging that cannot be recycled.
8. Reuse. Many items are thrown away when in fact they could easily be used again. Scrap paper books, coffee cups, boxes, padded envelopes, carrier bags and many other items can all be reused.
9. Ensure you have the correct number of waste containers. Many businesses have over capacity for their waste and therefore pay for the empty space in the containers. Check your bins before on the day of collections. Are they full? If not contact your supplier and reduce the frequency of collection or the container size.
10. There are now many waste brokers/consultants around the country that will manage all of the above for you and take the hassle away from your businesses. Generally they work with lots of local suppliers and they get better rates due to bulk purchasing. They will also ensure that you are not tied into using any particular contractor, as well as ensuring that your business is legally compliant.
Graeme Rose is Managing Director of 707 Waste Management. 707 offers a refreshing new concept in waste management – saving companies time and money and helping them with their corporate social responsibility by turning waste into a resource.
