July 2015

WRAP Publishes Latest Gate Fee Trends

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Eunomia has undertaken the eighth annual survey of gate fees for waste and recycling facilities.

The WRAP-commissioned study, published this week, found that gate fees have remained relatively constant for most waste treatment and disposal options over the last year.

The median gate fee paid by local authorities for Material Recovery Facilities (MRF) services is reported as £6/tonne in this year’s study, down from £10/tonne in the 2013/14 survey (although methodological differences mean the comparison is not exact). That result comes despite feedback from operators, and expectations from many local authorities that MRF gate fees are rising, driven by low secondary commodity prices and concerns over the quality of input material.

Eunomia found the range of MRF gate fees to be much wider than for other services: some local authorities receive as much as £43/tonne for their unsorted materials, while others pay up to £86/tonne to the MRF.

Median gate fees for organics and composting remain similar to previous years:

  • Open Air Windrow (OAW) composting for green waste: £24/tonne
  • In-Vessel Composting (IVC) gate fee for mixed food and green waste: £46/tonne.
  • Anaerobic Digestion (AD): £40/tonne.

However, it appears that gate fees for food waste from commercial and industrial sources are now lower than those charged to local authorities.

Lower gate fees were reported for EfW facilities constructed before 2000 (£73/tonne) than for newer ones (£99/tonne), perhaps reflecting an increase in construction, financing and operation costs. Both prices we up compared to the previous survey. The cost of treating waste at Mechanical Biological Treatment (MBT) facilities has also increased, rising by £4 to £88/tonne this year.

Dominic Hogg, Chairman at Eunomia, said:

“We’re very pleased to have once again been commissioned to undertake this work for WRAP. Undertaking this survey on an annual basis is an extremely valuable exercise, although one that always presents data collection challenges. However, it frequently casts a light on interesting variations in price for apparently similar services.”

Clare Pitts-Tucker, the Project Manager of the survey, said:

“We really appreciate the input of the many councils and waste treatment companies that share their prices with us. They help us to create an important resource that is informative for everyone in the sector.

The report presents the median and range of gate fees for: (MRFs), OAW composting, IVC, AD, MBT, EfW, cement kilns, non-hazardous landfill and wood waste recycling.