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Waste Management NZ awarded Council’s rubbish and recycling contract from 2023

15 September 2022

Waste Management NZ has been awarded the solid waste contract to run our district’s Kerbside collections, Refuse Transfer Station operations and implementing a food waste collection, for the next 10 years starting in September 2023.

Waste Management NZ truck

Waste Management NZ was selected following a robust procurement and tender evaluation process.

“At approximately $80 million over the next 10 years, this is a hugely significant contract for our district,” says our Mayor Sandra Goudie. “Due to the complexity and size of the contract we have followed an extremely robust and thorough process.  Tenders we received from companies interested in providing our solid waste services were very carefully scrutinised and evaluated.”

“Congratulations to Waste Management NZ who our Council is looking forward to working with to reduce the environmental impact of waste services over the next 10 years,” says Mayor Sandra. “They were able to demonstrate how they will invest, innovate and facilitate solutions for waste collection and divert material away from landfill.”

Hauraki and Matamata-Piako district councils have also independently awarded their solid waste contracts to Waste Management NZ.

“The team at Waste Management is delighted and looking forward to working closely with the three councils to deliver outstanding waste and recovery services to all residents,” says Waste Management General Manager for the Lower North Island David Howie.

“Our aim is to provide services that are sustainable, user-friendly and people focused. We will give the people of eastern Waikato world-class waste services they can be proud of.”

Waste Management is proposing to service the district from two bases, one in Thames and the other in Whitianga, which will reduce vehicle movements and therefore carbon emissions. All administration vehicles will be electric and they will look at phasing in electric trucks as battery technology improves. Waste Management NZ will also work with local community groups such as the Seagull Centre, the Coromandel Independent Living Trust (CILT) and the Zero Waste network to reduce waste to landfill.

“I also want to acknowledge and thank Smart Environmental for the very good work they have done over the last nine years in delivering our current services. The Coromandel is a difficult district to serve, with lots of communities separated by hilly terrain, road closures from bad weather, and large numbers of visitors over summer and long weekends – it’s challenging and they’ve done a good job.”

How the contract was decided

Our Council participated in a joint competitive procurement process with Hauraki and Matamata-Piako district councils. External consultants Morrison Low were hired to prepare the tender and contract specifications and conducted the overall procurement process.

Six companies supplied tenders, with five of those applying to our district.

Audit New Zealand was engaged to act as the probity auditor for the procurement process. Audit NZ is the Auditor-General’s in-house provider of financial audits. The Audit NZ report states that good practice for public sector procurement was followed and that no outstanding probity issues were found.

Each of the three East Waikato councils evaluated the tenders independently of each other and all three identified Waste Management NZ as their preferred provider.

On behalf of all three councils, Simpson Grierson carried out a legal review of the procurement process and the tender negotiations with Waste Management NZ.

While the procurement process was carried out jointly by all three councils, the final result is three separate contracts. A review of the current joint solid waste contract found that a shared service was not flexible when responding to customer requests or meeting the varied needs of each council. But it found that savings could be made through the joint procurement process.

There will be a formal, independent review of the new contract performance after five years. This will present an opportunity to continue to make any ongoing improvements as required.

Changes to services

Commencing 1 September 2023, Waste Management NZ will provide the following services for our district:

  • Weekly Kerbside collection and disposal of residential food waste in a 25-litre bin, including supply of the bins (this will be a new service);
  • Fortnightly Kerbside collection and disposal of residential rubbish in a 140-litre wheelie bin, including supply of the bins (this will replace the blue bags collection);
  • Continued fortnightly Kerbside collection and disposal of glass in a Council crate (two per household maximum) and other recycling (paper, cardboard, tins and hard plastics) in a 240-litre wheelie bin – the same as our current service;
  • Additional rubbish and recycling collections in the peak summer period for some areas, as is currently carried out;
  • Resource, operate and manage our seven Refuse Transfer Stations (RTS);
  • Operation of after-hours drop-off facilities at Matarangi, Tairua, Pāuanui and Whangamatā Refuse Transfer Stations.

The new services, and changes to existing services such as different Kerbside collection schedules, will be communicated to our district’s residents, ratepayers and businesses well before the new contract begins.

Until 31 August 2023 Smart Environmental will continue to provide our solid waste services, including increased summer services, as they currently exist. To find out your Kerbside rubbish and recycling collection schedule and RTS hours, visit tcdc.govt.nz/kerbside and tcdc.govt.nz/rts. Summer RTS hours and Kerbside schedules will be published in December on those same pages.

To find out more about Waste Management NZ, visit their website wastemanagement.co.nz