Category Archives: PFI

Final say on Leeds Incinerator?

Veolia will enter a 25 year contract next month to dispose of household waste. Photo©knowyourleeds

Veolia looks set to enter into a 25 year contract with Leeds City Council next month to burn Leeds’ household waste. With a £68.6 million Private Finance Initiative buffer, its estimated value is £550 million.

The proposal for the incinerator based at the old car boot sale site in Cross Green Market wasn’t the biggest. But the capacity to burn 180,000 tonnes-a-year meets the council’s requirements.

As head of east Leeds community activist group COVEN, Sarah Covell is angry that councillors and Veolia haven’t done enough to address the resident’s concerns over the plans.

“They’re saying it’s a landmark building. It is. I doubt don’t that for a second. It’s a very beautiful building. It’s just in the wrong place with the wrong things inside it.”

Artist impression of new multi-million pound incinerator

She’s dismayed that a lack of political pluckiness can dismiss widespread concerns, even when something is opposed so openly.

A group of Labour councillors walked out of a vote last November which recommended the incinerator.

“It’s called predetermination,” said one of the absentees, Coun Ron Grahame (Lab, Burmantofts and Richmond Hill). “Predetermination just takes me out of reckoning altogether.

“I’m not allowed to predetermine the situation for the incinerator prior to it coming to the East Leeds plan meeting. That’s why I walked out. I didn’t give in to myself whatsoever.”

It also took Labour councillors: Mick Lyons (Temple Newsam), Katherine Mitchell (Temple Newsam) and Asghar Khan (Burmantofts and Richmond Hill) out of the reckoning.

According to the YEP, landfill taxes would cost the council £16m a year by 2013. “If we don’t deliver on the timescale mapped out we will put this council is financial jeopardy,” said Coun Mark Dobson (Lab: Garforth and Swillington), the council’s executive member for environmental services, reported the YEP.

“It’s definitely in the wrong site. It should have gone to the Aire Valley where it belongs,” said coun Grahame to knowyourleeds.

Councillors across the political spectrum have expressed concerns over incinerator plans. Coun David Blackburn (Greens, Farnley and Wortley) said at the time: “To go for incineration is the worst decision the council has made for years.”

While Coun Stewart Golton (Lib Dem, Rothwell) blogged: “Since taking power 18 months ago, the Labour Party have been very quiet on their waste policy. I assumed they were working hard on an alternative. Imagine my surprise that their alternative to an incinerator is…an incinerator!”

The proposed facility will create up to 300 jobs during the three-year construction period say Veolia and 45 permanent jobs.

“It’s not local people from East End Park who get the jobs. It’s not just we don’t want this in our ward. We want them [LCC] to look at other methods of residual waste disposal,” said Sarah Covell.

Critics say more recycling options needs to be evaluated. Photo©knowyourleeds

“Somethings gone wrong somewhere,” said Coun Grahame, “the incinerator itself is totally in the wrong place. When they tell you there’s 200 other sites to look at, you look at 200 sites and you think, well it comes down to an old car boot sale site (Cross Green Market) then there’s something not really right.”

Despite these criticisms, Veolia looks set to win the battle. But that’s old news.

The proposals for the incinerator began in 2006 but this week the proposal are open to public scrutiny for the last time.

First stop: Richmond Hill on Thursday, next St Philip’s Church on Friday before finished at 8.30pm, Saturday at Halton Moor Community Centre.

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Housing scheme shines light on PFIs.

House

Image by phill.d via Flickr

Leeds’ addiction to Private Finance Initiative‘s are a major topic we’ll be covering on knowyourleeds but for the meantime here’s a flavour of what to expect.

If you subscribe to Leeds Council‘s news RSS feed, by you’ll have noticed the several updates on the new Private Finance Initiative (PFI) projects appearing in your reader this week. To save you the trouble of Council PR paff, the good news is that the multi-million pound housing schemes for Holbeck, Beeston and Little London have been given the go-ahead by the Government.

Here’s a summary of the latest developments.

  • The consortium, Sustainable Communities for Leeds (sc4L) bid to on this major housing regeneration project has been approved.
  • The Council says it will now work with sc4L to finalise proposal details.
  • Up to 388 new council homes will be built, with 1200 existing council properties being refurbished.
  • A three-year construction phase is due to start around spring next year.
  • The contract also includes ‘some environmental improvements’ provisions. Firms under the umbrella Keepmoat Limited have been contracted to provide this.
  • They will also be responsible for maintenance services throughout the 20 year contract period.

While this is undoubtedly good news for the areas involved, the Leeds Citizen blog has the news which wasn’t updated on the news feed. Delays and inflation have led to a £12m increase in costs before the 20-year contract has even been signed. It’s yet to be confirmed whether this is for the duration of the contract or for the building phase.

“The council will need to meet additional costs in the contract that amount to about £1million a month,” Cllr Peter Gruen said a statement given to the Leeds citizen.

In other PFI news, which Cllr Gruen (executive member for housing) may want to note, the BBC reports that lighting costs have soared under a 25-year Private Finance Initiative contract from 2006.

Lamppost
Image by George M. Groutas via Flickr

 

  • A consortium provided £100m to replace most of Leeds’s street lamps.
  • When the contract was signed, Leeds’ lighting system cost £5.8m per year to run, it now

    costs £14.4m.

  • The majority of the rise in costs is, according to the BBC, repayment of the overall cost of 80,000 lights which have been since replaced.

Because PFI deals can be bracketed under ‘commercial confidentially’ agreements, little is now about the financial impacts or specific arrangements of the deals.

As always, if anyone has any information to share, then please leave a comment or email: knowyourleeds@gmail.com

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