Financial Incentives for Waste Reduction in the UK:

Runako Charles, Taunton

Overview

• UK compared to other EU member states• Landfill, incineration & recycling• Revenue Neutral Schemes• Incentive Based Schemes

* Benefits* Disbenefits

• UK proposals

Percentage Total Waste in the UK (2006)

Landfill 63%

Recycle 27%

Incineration 10%

UK sends more wastes to landfills & recycles less than most EU member states

Recycling in the EU 15 countries

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Series1

UK compared to other EU member states

• The EU is sending less waste to landfill• However, the UK disposed of 63% of waste

via landfill

Landfill Incineration Recycling

Established approach in dealing with waste.

9 yrs capacity left.

Emits CO2, CH4

(GHG).

Landfill tax to increase by £8/t pa from 2008-2011.

Spatial Efficiency.

Produces usable heat energy.

Emits CO2.

Ash Mgt.

Produces dioxins.

Uses limited resources effectively

Uses less energy than making more products from raw materials.

Some pollution in making new items.

Why Incentivise?

“The Local Government Association said action was needed because Britain was now "the dustbin of Europe".

BUT

The government will not consider extending these so-called "pay-as-you-throw" measures across England until the evidence from the pilots is assessed”

BBC -http://news.bbc.co.uk/2/hi/uk_news/politics/7464279.stm

Revenue Neutral Schemes

• Aim: to financially incentivise householders to recycle and reduce waste.

• Revenue from penalties taken from non-recyclers must be returned as incentives to recyclers.

• Nature of scheme decided by Local Authority – which would work best.

• Recognises householders who reduce, reuse and recycle and provides an incentive, to those who do not, to change their behaviour.

• Communication is essential to scheme success.

Incentive Based Schemes : FlandersFlanders: Weight based

Outline Variable charging according to weight of residual wasteTransponder or chip identifies binBins weighed on collectionHouseholders billed accordingly (£70 pa for high recyclers, £180 pa for non-recyclers

Improvements in waste management

24-28 kg /inhabitant p.a. less wasteRecycling 72% of total household waste

Comparison with UK Total amount of household waste comparable with the UKUK 28% recycling

Possible issues for UK Effective fly-tipping policies neededIn high rise blocks it is difficult to know who is responsible for wasteConcerns of neighbours dumping waste (locks made available in Flanders)

Incentive Based Schemes : TrevisoTreviso: Frequency based

Outline Direct variable rate charging system, according to number of collections.Informatic instruments to manage for collection of waste.Average charge is £50

Improvements in waste management

12% in waste reduction

Comparison with UK Unknown

Possible issues for UK Fly-tipping (Treviso introduced a specific waste officer).Funding for proposed scheme. Local Government Authorities / Private companies?People may complain about increase nuisances (smell)

Incentive Based Schemes : MaastrichtMaastricht: Volume based

Outline Householders buy special sacks from local shops.€1 per sack.Sacks then collected.Similar Belgian scheme provides 40 free sacs to households with new babies.

Improvements in waste management

Waste separated recycling increased from 45% to 65%.Municipal waste bill has been reduced by 20%.

Comparison with UK Maastricht has 57,450 households which is small compared to most UK cities.

Possible issues for UK Solid bins for sacs to prevent destruction by urban foxes.Difficult for rural pensioners to access shops to buy bags.

Initial Revenue Neutral Situation (Proposed model)

Disbenefits.

• Financial incentives may be useful in some but not all local authorities.

• Authorities would not be able to raise money from the scheme – they have to be able to fully fund the costs of the schemes out of annual cost savings.

• The administration of the schemes is complex, there has to be markets for increasing levels of recyclables and it has to be successfully enforced.

• Need a system in place to monitor waste levels before, during and after the scheme to assess effectiveness.

• Monitor fly tipping.