Changing how domestic waste is collected in Dublin is about sustainable management, not excluding the private sector, argues Brian Buckley.
If only life in waste management was as simple as the picture painted by Steve Cowman of Greenstar (Opinion & Analysis, November 21st). The big nasty local authority - in this case Dublin City Council on behalf of the Greater Dublin Area - bullying private operators who are relentlessly pursuing an environmental crusade to reduce carbon emissions while delivering a first-class service to residents of Dublin. Oh, and all at a lower cost too.
What commentators fail to communicate to the general public is that there is an alternative strategy - namely a tendering process - that can resolve these issues. It cannot be denied that private waste management companies - in conjunction with local authorities throughout Ireland - have helped to change the scene concerning recycling and recovery.
The Central Statistics Office (CSO) reports that almost 90 per cent of Irish households recycled some of their waste, compared to 48 per cent in 1999.
In 2006, my company, Greyhound, contributed to this by recovering 75 per cent of all waste collected, twice the national average and outstripping all of its competitors. So, under the tutelage of the local authority, recycling rates have increased enormously in almost 10 years.
The challenge facing the Greater Dublin Area is this. How is a quality waste management service and infrastructure to be delivered to an acceptable standard in the city, and what measures can be put in place to guarantee this service to everyone, regardless of income, social status or location?
Leaving the collection of waste to the mercy of the private sector - without local authority consultation and guidance - will not work. At present, there are over 100 licensed waste contractors in Dublin who could enter this arena if there's a free for all. They could offer residents special introductory offers and dangle numerous incentives to persuade them to change from one provider to another - but will it ultimately guarantee a long-term, sustainable solution? In 2005, hundreds of people in Limerick were disenfranchised when a private waste contractor, whom they had paid in advance for a year's service, went bust. They were then left to pay again to a new operator. Only this month, some residents in Inchicore and Mount Argus, serviced by a private company, were left without bin collections.
Without control initiated by the council, where is the security net?
In August, Dublin City Council put the green bin collection service out to tender, with the contract to be awarded in early 2008.
This contract is renewed every three years. An independent consultancy was hired to oversee the shortlisting process.
Why does the council do this? Firstly, as it is a valuable contract, the successful operator must deliver a high standard of service at a cost that satisfies the council.
Secondly, if there are any issues with service, there is a chance that the incumbent will not have the contract rolled over; and thirdly, the process remains completely transparent, above board and the best company wins on criteria created by the council on behalf of the other authorities and in the public interest.
When bus companies were privatised in Britain during the 1980s and 1990s, the main reason forwarded was to enhance the service, but at a lower cost.
Neither happened. Unprofitable routes were dropped - thereby disenfranchising many older citizens - and prices went up. Cities such as Oxford, Cambridge and London became choked with buses from multiple companies.
As academic Ian Savage commented: "Demand declined due to the turmoil of service changes and the loss of network integration." (Journal of Regulatory Economics, 1993, volume 5, issue 2.) What is there to say that without regulation, a similar situation would not develop in Dublin concerning waste collection services?
Left to the mercy of Thatcher-type economics, what is to stop operators raising their prices as the market dictates? And the worst-case scenario? Residents wake up en masse to discover that their waste hasn't been collected because their service provider has decided it isn't economically viable to do that particular road due to traffic congestion or poor access.
Greyhound welcomes the arrival of private companies in the area of household waste management, but the sector requires a tendering process to guarantee a high level of service to Dublin's residents.
We believe such a tendering process would deliver significant savings without a corresponding loss in the level of service, and as a company, Greyhound is committed to this ideal. Without household waste collection being regulated and controlled through tendering, it remains to be seen what will happen to this service in the future.
Brian Buckley is managing director of Greyhound Recycling & Recovery