A new report by the Environmental Services Association (ESA) has warned against the “undesirable unintended consequences” of adopting commercial waste service “zoning” models in towns and cities across the United Kingdom.
Rather than competing for business contracts, zoning would see operators compete to supply waste services to “zones” in highly dense areas, such as large cities.
The research report, compiled for the ESA by independent consultants 360 Environmental, suggests that limiting the number of waste service operators allowed to compete and operate in urban areas could be “costly and complex” to implement.
The report also says zoning would raise service prices for waste producers while putting waste collectors out of business, which could undermine the viability of local waste infrastructure.
The ESA says it commissioned 360 Environmental to learn from experiences and outcomes where waste service zoning has been implemented in other comparable markets, such as in Los Angeles and New York. As well as through modelling to indicate how such an approach might work in practice in the UK, using Glasgow as an example city.
From the research findings, it is clear that there is significant potential for a range of damaging unintended consequences.
Commenting on the report, Executive Director of the ESA, Jacob Hayler, said: “From the research findings, it is clear that there is significant potential for a range of damaging unintended consequences which run contrary to policy objectives, and that zoning is likely to be highly challenging to implement as well as being extremely disruptive to the waste sector, local authorities and waste producers.
“However, the findings do recognise that a more structured approach to commercial waste management could provide some benefits and meet similar policy objectives.
“We look forward to discussing these findings with the Scottish Government and Defra officials and to working with them to develop an alternative approach which delivers the beneficial outcomes intended by zoning while avoiding the negative consequences experienced elsewhere.”
According to the ESA, interviews with stakeholders from other areas where zoning has been implemented found that the approach had been “highly complex” to implement, taking up to ten years in some cases. The Association continues that this has led to increased costs to waste producers while also “reducing resilience, increasing risk and stifling innovation”.
The modelling work for Glasgow also concluded that more waste-producing businesses would see higher waste service costs under zoning. It also found that a single operator may struggle to cope with one-off large-scale events and a “one-size-fits-all” approach would be challenging to implement because of businesses’ diverse service requirements.
The research has indicated that zoning would add cost, minimise choice and create uncertainty that would stifle investment and innovation.
The report’s author, Phil Conran, Director of 360 Environmental, commented: “I hope the report will give those considering zoning an insight into the practical issues that would need to be faced in the development, implementation and long-term impact of such a concept.
“Waste management in the UK is a mature and well-developed sector under tight regulatory control that is widely undermined by lack of clear policy direction and poor enforcement. The research has indicated that zoning would add cost, minimise choice and create uncertainty that would stifle investment and innovation.”