Highland Council awards £58m contract for treatment and disposal of residual waste

A £58m contract has been awarded by The Highland Council to Viridor Dunbar Waste Services Limited (Viridor) for the treatment and disposal of residual waste generated by households and commercial premises in the Council’s area.

Allan Gunn, ECO Communities and Place said: “This is an extremely positive and important step for Highland. This contract provides the Council with medium-term security of waste disposal outlets within Scotland. It will also result in lower carbon emissions from the Council’s waste management activities.”

The Council has procured Viridor’s services with a 5-year contract which will start on 1 January 2023 with a 3-year possible extension.

The Council will deliver residual waste to Viridor’s Energy from Waste facility in Dunbar, East Lothian. Viridor will process and treat the waste, using it to generate electricity which is exported onto the National Grid. This arrangement will enable the Council to cease landfilling biodegradable municipal solid waste in advance of the deadline imposed by the Scottish Government of 1 January 2026.

The quantity of residual waste to be handled through the contract will vary over time, as the authority progressively directs waste generated at its waste facilities into the contract as existing contract arrangements expire and Council-operated landfill capacity in Aviemore and Caithness is used up. The Council estimates up to 72,000 tonnes of residual waste will be treated through the contract each year.

The contract duration provides the Council with medium-term security of waste disposal outlets within Scotland, while allowing sufficient time for the Council to continue to develop its plans including the response to the Scottish Government’s review of the role of incineration in Scotland’s Waste hierarchy as reported at: https://www.highland.gov.uk/news/article/14632/highland_council_responds_to_the_review_of_the_role_of_incineration_in_scotland_s_waste_hierarchy

The new contract will lead to lower carbon emissions from the Council’s waste management activities (despite additional transport requirements) due to Energy from Waste having significantly lower emissions than landfill.

The Contract Award Notice can be viewed at: Public Contracts Scotland