1. Waste Management in the Rural Sector South West Rural Update Sandy Park – Exeter 19 th February 2008 Neil Holland – Mil-tek Direct Re-cycling & Waste Management

2. The Mil-tek Presentation Why Re-cycle Perception of Waste Legislation Drivers Customers & Businesses Costs and Revenues Case Study Open Forum – Q & A Session

3. How waste is perceived A necessity in Business – Waste has always been back of house, low cost, low visibility Unglamorous - None of the attractions of IT, HR or finance Low priority - no great need to change the way waste is handled. INCREASED COST HAS CHANGED PERCEPTIONS

4. Typical waste management c.2001

5. What changed? Legislation leading to an end to the UKs dependence on cheap access to landfill Landfill infrastructure running out fast Public perceptions of waste and recycling changing Re-cycling can save Business money

6. The EU Landfill Directive 1999 Made the environmental case for reducing landfill disposal. Set binding targets to reduce the volumes of waste member states send to landfill. Fiscal penalties for non-compliance. Introduced new requirements for landfill site operators to make provision for maintenance of the sites long after operations cease. Pre-treatment - finally introduced in the UK in October 2007

7. Landfill Tax Introduced in 1996 Larger increases since 2007 budget – now a major driver of the increase in waste costs Politically neutral Still very low in UK relative to our EU neighbours - eg Ireland

8. Landfill Tax 2003 =£14 2004 =£15 2005 =£18 2006 =£21 2007 =£24 2008 =£32 2009 =£40 2010 =£48 By 2012 total landfill costs could be well over £100 / tonne

9. Public perception – image is everything to some !

10. Public perception Consumers increasingly exposed to higher levels of domestic recycling The next generation of consumers will be even less tolerant of organisations who fail to recycle Organisations employing best re-cycling practices will enjoy positive PR and reputation

11. Can we value aesthetic cost of waste?

12. Waste disposal in the UK is still very cheap Domestic waste costs lumped in with Council Tax – hides the true cost Landfill rates in other EU member states is much higher Both households and business should expect large increases in the cost of disposal.

13. Recycling will cease to be optional Commercially essential to reduce costs Consumers will demand best practice Legislative barriers to old methods of disposal (Packaging Regs & Pre-treatment already introduced)

14. Many firms still aren’t ready Research carried out by the EA recently suggests that a third of small businesses aren’t aware of the requirement to pre- treat their waste - that’s up to 1.6million firms who could be breaking the law and are potentially liable to EA fines. Netregs 2007

15. Recycling is no longer optional ! A quote from an accountant in the Daily Telegraph in response to the pre- treatment laws (source KPMG) “…the first step towards making it illegal not to recycle” Daily Telegraph 15 November 2007

16. Recycling adds ££££s Every tonne of material removed from the landfill stream saves the organisation upwards of £50.00 Some recyclable materials command revenue – cardboard and plastic, metals, textiles, EPS

17. Why would you put it into landfill?

18. What happens when there is too much recycling? Consumer demand for recycled products Many recyclables are derived from finite resources - plastics from oil Pressure on land use for pulp – more profitable to grow food or fuel crops. Low cost of shipping recycled goods to areas of high demand (far east) from western consumer economies

19. Case Study Care Home 40 Bedroom No Re-cycling 4 1100 Wheelie Bins twice a week 1 X Clinical Waste once a week Can Mil-tek save this Care Home Money ?

20. Is it Financially Viable ? Clinical Waste – No change Current costs £10.00 per bin - £80.00 p.w. Reduction of 75% All Cardboard, Newspapers, Paper, most soft plastics, Tins, Cans & PET Bottles removed from land-fill stream Equipment less that £20.00. Plus £20.00 for 2 Bins – Savings Over 4K per annum

21. Cost Public Perception Health & Safety Issue Save Space/Storage Customer Expectations Change in Legislation Current Affairs Global Warming Prioritising Recycling?

22. Mil-tek Re-cycling & Waste Management Open Forum – Q & A Session