Greater Manchester Combined Authority (GMCA) has opted to prolong its partnership with Suez Recycling and Recovery UK, securing a waste management agreement until 2034. Originally initiated in 2019 and set for seven years, this £1 billion extension signifies a strong vote of confidence. Meanwhile, the move also brings continued support for community projects and social initiatives, enriching the region’s environmental efforts.
Extension of the Existing Contract
Greater Manchester Combined Authority (GMCA) has decided to extend its waste management contract with Suez Recycling and Recovery UK until 2034. The initial agreement, which began in 2019, was originally set for seven years but included an option for an additional eight years starting from 2026. This extension is worth over £1 billion.
The GMCA is the largest waste disposal authority in the UK. The extension reflects the confidence that the GMCA has in Suez’s performance. Moreover, community projects and social benefits have been a key part of this agreement. Since 2019, £1.3 million has been allocated to charities and community projects.
Economic and Social Impact
Suez Recycling and Recovery UK has a strong presence in the UK, being the third largest waste recycling and recovery company. The company has over 25,000 customers and employs around 6,000 people. Its annual turnover exceeds £900 million, with a significant increase attributed to the GMCA contract.
The contract’s social value component is groundbreaking. Unlike the usual public sector procurement norm of 2-3%, this contract allocates 15% of the marks to social value. Consequently, Suez has developed 54 ‘social value commitments’. These commitments have resulted in extensive social, environmental, and economic benefits throughout Greater Manchester.
Suez’s initiatives include the establishment of Renew shops. These shops have redirected over 260,000 items for reuse, generating over £1 million for good causes. This includes an annual contribution of £100,000 to the Greater Manchester Mayor’s Charity, aimed at addressing homelessness.
Innovative Practices and Partnerships
The extension has enabled Suez to foster new partnerships and develop innovative solutions. They have collaborated with the social enterprise, Recycling Lives. This partnership supports various community projects, including the electrical repair pod at the Renew Hub in Trafford Park.
Caroline Simpson, Group Chief Executive of GMCA, emphasised the importance of the contract. She noted that under the unique devolution deal, they are pushing the boundaries of social value delivery for the city region. This model is now seen as best practice nationally.
She also pointed out the significant improvements in performance. Only 0.2% of waste is now going to landfill, and the Household Waste Recycling Centre (HWRC) recycling rate is close to 60%. These achievements underline the effectiveness of the partnership with Suez.
Future Challenges and Confidence
Sabrina Soussan, Chairman, and CEO of Suez, welcomed the contract renewal. She highlighted the long-term trust and commitment to economic and social value. Soussan believes that their innovative and resilient solutions make them well-placed to meet future challenges.
John Scanlon, CEO of Suez Recycling and Recovery UK, shared his pride in their accomplishments over the past five years. He praised the collaborative nature of their relationship with GMCA. Scanlon expressed his enthusiasm for navigating the coming years of change to build a more resource-efficient circular economy.
Local Government Perspective
Cllr Tom Ross, GMCA’s lead for Green City-Region, expressed satisfaction with the contract extension. He emphasised the job security and investment in Greater Manchester’s waste and recycling ambitions. Ross highlighted the success of the Renew Hub and the plans for future developments.
The contract extension provides a stable foundation for future innovations. Greater Manchester’s strategy focuses on sustainability and social value. This approach ensures long-term benefits for the community and environment.
Contributing to a Circular Economy
Suez’s efforts are aligned with broader goals of creating a circular economy. This involves reusing and recycling materials to minimise waste. The Renew shops and partnerships with social enterprises play a significant role in this initiative.
The collaboration between GMCA and Suez is seen as a model for other regions. Their combined efforts demonstrate that public sector procurement can drive social, economic, and environmental progress. This model encourages other authorities to adopt similar strategies.
The ultimate goal is to create a sustainable and resource-efficient future. Both GMCA and Suez are committed to achieving this. Their ongoing partnership is likely to set new standards in waste management and social value.
Summary of Achievements
The extended contract has already seen substantial achievements. Over £1 million has been raised for social causes through Renew shops. Significant improvements in recycling rates have been observed.
Suez’s commitment to social value has resulted in numerous community projects. These initiatives have made a positive impact on Greater Manchester’s social and environmental landscape. The partnership serves as a benchmark for others to follow.
In summary, the extension of the waste management contract between GMCA and Suez signifies a major milestone, ensuring continued environmental and social benefits for Greater Manchester. This £1 billion deal reaffirms the commitment to innovation and social value. The partnership’s successes set a benchmark in sustainability and community-focused initiatives.