Issue - meetings

The purpose of the attached report requests approval by Cabinet not to extend the current waste and street cleansing contract with Veolia, following a review of the proposed requirements by the contractor to support an extension.

The Executive Mayor in Cabinet is recommended to:

1.1.         Agree that the current waste collection and street cleansing contract with Veolia Environment Services is not extended following expiry of the initial term on 31st March 2025.

1.2.         Agree that further work to consider the alternative options for the provision of waste collection and street cleansing services is undertaken and recommendations brought before Cabinet in line with the timetable set out as section 6.7 of this report.

1.3.         Note the powers held by the Mayor of London under the GLA Act to issue directions to London boroughs in relation to waste management procurement and that the project team will be encouraged to develop a close working relationship with the GLA borough liaison team to ensure they are well-sighted on the steps being taken to ensure service continuity and continuing conformity with the London Environment Strategy.

Cabinet considered a report, which sought approval by the Executive Mayor, not to extend the current waste and street cleansing contract with Veolia, following a review of the proposed requirements by the contractor to support an extension.

It was reported that Croydon Council operated waste and recycling services for every household in the Borough through its contract with Veolia and that this included waste and recycling collections, footway winter maintenance, vehicle maintenance and street cleaning.

It was further reported that the contract had been procured by Croydon on behalf of the four partner boroughs in the South London Waste Partnership (SLWP) in April 2017 and the initial eight-year term was due to expire on 31 March 2025. The partnership boroughs had the option to extend the contract for another eight years or to consider another option for service delivery.  Any extension had to be agreed by all parties.

The report presented the Council’s approach to reshape the future of the waste collection and street cleansing services, which was the fulfilment of a key Manifesto commitment set out by the Executive Mayor.

The re-procurement was necessary due to legal risk regarding Veolia’s proposed conditions for extending the existing contract. A new commissioning approach would also allow the Council to improve the waste collection and street cleansing arrangements and contract management, help the local environmental quality and reduce fly tipping whilst helping increase pride in Croydon.

The Executive Mayor said that when Veolia had met with him, they said it had been the first discussion with a London Borough of Croydon politician for over two years.

The Cabinet Member for Environment and Streets said that the Council had been working with Veolia since 2018 and, for clarity, the SLWP contract would remain in place until 2025 and that the service would be monitored closely.

He said there would be a further report to Cabinet in March 2023.

In response to a Member’s question in relation to what people wanted from their new contract, the Executive Mayor said that the Council would be talking to residents and would review accordingly.

The Executive Mayor, in Cabinet, RESOLVED that:

1.            the current waste collection and street cleansing contract with Veolia Environment Services be not extended following expiry of the initial term on 31st March 2025.

2.            further work to consider the alternative options for the provision of waste collection and street cleansing services be undertaken and recommendations brought before Cabinet in line with the timetable set out at Section 6.7 of this report.

3.            the powers held by the Mayor of London under the GLA Act to issue directions to London boroughs in relation to waste management procurement, be noted and that the project team would be encouraged to develop a close working relationship with the GLA Borough Liaison Team to ensure it was well-sighted on the steps being taken to ensure service continuity and continuing conformity with the London Environment Strategy.