No Time Wasted In Sealing Scottish Waste Treatment Contract
09 May 2011
A major Scottish waste contract worth over £100 million has gone from preferred bidder stage to contract signature in just over four months, with help from an experienced legal team from Burges Salmon.
The law firm’s experienced Environmental Project's team comprising waste management, funding and Scottish Law specialists advised on the partnership project between Scottish Borders Council and longstanding client, New Earth Solutions.
The multi-disciplinary team was led by Burges Salmon senior associate, Nick Churchward and partner Will Gard with Scottish Law advice from Burges Salmon's Scottish real estate and planning team.
As well as advising on the very specific planning, consenting and property issues, Burges Salmon also monitored the rapidly changing ‘Zero Waste’ environmental regime in Scotland during the procurement stages. The legal team also helped the project team to maintain a pragmatic approach to risk management, enabling the delivery of a flexible, value for money contract which will provide the Council with market-leading rates of recycling and landfill diversion.
The new 24-year contract covers around 65,000 tonnes of waste each year, of which 45,000 tonnes will be treated by New Earth in its new mechanical biological treatment (MBT) facility in Galashiels. New Earth secured detailed planning consent for the facility prior to contract signature.
Senior Associate, Nick Churchward, from Burges Salmon’s Environmental Projects' team says: “Our detailed environmental sector knowledge and in-house Scottish Law capability, combined with our ability to advise clients on innovative funding arrangements enabled New Earth to get from preferred bidder to contract signature in record time.
“With the English waste market coming through something of a re-organisation following the removal of a significant number of PFI credits in late 2010, it is good to see privately financed, long-term partnerships such as this coming to fruition in Scotland.”
Richard Brooke, Commercial Director of New Earth Solutions, says: “Our waste treatment solution will enable Scottish Borders Council to divert waste from landfill, as well as offering ‘second-chance’ recycling for useful end products and facilitating the recovery of renewable energy. This is the sixth of our schemes to go into development and our geographical footprint within the UK continues to grow. It has been reassuring to have the support of trusted advisers such as Burges Salmon as we expand our business further north."
Councillor Len Wyse, Executive Member for Environmental Services at Scottish Borders Council said: “We are pleased to have now signed the contract with New Earth Solutions following a two year procurement process for this new treatment plant. The contract will help us to meet the legislative recycling and diversion targets of the Scottish Government and the European Union.”
For Burges Salmon this work swiftly follows the closure of another deal in the Sector between Helius Energy plc and the Combination of Rothes Distillers (CoRD) to deliver a 7.2MW biomass CHP project at Rothes, Morayshire. Here another multi-disciplinary team assisted in the delivery of a complex transaction structure involving multiple counter-parties which will see a network of whiskey distilleries using by-products from the everyday processes to generate renewable energy on-site.