Waste charges are higher here than competing states

IRISH BUSINESSES are paying more for waste management than those in most competing countries, according to a report published yesterday.

A report on waste management in the Republic by State development agency Forfás shows that most of the waste produced by businesses ends up being dumped in landfill sites.

The report shows that charges for this service were among the highest of nine countries surveyed.

Last year, the advertised price for landfill – mainly municipal or privately run dumps – was €112 a tonne, with a further €20 tax on top of that. The market price in the Republic was €90, which did not include the €20 tax.

This means that businesses were paying between €110 and €132 a tonne to dispose of most of their waste, well ahead of their competitors in other countries.

Biological waste treatment costs were the highest of nine countries surveyed, at €90 a tonne. The news comes days after a report from another State agency, the National Competitiveness Council (NCC), showed that high charges for utilities are among a number of non-payroll costs that are hitting Irish businesses’ ability to compete.

The NCC said that these high costs meant that the Republic was underperforming its key trading partners, which was in turn adding to the cost of goods and services that it sells overseas.

The Forfás report shows that the Republic produced 30 million tonnes of non-agricultural waste in 2006, which is the most up-to-date information available.

It acknowledges that this may have fallen since the recession struck early last year. The figures show that the building and demolition industries were the biggest contributors, generating 18 million tonnes. Both sectors have slowed considerably since then.

The second biggest contributor was mining and quarrying, a supplier to the building industries, among others. The agency recommends co-ordinating the Republic’s different regional waste treatment plans to maximise economies of scale and allow the market to offer cheaper prices to business.

It argues that the fragmented approach is hindering the development of large-scale, cost-effective treatment.

It warns that delays in the planning process have slowed the delivery of key waste management facilities. Forfás says that the Government needs to end the uncertainty about the future of waste management policy, as this is delaying the development of infrastructure and deterring investment.

The body also says there should be no further increase in landfill levies until there are adequate alternatives available.

Forfás competitiveness division manager Declan Hughes warned yesterday that waste management decisions needed to address competitiveness and environmental sustainability. “To improve Ireland’s waste-management performance and to ensure the provision of cost-competitive, environmentally friendly, waste management services to business, we need to address the barriers to infrastructure investment, such as reducing planning delays, joining up regional waste plans and ending the high level of uncertainty about the future direction of waste policy,” Mr Hughes said.