Market engagement on proposed lotting structure for upcoming procurement for a Dry Recycling Contract (DRC) in accordance with the statutory duties of the East London Waste Authority (ELWA).

Description

ELWA conducted initial preliminary market engagement in respect of its forthcoming competitive flexible procurement of a Dry Recycling Contract (DRC) in September and October 2025 (Notice reference: 2025/S 000-052844 for further details). As part of the exercise, ELWA published a Market Operator Briefing Note in which it explained that the main objective of the DRC contract is to maximise recycling of dry recycling materials. In the Briefing Note, ELWA explained that the 2024-25 dry recycling tonnage for the four Constituent Councils was 52,859 tonnes. This tonnage has been modelled for the Joint Strategy using 35% reuse and recycling rates at approximately 54,000 tonnes for 2028/29. ELWA also stated in the Briefing Note that it was unlikely to sub-divide the contract into lots based on tonnage, but asked market operators for their views on benefits of sub-dividing the contract into lots. ELWA had 7 respondents to this initial PME, and in respect of sub-division into lots, the majority of respondents expressed a preference for sub-division. However, operators expressed different preferences into how these lots should be structured. For example, options presented included: - Creating lots based on different material streams (e.g. one for twin-steam/source segregated materials and 1 for general DMR); and - Splitting lots by reference to geographical boroughs. Respondents also provided their minimum and maximum processing capacities. In preparing for the launch of this procurement in April 2026, ELWA seeks views from the market in respect of the lotting structure for the procurement on the points included in the "Engagement Process Description" of this notice.

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