Laura Sharman 17 September 2014

MPs slam PFI waste projects

The funding agreements for ‘lax’ PFI waste projects have been criticised in a report from the spending watchdog.

A report from Public Accounts Committee (PAC) found that ‘poorly drafted’ contracts signed by the old Department for Environment, Transport and the Regions meant three councils were given millions in grants even though facilities have yet to be built.

It revealed that councils had received £213.5 in grants from Government over the past 15 years with no main waste assets to show for the funding.

Margaret Hodge MP, chair of the Committee of Public Accounts, said: ‘It is appalling that lax, poorly drafted PFI funding agreements to support the building of local authority waste processing plants have led to hundreds of millions of pounds worth of grants being made to three councils even though the main waste assets – such as incinerators – have not yet been built.’

It calls on Defra to ensure they only pay for what is delivered in the future and act with urgency if it has concerns over a project’s progress. It also recommends it works with local authorities to improve their contracting capability and help them negotiate better value PFI contracts.

Ms Hodge added: ‘Long PFI contracts that typically last 25-30 years may be inappropriate for the waste sector where technology is continually evolving and the amount of waste that will be produced in the future could be hard to predict.

‘The Department has more work to do to improve local authorities’ contracting capability, especially for PFI projects, and ensure that they only pay for what is delivered in future without getting locked into long, inflexible contracts.’

SIGN UP
For your free daily news bulletin
Highways jobs

Administrative Support Assistant

Durham County Council
Grade 4 £25,583 - £26,824
Are you organised, proactive, and great at building relationships? Do you enjoy keeping things running smoothly behind the scenes? This is your chance Durham
Recuriter: Durham County Council

Positive Journeys Support

Durham County Council
Grade 5 - £26,403 - £28,598
We’re expanding our Positive Behavioural Support Team in County Durham and currently have one 26-hour over 4 days, 32.5 Hours at our Chester-le-street Barnard Castle
Recuriter: Durham County Council

Class Teacher- SENCO

Durham County Council
£32,916- £45,352
Class Teacher- SENCO M1-M6 + TLR2b (£5,869) £32,916- £45,352 (+£5,869) Permanent, Full Time Required to start September 2026   Framwellgate Moor Prima Durham
Recuriter: Durham County Council

Class Teacher

Durham County Council
£32,916
Classroom Teacher M1 (£32,916) Full time - Fixed Term contract until 31st August 2027 Required to start 1st September 2026 pending DBS clearance.   Th Durham
Recuriter: Durham County Council

Building Repairs and Minor Works Technician

Durham County Council
£30,024 to £33,699 p.a. Grade 7
An exciting opportunity has arisen for an office based role, Building Repairs & Minor Works Technicians, to join our existing Repairs and Maintenance Durham
Recuriter: Durham County Council
Linkedin Banner