The London Waste and Recycling Board (LWARB) has launched its new Business Plan, which recognises the urgent need to provide flexible finance to waste projects with the aim of unlocking the development of waste infrastructure in London.
The Business Plan, which covers the two years from April 2013 – 2015, launches the new £19m “Tailored Investment Fund”, LWARB’s new approach to financing waste projects.
Under this fund, LWARB is able to explore a range of financial support mechanisms that are tailored to individual projects.
LWARB will work with project sponsors and potential funders to create a suitable finance structure that will help ensure that a potential infrastructure project is not put in jeopardy through lack of finance, and structure finances to help safeguard projects from default, whilst appropriately rewarding risk.
Richard Tracey – “Investment in new waste infrastructure to move the treatment of waste away from landfill has substantial benefits for London and the UK”
LWARB will support suitable projects that are proving difficult to get off the ground and give them a helping hand.
The Business Plan also provides details of the Waste Efficiencies Programme, aimed at helping London waste authorities save money without the need to cut front line services.
For example, LWARB has encouraged London boroughs to work together on joint procurement projects to provide economies of scale. The Waste Efficiencies Programme will also include on-going support for London boroughs to communicate reuse and recycling information to Londoners.
Richard Tracey, chairman of LWARB said, “Access to finance is a critical barrier to infrastructure delivery in London. For this reason, this plan outlines a flexible approach to infrastructure financing. Investment in new waste infrastructure to move the treatment of waste away from landfill has substantial benefits for London and the UK. Waste infrastructure investments create jobs for Londoners, and the businesses created continue to invest in the local economy for the lifetime of the plant.”
Over the past two years LWARB has committed almost £51m to various projects to improve waste management in the capital. Last year the Board demonstrated steady delivery, financing the TEG Group to develop London’s first anaerobic digestion plant, which is now under construction and due to open later this year. LWARB have commitments this year for increased AD capacity and a new plastic reprocessing plant.