MWDA Settles Legal Dispute With Covanta

21-10-13(1)picMerseyside Waste Disposal Authority (MWDA) has announced that it has settled its legal dispute with Covanta over a 1.2bn waste contract.

MWDA said that it is “pleased to report that they have managed to reach an amicable settlement of their dispute”

As a result, Covanta has agreed not to pursue its claim against MWDA.

Covanta had challenged MWDA over its decision to select SITA UK, SEMBcorp Utilities UK and Ituchu Corporation as the preferred bidder for its residual waste contract.

Chief Executive Officer of SITA UK, David Palmer-Jones, said: “This is the best possible outcome for the people of Merseyside and Halton and means we can soon get on with the important job of managing household waste in a sustainable and cost effective way”

Covanta claimed that the procurement process was legally flawed, and only earlier this month released a statement saying its solution would “save hundreds of millions of pounds for Merseyside taxpayers, create local jobs in Merseyside and be better for the environment by avoiding transporting this waste right across the country.”

As the terms of the settlement are confidential, the parties will not comment further on the details of that resolution.

Chief Executive Officer of SITA UK, David Palmer-Jones, said: “This is the best possible outcome for the people of Merseyside and Halton and means we can soon get on with the important job of managing household waste in a sustainable and cost effective way.

“SITA UK has a strong track record of delivering contracts that get results and that’s exactly what is needed by Merseyside Waste Disposal Authority.

“We look forward to working together to save council tax payers millions of pounds and reducing carbon emissions by thousands of tonnes each year with our new resource recovery contract.”

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