Gate Fee

From Wikiwaste

Overview

When Residual Waste or any other form of collected waste or recyclables are taken to a facility for Treatment or Disposal i.e. MRF, IVC, AD, EfW and Landfill there is a transaction between the holder/collector of the waste and the operator of the facility/site. The collector typically pays to the facility an amount per tonne measured at the point of receipt at the site commonly referred to as the Gate Fee.

In the case of Residual Waste or Disposal generally there is payment to the operator, in the case of Treatment or Recycling there may be a payment made by the operator or Reprocessor to the collector reflecting the value of the material being received (often reported as a negative gate fee in market based reports). In some cases a Gate Fee may reflect both, and so an example might be the Gate Fee at a MRF for Dry Mixed Recyclables, where a Gate Fee may be charged and then a rebate is given according to the quality and mix of materials delivered and the contamination levels presented - leading to either a net positive or negative Gate fee overall.

In the case of Disposal to Landfill, Landfill Tax is applied in addition to the Gate Fee applicable at the Landfill site and set by the operator of the Landfill.

Gate Fee Reporting

There are several on-line market trackers of Gate Fees, but WRAP provide an annual report on the Gate Fee paid by Local Authorities alongside Gate Fees for others collecting MSW and Business Waste generally. The most recently published report [1] indicated that Gate Fees not only fluctuate on the basis of the Treatment facility, but also on the regional differences across the UK which vary according to the supply/demand in an area and the commercial pricing approach taken by the operator. The summary table from the report is reproduced below for reference:

Summary of the UK Gate Fees reported by Local Authorities, 2018 £/tonne[2]
Treatment Material / Type of Facility / Grade Median Mode[3] Range[4] No. of Gate Fees Reported 2017 Median Gate Fee
MRF All Contracts (All Waste) £25 £5 - £10 -£41 - £97 91 £22
Contracts beginning in 2018 £35 £35 - £40 -£3 - £60 18 £35[5]
In-vessel Composting (IVC) Mixed Food & Green £50 £50 - £55 £28 - £67 28 £49
All feedstock types £46 £55 - £60 £10 - £73 52 £46
Anaerobic Digestion (AD) All Gate Fees £27 £15 - £20 -£5 - £68 62 £26
UK (Contracts started between 2016-18 £19 £0 - £5 -£5 - £50 18 -
Energy from Waste (EfW)[6] All Gate Fees £89 £85 - £90 £44 - £125 68 £86

References

  1. WRAP Gate Fee Report for 2019 (reporting data from 2018)
  2. All Gate Fees reported excluding haulage costs.
  3. Mode is the gate fee range (in £5 increments) Which received the most responses in the survey data.
  4. Range lists simply the range between the maximum and minimum data points in the survey data collected.
  5. Contracts beginning 2017
  6. Incineration with Energy Recovery