At Tuesday’s Executive meeting it was revealed that Island Roads are refusing to pay landfill costs for items they’re contracted to collect, such as rubbish they collect from street waste bins, fallen trees, grass and verge cuttings.
The PFI contract states that Island Roads are responsible for disposing of the items, but they are currently flatly-refusing to accept they are liable to pay for the disposal of what they’re collecting.
The upshot of Island Roads’ refusal to pay is that Isle of Wight council – and therefore residents of the Island – would be lumbered with this additional large cost.
£400k and counting
OnTheWight understands that Island Roads have racked up a bill estimated to be around £400,000-500,000 since the start of the contract two years ago.
At current landfill rates, the cost of disposal would be £1/4m per year, which over the length of the contract, would be over £6,000,000 the council would have to find.
If landfill rates or taxes went up, the cost would rise further.
Council funds short already
The council is already increasingly short of funds, due to central Government slashing money the council used to receive.
Executive member for PFI, Phil Jordan, said,
“We’re in dispute with Island Roads about this and are attempting to get it settled.
“Atkins have looked at it and we’ll be taking legal advice.”
OnTheWight attempted to contact Island Roads, but didn’t hear back prior to publishing. We’ll update the article when we hear from them.
Image: HummyHummy under CC BY 2.0