Additional funds for Kintyre Recycling Ltd

Argyll and Bute Council has agreed to provide additional funding to Kintyre Recycling Ltd (KRL) and Fyne Futures.

At a meeting on Thursday June 27, councillors agreed to the additional funding which will allow the companies to continue to deliver kerbside recycling services in South Kintyre and Bute until March 2020, when their contracts come to an end.

KRL is due to receive around £32,662, while Fyne Futures has been allocated £37,500.

In 2001, Argyll and Bute Council signed a 25-year Public Private Partnership with Renewi. The contract makes provision for named third sector partners, including KRL and Fyne Futures, to manage recyclable materials in specific areas.

However, there have been significant changes to the waste sector since the contract was signed. The value of recycled material has decreased and, as a result, both companies have anticipated a drop in income.

This, along with an increase in operating costs, has led to both organisations stating that they are unable to meet their service obligations within the current contract rate.

Additional funding for KRL and Fyne Futures will allow time for the council to look at service delivery in Kintyre and Bute beyond the end of March 2020.

Councillor Roddy McCuish, policy lead for amenity services, said: ‘Firstly, we would like to thank KRL and Fyne Futures for the services they have supplied to their communities, and the council, over the years.

‘This is a volatile market and I am pleased to note that both organisations have other options that will enable them to diversify into other more lucrative areas. We wish them all the best with their future ventures.’