Scope
Description
The receipt, segregation, processing and sale of material collected from the kerbside by the participating councils, including Aluminium and Steel Cans, glass, cartons, plastic and paper and card. The contractor takes ownership of the materials and sells them on the relevant commodity market. Approximately 42,500 tonnes per annum is supplied by the participating councils.
Contract 1. Material Recycling Facility
Supplier
Contract value
- £5,000,000 excluding VAT
- £6,000,000 including VAT
Above the relevant threshold
Earliest date the contract will be signed
1 November 2026
Contract dates (estimated)
- 1 February 2027 to 31 January 2032
- 5 years
Main procurement category
Services
CPV classifications
- 90514000 - Refuse recycling services
Contract locations
- UKH - East of England
Participation
Particular suitability
- Small and medium-sized enterprises (SME)
- Voluntary, community and social enterprises (VCSE)
Other information
Conflicts assessment prepared/revised
Yes
Procedure
Procedure type
Direct award
Direct award justification
Single supplier - technical reasons
The consortium of councils intends to award a contract directly to Pearce Recycling for the receipt and processing of dry recyclables. The existing contract expires in January 2027, and preparatory market engagement has confirmed that no alternative, viable, or compliant options exist.
Market assessment identified that all alternative Material Recycling Facilities (MRFs) are located outside Hertfordshire and would require significant increases in vehicle mileage, fuel use, and carbon emissions, alongside material operational disruption. Five suppliers were engaged, but none could confirm sufficient capacity for the consortium's full tonnage or provide a technically viable model.
Pearce Recycling is the only provider capable of delivering the required services locally and at the necessary scale. The incumbent operates a fully permitted Hertfordshire-based MRF with adequate spare capacity and has delivered the service reliably since 2017.
Accordingly, the consortium intends to make a direct award under the applicable procurement provisions permitting award where only one supplier is capable of meeting the requirement due to technical and operational exclusivity and absence of competition.
Supplier
PEARCE RECYCLING COMPANY LIMITED
- Companies House: 01105882
- Public Procurement Organisation Number: PXGV-9765-TRCY
Pearce House
St Albans
AL4 0JY
United Kingdom
Email: DJones@pearce-recycling.co.uk
Website: http://www.pearce-recycling.co.uk
Region: UKH23 - Hertfordshire
Small or medium-sized enterprise (SME): Yes
Voluntary, community or social enterprise (VCSE): No
Contract 1. Material Recycling Facility
Contracting authorities
Welwyn Hatfield Borough Council
- Public Procurement Organisation Number: PYHY-6394-TBPP
The Council Offices
Welwyn Garden City
AL8 6AE
United Kingdom
Email: procurement@welhat.gov.uk
Region: UKH23 - Hertfordshire
Organisation type: Public authority - sub-central government
Dacorum Borough Council
- Public Procurement Organisation Number: PGGG-5373-XYZX
The Forum, Marlowes
Hemel Hempstead
HP1 1DN
United Kingdom
Email: procurement@dacorum.gov.uk
Region: UKH23 - Hertfordshire
Organisation type: Public authority - sub-central government
Three Rivers District Council
- Public Procurement Organisation Number: PQCZ-4732-TCLN
Three Rivers House, Northway
Rickmansworth
WD3 1RL
United Kingdom
Region: UKH23 - Hertfordshire
Organisation type: Public authority - sub-central government
Watford Borough Council
- Public Procurement Organisation Number: PDGQ-4877-NMGQ
Town Hall
Watford
wd17 3AX
United Kingdom
Region: UKH23 - Hertfordshire
Organisation type: Public authority - sub-central government