Decision to delay EfW means costs could escalate

THE Policy Council fears that the deal to build an energy-from-waste plant for £80m. may be lost for all time. The States now has to walk away from its agreement with technology supplier Lurgi (UK) to build a plant at Longue Hougue for an initial cost of £72m.

Nearly £5m. has already been spent on the project.

And there is concern that Lurgi may not be in a position to tender at a later date if emerging technologies are ruled out by an independent review and the States is forced to return to mass-burn incineration.

'The Lurgi contract took advantage of a certain window of opportunity and was as advantageous to the States as any contract of this type can be,' said Treasury and Resources minister Lyndon Trott. 'Specialist contractors' order books are looking very busy for the rest of this decade.

'The proposed contract came with a proper guaranteed fixed price and I will be personally amazed if either overseas shipment of our waste or an emerging technology solution will be found to be suitable for Guernsey after this inquiry, as was made quite clear during the debate by the Environment and Health Departments.'

Deputy Trott admitted that few, if any, States members supported the cost, or the look, of the proposed plant at Longue Hougue.

'But all that's likely to change now, in my opinion, is the final cost, which will almost certainly escalate as a result of either opting for economically unjustifiable strategies, or a re-tender process at a time when little spare capacity exists.'

Chief Minister Laurie Morgan said it was quite understandable that new States members would baulk at the size of the facility and its £80m. price tag.

But if the debate had been held in a couple of years' time, he was convinced that the result would have been different.

'It was unfortunate that this came at this particular time,' he said.

He said he had no complaint with Deputy Ogier's requete. 'He has very sincere in his views and I've no problem with him bringing the requete. I was disappointed with the outcome.'

Environment minister Bernard Flouquet lost his battle to contend that the facts and history of the case spoke for themselves.

'What disappointed me is that people don't trust the research. In the past, I have been given the impression that when we have a report, we require another report to substantiate the first one. That is a circular route to take,' he said.

Deputy Peter Roffey defied his environmentalist background to oppose the requete.

'This was depressing in the sense that it was the politics of wishful thinking rather than the politics of reality,' he said.

He said that the concept of exporting the island's waste to Germany, or elsewhere, was 'totally spurious'.