Proposed sale of the biggest wheelie bin company of Laois opposed
Reported price of Bord na Móna company could mean a €11 million loss for taxpayers
SIPTU has called on the Government to intervene and prevent a proposed sale of Bord na Móna Recycling, the last waste collection company in Ireland which is not fully privatised.
The big trade union has issued a statement following reports that the waste company is up for sale for €50 million, €11 million less than it was purchased for in 2007.
SIPTU Transport, Energy, Aviation and Construction Divisional Organiser, Adrian Kane, said: “The privatisation of waste collection in Ireland has been bad for consumers, workers and the environment. It is essential that Bord na Móna Recycling remain a semi-state company, both to protect the services it currently provides and also to provide a possible vehicle for the re-engagement of the state in the provision of this key utility.
“Recent years have seen the full impact of our incoherent waste management policy in terms of rising costs for consumers, declining standards for workers and an adverse environmental impact. In some areas, three separate companies provide waste collection services, resulting in more trucks producing much greater amounts of pollution, increased fly tipping and adding to traffic congestion.
“The much-vaunted case for privatisation was that it would see a reduction in prices for customers and greater efficiencies. In fact, the opposite has happened. We are also heading into a situation of effective private monopolies on waste collection in many areas as the number of operators in the market has fallen from 82 in 2012 to 51 this year.”
Bord na Móna issued a statement in reply.
"We are currently carrying out a strategic review of the Bord na Móna Recycling business. It is business as usual, and this will not affect our ways of working, or our commitment to providing an efficient waste collection service for our customers. We will not be providing further comment at this time," it said.
The Sunday Business post reported that Bord na Móna is preparing to put the waste management business on the market within weeks. Bord na Móna Recycling which generated over €100 million in revenue for the State-owned firm which has a big chunk of the Laois household waste market.
Bord na Móna completed its €61 million acquisition of waste management company Advanced Environmental Solutions (Ireland) in 20017 after obtaining regulatory approval.
It was reported at the time that the acquisition of part of Bord na Móna's strategy of diversification into waste management and power generation.
It was reported in 2014 that the Bord na Móna was going to sell AES in 2015. However, this never materialised. Customers were told in May 21 that the AES name was being dropped in favour Bord na Móna recycling.