Waste collection prices begin to rise

Significant price increases for bin tags across Offaly are beginning to hit home. Last month, the Offaly Independent revealed that such price increases were imminent. But this week, the extent of the price increase applied by one company has become apparent and other companies are set to rise their prices in the coming weeks. The companies involved say the increased charges are down to an increase in the Government landfill tax from September 1, making their costs sending waste to landfill higher. A statement on Wallace Recycling's Facebook page last Friday said that for the first time since the introduction of their big-tag system in 2005 they had been "forced to increase" their domestic prices. From October 1 refuse bin tags will now cost Wallace Recycling customers €10.50, while recycling tags will now cost €4.50. They had charged €8 and €3 respectively. Explaining the increase, Michael Wallace said: "This runs totally against the philosophy of Wallace Recycling since Linda and I started the service "We have been tightening the screws for the past numbers of years in the hopes that we wouldn't have to increase at all. But as the landfill Levy was introduced it made it impossible to keep the prices as low as they were." Mr Wallace said landfill price increases had thus far being absorbed by the company, but the introduction of the landfill levy was "just a step too far". "On top of an already contracting market for recyclable commodities globally, our business cannot sustain that sort of a double body-blow and we reluctantly have to increase our prices now or risk losing local jobs," he finished. However the story doesn't look much brighter elsewhere. Ken O'Byrne from AES confirmed to the Offaly Independent yesterday that customers will get details in the post early next week of a price increase that will be implemented from the start of next month. He declined to outline the extent of the price increase. "This is not something that we're happy with by any means," Mr O'Byrne said. "Unfortunately because of the business we're in and the tight margins we've no choice." He added that the company would not pass on the "full extent" of the landfill levy increase however, and said current customers who would like to switch to a flat fee will be able to avail of a special offer until the end of the year. Oxigen released a statement on its website, saying that the additional tax was "completely out of the control of your service provider". It said that while Oxigen was committed to hold down prices for its services and no cost increases have been passed down for more than three years, this cost increase "must be passed on to the customer". As of yet, the price of Oxigen bin tags has not increased. Sinn Fein TD Brian Stanley said yesterday something must be done as the cost of refuse collection is putting serious pressure on households, especially on top of rising fuel prices. He warned too that if charges are set too high illegal dumping is sure to become an issue. "I raised this with Minister Phil Hogan before the summer," Deputy Stanley said. "On the one hand we do want people to keep on using authorised collectors, but if we make charges for that too high people will start using alternative methods. "If a local authority has to continually go out and clean up litter black spots that doesn't make financial sense either." Deputy Stanley said the cost of refuse collection is putting pressure on many households. He said there is also a particular problem in relation to elderly people who don't fill bins weekly yet still pay the full amount. "There's no simple solution, but one way to help would be a pay-by-weight scheme," Deputy Stanley said. "The other suggestion would be to introduce some sort of waiver scheme across the country. There are waiver schemes operating in some counties, but we need it across the 26 counties to deal with this issue." Deputy Stanley also argued the case for local authorities providing a waste collection service, rather than commercial companies. He said he'd also fear a system in the near future whereby a waste collection company would win a tender for a particular town and its residents then be left at the mercy of one operator with no competition. "That would be a retrograde step in terms of keeping prices as low as possible," he said.