Including energy-from-waste in the proposed Emissions Trading Scheme expansion poses significant financial risks and unintended consequences for local authorities, North London Waste Authority (NLWA) has warned.
In its response to a Department for Energy Security and Net Zero consultation, NLWA has urged the Government to focus efforts on product designers, manufacturers, and producers who are ultimately responsible for the fossil-carbon in waste.
The Authority fears that setting a limit on emissions from energy-from-waste facilities could add tens of millions of pounds to the annual cost of waste disposal for residents in north London and force constituent boroughs to make cuts to essential services. It has called for a full impact assessment and a commitment to ensuring local authority budgets are protected.
Councillor Clyde Loakes, Chair of NLWA, said: “While it is crucial that we all reduce our carbon emissions to tackle the climate emergency, these proposals are essentially a tax on councils which are already at breaking point financially.
“Waste disposal authorities have very little control over the content and volume of rubbish they manage, with the population demographics and higher proportion of flats and communal properties in north London exacerbating these difficulties.
“NLWA supports proposals to pass the costs associated with fossil-based packaging onto producers through Extended Producer Responsibility, but more needs to be done to stop these materials from becoming waste in the first place.
“We are committed to sharing our knowledge and experience of local energy generation and waste with the Government to ensure policies truly enable the sector to decarbonise in line with the country’s net zero ambitions.”
The UK Emissions Trading Scheme, which came into operation in January 2021, sets a limit on greenhouse gas emissions from energy intensive industries, the power generation sector and aviation, and ensures an appropriate price is applied to additional allowances.
The consultation, which sought views on proposals to include waste incineration and energy-from-waste in the scheme from 2028, closed earlier this month.
