ZERO WASTE SCOTLAND
Application form - SPP002
Capital Funding to increase the quantity,
variety and quality of mixed plastics collected
and processed throughout Scotland from the
municipal waste stream
1.
Background
The Scottish Government has a commitment to increase the recycling of plastics (bottles
and mixed) from the household waste stream. With only 15,000 tonnes of plastics
currently collected from the household waste stream in Scotland, this capital grant
programme has been launched to increase the amount of plastics collected and sorted to
support the future provision of reprocessing capacity. The target of this particular
programme is to increase the capacity by an additional 10,000 tonnes per annum of mixed
plastics.
The key purpose of this programme is to provide financial assistance to increase the
quantity, variety and quality of mixed plastics collected from the municipal waste stream
and processed for onward sale / reprocessing by investment in new processes and
equipment and associated infrastructure.
Applicants will be expected to provide
enhancements to facilities that will greatly increase the capture rate and range of mixed
plastics that can be collected from the municipal waste stream and improve the quality of
plastics recyclate in the market place.
Grants of up to £264,000 and not exceeding 50% of the total eligible capital costs, will be
available towards capital costs such as plant, equipment and infrastructure for projects
that will significantly increase the quantity, variety and quality of mixed plastics waste
arisings collected, sorted and re-processed from the municipal waste stream.
2.
Who can apply?
This programme will operate under the de minimis State Aid Regulations. Therefore, there is no
restriction of the type or size of organisation that may apply for this fund providing the project is able
to fully meet the scope and requirements of the programme and that the organisation’s de minimis
threshold will not be exceeded (please refer to section 4).
This programme is open to Materials Recovery Facilities (MRFs), councils, community collection
schemes and / or specific plastics sorting organisations.
Projects must be fully commissioned and project spend must be completed by 31 March 2011.
Funding will not be available after this date.
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3.
What are the scope and requirements of this programme?
To be eligible to apply for a grant your project must:
 be a capital investment (operating costs and land purchase are not eligible for a grant);
 establish additional capability for new or existing processes and equipment and associated
infrastructure capable of sorting and capturing a range of mixed plastics waste arisings for onward
sale / reprocessing;
 be installed and fully operational by 31 March 2011;
 be located in Scotland;
 source mixed plastics inputs from the municipal / household waste stream in Scotland;
 demonstrate that arrangements are in place with local authority partners that will allow for
increases in plastics being collected and that the tonnage generated is in addition to the plastics
tonnage currently being processed;
 be able to demonstrate a need locally for the facility (for example where there are currently no
similar facilities) and does not replace existing capacity;
 be able to demonstrate that the project needs Zero Waste Scotland grant funding to be viable;
 be commercially sustainable in the medium and long term and result in an auditable, additional (to
any current activity) annual output for a minimum of 5 years;
 demonstrate clearly defined and where possible, secured end markets for the output of the
project.
IMPORTANT: Please note that you should only include additional tonnages to any existing activities.
4.
How much funding is available?
This support is offered under an element of European Community State Aid rules known as de
minimis (EC regulation 69/2001 – ‘de minimis’ aid regulation). De minimis regulations allow provision
of financial support of up to €500,000 (currently equivalent to £440,000) per company within a three
year fiscal period. This amount is subject to review and may be revised to a lower threshold as of
31 December 2010. Therefore all contracts must be signed prior to 31 December 2010.
Under this capital grant scheme, you can apply for up to £264,000 as a grant towards capital costs
for new collections, recycling or reprocessing as long as you are contributing at least 50% towards
the total eligible capital costs. You will also be responsible for obtaining and paying for the relevant
permits and licences and financing the operating costs.
Zero Waste Scotland reserves the right to request a guarantee to indemnify against the amount of
grant awarded. Guarantees will be obligatory for grants of £100,000 or more and should take the
form of a bank bond, a parent or holding company guarantee or, at the discretion of Zero Waste
Scotland, a first charge over the project assets.
5.
What can be funded?
Eligible costs items include (and are not limited to):
 Plant and equipment ie screens and associated decking, blowers, optical sorters, changes to a
picking line, wider conveyors and new storage arrangements.
 Associated infrastructure
 Additional storage on kerbside vehicles
 Second-hand plant and equipment may be acceptable.
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Revenue costs or overheads, labour costs, planning, licensing or permitting costs, utilities and
consumables are not included. Mandatory items required to meet current environmental regulations
are also not covered, e.g. wheel wash systems, dust suppression equipment. Land costs would not
be considered for a grant under this programme. Vehicle costs are not covered unless they are
classed as mobile recycling equipment such as additional storage units on kerbside vehicles and they
are to be used specifically for collecting, recycling or reprocessing additional mixed plastics waste as
a direct result of the grant intervention.
Please note that you will need to demonstrate that the project would not be viable without support
and that funding will not be provided for plant and equipment that is already on site or on order. In
addition, funding will not be provided for Research & Development (R&D) projects or Demonstration
sites.
6.
What is required in return?
A tonnage target will be agreed for each successful application based on information provided in the
application form. Milestone payments will be agreed, and paid on achievement of these equipment
installation targets. Successful applicants will be required to provide evidence of expenditure.
Milestones and payment schedules will be agreed during the contract negotiation period. Please note
that it can take up to 10 working days for Zero Waste Scotland to process requests for payment.
Successful applicants will be required to provide information on projected gross income/ turnover and
projected tonnage of material collected/recycled/reprocessed from the date of operation of the project
for the following 5 years. Information will be requested on a six monthly basis.
7.
Applications and decision process
The application form should provide as much information as possible to enable the application to be
reviewed fully and returned to Zero Waste Scotland. Please use appendices to support your
application and assume that the assessors will have no knowledge of your proposed project.
There is no closing date for applications, although funding is finite and available on a first come, first
served basis. The Programme closes at the end of March 2011, so no further funding will be available
after this date. Zero Waste Scotland will aim to provide a response to applicants within a maximum of
four weeks of receiving a completed application form and requested documents.
Each application will be assessed against the following evaluation criteria:
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Value for money in terms of the tonnage of additional mixed plastics collected, sorted
and reprocessed against the amount of grant requested;
Financial robustness of the proposal;
Good design of the project facility;
Arrangements for marketing and use of the facility outputs;
Arrangements for sourcing the input material;
Applicant’s ability to deliver the project;
Environmental commitment & overall environmental impact of the new facility;
Commitment to Health & Safety.
In addition Zero Waste Scotland will review the financial standing of applicants to ensure longevity of
the funded capital.
Once the application has been approved Zero Waste Scotland will meet with successful applicants to
finalise activities and milestone payments. Zero Waste Scotland will then provide a funding agreement
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to the applicant which will specify the agreed capital items to be funded over the duration of the
project. Once signed the successful applicant is free to commence delivery of the project
Zero Waste Scotland would not expect contracts to be signed until all associated prerequisite documentation has been received, including evidence that co-funding is
secured. This would normally be expected within 4 weeks from the date of the offer
letter. Zero Waste Scotland reserves the right to withdraw the offer of funding should the
contract signature date not be met. All contracts must be signed by 31 December 2010.
8.
How to submit your application
Please complete the application form electronically. Provide as much information as possible to
enable your application to be reviewed fully. When complete, send one electronic copy of the
completed application form and supporting documents to:
charlie.devine@wrap.org.uk.
9.
Need more information/guidance?
For further information, call or e-mail:
Charlie Devine
Tel: 01786 448090
charlie.devine@wrap.org.uk.
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For internal use only
Date
received
Application
Number
Section 1: The Business
Title (Mr, Mrs, Miss
etc)
Surname
Forename
Job title
Organisation name
Contact address
Postcode
Telephone
Fax
Mobile
Email
Website
Organisation trading name
(if different from above)
Date organisation started (where applicable)
Company registration number (where
applicable)
Company registered office (where applicable and different from above)
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Postcode
Number of employees in organisation
Annual turnover (where available)
If the company is more than 25% owned by another company or owned through a
Joint Venture/Partnership with another company please give details.
What mixed plastics waste will your business collect, sort and/or reprocess?
mixed plastics
bottles
Other, please specify …
Describe your current business activity.
Section 2: Executive Summary
Detail the proposed capital costs. Include the total cost and the amount of Support
requested (UK£). Please complete Appendix 1 showing all project assets including any
infrastructure required.
MAX ONE PAGE
Proposed Capital items & associated infrastructure
Total Capital cost (excluding VAT) £
Support requested £
equating to
%
Why Zero Waste Scotland financial support is requested
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Section 3: Information About The Need For Capital Investment
Location of new recycling activity if different from address in Section 1:
Address:
Postcode:
Justify the need for the additional equipment, the need for Zero Waste Scotland support,
the claims for tonnage, and demonstrate that the additional tonnage claimed is not
simply displacing other existing mixed plastics collection, sorting and / or reprocessing
activities.
Please do not limit your justifications to one sentence, you should fully explain and may
expand this section to accommodate your response.
Please provide an overview of your proposed project. Please include a flow diagram of
the proposed project and its interface with any existing operations as an appendix.
Why is the capital investment required? How will your project interface with any current
business activities?
How will the capital investment directly increase tonnage of municipal mixed plastics
waste arisings collected, sorted and / or reprocessed in Scotland?
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Where are you going to source the additional mixed plastics municipal waste arisings
from in Scotland – give details of councils, contractors and the status of any contract
negotiations. (Please provide letters of intent from suppliers as appendices, where
available.)
Describe the proposed end-market for, and means of marketing of, the output/product.
(Please provide letters of intent from customers as appendices, where available.)
Section 4: Timescales For Incurring Capital Costs
State when you plan to incur the capital costs and when you will be fully operational. It
would be helpful if you could supplement this with a Gantt chart or milestone activity
schedule.
Capital Item
Proposed Order date
Lead time for
delivery
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Date operating on
site
WASTE SCOTLAND – Current and Future
Section 5: Construction, Demolition & Excavation WasteZERO
Collected/Recycled/Reprocessed
TONNAGES DIRECTLY ASSOCIATED WITH THIS PROJECT (OOO’s)
State Material
type
(ie bottles, other
mixed plastics
types)
Input
Input
Input
Input
Input
Tonnes processed in
current or last full year
of operation
(If 0, state 0)
Future Operating Years
(please state your additional incremental tonnage figures for each year
from the date of operation EXCLUDING any existing tonnages)
An example of how to complete this form is shown as Appendix 2
Year 1
Year 2
Year 3
Year 4
Year 5
TOTAL ADDITIONAL
tpa
tpa
tpa
tpa
tpa
TONNAGE
1
2
3
4
5
Total Input
Tonnage
Output 1
Output 2
Output 3
Output 4
Output 5
Total Useable
Output Tonnage
Residual to
Landfill
Residual to
Incineration
Total Residual
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Section 6: If You Are Going to Make Products From The Additional Mixed Plastics Waste,
Please List Them Here
Products or raw feedstock to be made from the additional waste:
Projected product sale
price £/t or m3
Section 7: If You Are Collecting/Sorting/Recycling For Further Processing, Please List
Where Your Recyclate Will Be Going?
Where will the Recyclate Go?:
Name of reprocessor and location (please confirm if the material will be
exported)
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Projected sale price £/t
or m3
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Section 8: Please Describe Equipment
If the equipment is second hand please advise the age of the equipment and give details of any guarantees that come with it.
Description
Manufacturer and
model
Cost (ex VAT)
Supplier
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New/Second hand
Age (if
applicable)
Guarantee /
Warranty
details
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Section 9: Amount Of Support Requested
Information in this section will help the Panel assess the evaluation criterion “Value for
money”.
Note that support from Zero Waste Scotland is a grant, i.e. a direct
reimbursement of costs incurred, therefore costs should be free of VAT (THE
CONTRACTOR MUST COVER THE COST OF VAT THEMSELVES).
Total cost of Project Assets
Total amount of Support requested (£)
% Support requested
Section 10: Sources Of Finance
Please describe how you will pay for the remaining balance on the capital assets. We
would expect that co-funding arrangements and all other pre-requisites will be in place
prior to the contract signature deadline which is normally within four weeks from the
date of the offer letter. Failure to meet this deadline may result in the withdrawal of Zero
Waste Scotland’s offer of support. All contracts must be signed by 31 December 2010.
Please note that we will not accept co-funding arrangements in the form of a lease
agreement. WRAP does not pay ahead of need and therefore will only retrospectively pay grant
contributions towards costs that have been incurred which will need to be clearly evidenced ie in the
form of deposit payment receipts, delivery notes, invoices and commissioning certification which will
need to be supported by proof that payment has been made.
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Section 11: Statement of de minimis funding
This programme will operate under the de minimis State Aid Regulations which have a current limit of
500,000 euros at an exchange rate set as at 1 January 2010 of £0.88p. You are required to provide
details of public funding received (or pending) over the past 3 fiscal years and read and sign the de
minimis declaration below.
Source of public funding
Date received
(or applied for if pending)
Amount received/pending
(exc VAT)
Total (exc VAT)
I understand that my application for support from Zero Waste Scotland’s De Minimis Programme is
governed by the European Community rules on State Aid, is a de minimis Aid and that, therefore, my
application must satisfy the conditions of the de minimis rule. I further understand that aid that
exceeds the de minimis rule is illegal aid, which I may be required to repay. I confirm that I have
detailed below the total amount of all forms of aid received by us in the past 3 fiscal years, or
currently pending, and I acknowledge that Zero Waste Scotland may use this information to make its
own determination as to whether or not my application meets the conditions of the de minimis rule.
Please sign the de minimis declaration (for and on behalf of your organisation):
Section 12: Projected Additional Revenue (as a direct result of the project)
Please state your Additional Revenue (£) directly associated with this project (include any avoided disposal costs
or other cost savings) for the 5 year period from the date of operation.
Section 13: Projected Gate Fees
Please state your Projected Gate Fees and all assumptions made directly associated with this project.
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Section 14: Project Management
Who will be responsible for the equipment? Provide details of key people with a description of their
role, relevant skills and experience. MAX ONE PAGE
Section 17: Environmental Impact and Commitment
Section 15: Environmental & Health & Safety Impact and Commitment
Describe the Company’s commitment to environmental improvement. Include details of
any Environmental Statement/Environmental Policy / Environmental Management
System (ie ISO14001) where appropriate MAX ONE PAGE
Is the relevant Environmental statement / Environmental policy / EMS
appended? (Y/N)
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Please provide details of the statutory permits in place on the site and/or new consents required
including waste management license and planning permission to allow you to process the extra
tonnage described in section 3.6. Please state any permits that are pending.
Please provide a current H&S policy statement in the appendices together with the names, titles and
qualifications of the person or persons who act as your organisation’s competent Health and Safety
advisor(s). Give details of any site accidents for the last 5 years and provide details of any
prosecution(s) or caution(s) in respect of violations of Health and Safety legislation and regulations
that your organisation has received in the last five years. (In both cases, if this is none, then please
state none.). You should provide a brief description of proposed Health and Safety plans for this
project.
Section 16: Documentation required
The following documents must be submitted with your application form. Please mark all that you
have submitted:
Audited or management accounts for the last two years and recent management accounts for a
month end period not later than two months prior to date of application OR where your
organisation is new, a copy of your full Business Plan, including financial projection for at least
the first 12 months of operation.
A statement of any material litigation, pending or threatened, or other legal proceedings.
A process / flow diagram of your proposed sorting or reprocessing operation.
A copy of your organisation’s Health & Safety Policy.
A copy of organisation’s Environment Policy or a statement of environmental commitment.
A copy of the necessary waste management licenses and planning consents required to operate
the service (where already in place) or a signed statement to confirm that these will be in place
before the scheme is implemented.
Please list any additional documents that you are providing in support of your application:
For example: GANNT Chart, staff structure, project team CVs.
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Section 17: Terms and conditions of contract
A sample contract can be downloaded from the WRAP Scotland website alongside this application
form.
If you agree with the draft terms and conditions of contract please tick here.
If there are certain terms and conditions that you feel you will be unable to comply with, or would like
to discuss further, please list relevant paragraphs here. You will be asked for further details of your
objections if your application is successful.
Section 18: Disclosure of information
I confirm that to the best of my knowledge all of the information contained within this application
form is correct.
Signed
Name (please print)
Organisation
Date
The applicant acknowledges that Zero Waste Scotland will be relying on the contents of this
application form and confirms that all the information provided in this application form is true,
accurate, complete, up-to-date and not misleading or likely to mislead or deceive.
Confidential Information
Zero Waste Scotland agrees that, except as otherwise agreed in any grant agreement between WRAP
(the legal entity which whom any contracts will be entered into) and the Applicant, the Confidential
Information contained is and shall remain the exclusive property of the Applicant, which retains all
intellectual property and proprietary rights in the Confidential Information and in all physical
manifestations of it.
Disclaimer
The decision whether or not to offer funding support to any potential recipient rests solely with Zero
Waste Scotland and WRAP disclaims all liability arising from the failure of any applicant to secure
funding. Zero Waste Scotland shall not be required to provide reasons for any decision to refuse to
award funding to any particular applicant. Furthermore WRAP disclaims all responsibility for
consequences arising from advice given or equipment procured. This provision shall apply whether
the advice or equipment is given by Zero Waste Scotland directly or by contractors appointed by the
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recipients using funding supplied by Zero Waste Scotland. Successful applicants will be required to
share information regarding the provision of funding with Zero Waste Scotland.
Applicants applying for grants from Zero Waste Scotland are asked to note the information contained
within this disclaimer before deciding whether or not to apply for funding.
Please return your completed application form electronically to:
Charlie Devine
Programme Manager Recycling
Zero Waste Scotland
Tel: 01786 468890
charlie.devine@wrap.org.uk
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Appendix 1 - Project Assets
Project Asset
Description
Total Asset Cost
(excluding VAT)
Support Requested
(excluding VAT)
£
£
Totals
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APPENDIX 2 (EXAMPLE)
TONNAGES DIRECTLY ASSOCIATED WITH THIS PROJECT (OOO’s)
Material
type
Tonnes
processed
in current
or last full
year of
operation
(If 0, state
0)
Future Operating Years
(please state your additional incremental tonnage
figures for each year from the date of operation
EXCLUDING any existing tonnages)
Year
Year
Year
Year
Year
TOTAL
1
2
3
4
5
ADDITIONAL
tpa
tpa
tpa
tpa
tpa
TONNAGE
Input 1
Mixed
Plastics
10,000
5,000
7,500
10,000
13,000
15,000
50,500
Input 2
Input 3
Total
Input
Tonnage
Output 1
Output 2
Output 3
Output 4
Output 5
Total
Useable
Output
Tonnage
Residual
to
Landfill 1
Residual
to
Landfill 2
Total
Residual
to
Landfill
Bottles
10,000
10,000
5,000
7,000
8,500
9,000
12,000
11,000
14,000
13,000
16,000
16,000
55,500
56,000
30,000
17,000
25,000
33,000
40,000
47,000
162,000
9,000
8,500
10,000
4,500
4,500
6,000
6,500
7,200
7,300
9,500
11,000
9,500
12,000
13,500
12,500
13,000
15,000
15,000
45,500
51,200
50,300
15,000
21,000
30,000
38,000
43,000
147,000
1,000
1,000
2,000
1,500
1,000
2,000
7,500
1,500
1,000
2,000
1,500
1,000
2,000
7,500
2,500
2,000
4,000
3,000
2,000
4,000
15,000
27,500
Therefore over the 5 year contracted period the total additional tonnage (ie over and above existing activities) is
147,000 tonnes of total reusable outputs. If the amount of grant requested = £176,000, this would equate to a
value for money figure of £1.20/tonne diversion from landfill.
Note this example shows that:
The total input tonnage in Year 1 is therefore 30,000 (existing) plus 17,000 (additional) = 47,000 tonnes
The total input tonnage in Year 2 is therefore 30,000 (existing) plus 25,000 (additional) = 55,000 tonnes
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