Waste firm gears up for legal fight

A SURREY-based waste management group has issued legal proceedings against the Greater Manchester Waste Disposal Authority (GMWDA) over the way it handled a multi-billion pound contract.

GMWDA signed a 25-year Private Finance Initiative waste and recycling contract worth £3.8bn with Viridor Laing (Greater Manchester) in April.

But Maidenhead-based Sita UK, which lost out on the contract, is alleging that GMWDA “breached procurement regulations” when the deal was concluded.

It is claiming that GMWDA failed to identify the most economically advantageous tender and acted in breach of EU law obliging it to operate “fairly, equally and transparently”. Sita UK is seeking unlimited damages.

GMWDA dispute the claims made by Sita which was involved in one of four consortia invited to bid for the contract in 2005.