The contract to run Europe’s biggest waste service is now under threat of a legal challenge.
Greater Manchester Waste Disposal Authority (GMWDA) confirmed its £3.8bn PFI contract signed with Viridor Laing (Greater Manchester) in April is being challenged in the courts by Sita UK, which lost the race for the tender.
The waste management company alleges GMWDA ‘breached procurement regulations’ and ‘failed in its obligation to assess the tender so as to identify the most economically advantageous tender’, therefore breaching EU law. Sita UK is seeking unlimited damages.
A company spokesman said: ‘Our point is that significant changes occurred to the project since the appointment of the preferred bidder.
‘Sita UK should have been invited to submit a revised bid alongside Viridor Laing’s bid.’
GMWDA’s finance director John Bland rejected the claim: ‘We don’t believe that we have done anything wrong and maintain that this action is wrongly judged. ‘We are trying to clear up exactly what the issues are. We have gone through all the proper processes and have a full record of transparency.’
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