ROI to Procure Food and Green Organic Processing and Collection Services

⁠⁠⁠Rotorua Lakes Council's (RLC) intent is to introduce a combined food and green organic collection and processing service (organics service) to urban residents within the district. The service will also be available to urban commercial premises that currently use the standard Council Waste Service.

The introduction of the new organics service is subject to community consultation and formal approval by Council. The consultation process is due to commence in early 2022. If approved the new service is expected to commence in July 2023.

This ROI process, which is essentially an Early Contractor Involvement process, has two functions:
- To pre-qualify suppliers that want to be included in a subsequent RFP process
- To provide the Council with information from the contracting industry that will inform both the Council decision making process and also the content of the RFP to make sure that it is aligned to what the market can provide

There are two key aspects of the new service that RLC wish to explore via this Registration of Interest (ROI) process.
Collections

RLC preferred collection methodology is a combined weekly food and green organic service in a 240L wheelie bin from urban households (options for a smaller or larger bin may be provided).

RLC intends to move refuse collections to a fortnightly service if an organic service is introduced. However, the final solution for both organics and refuse is subject to Council approval. RLC wish to understand the market interest, practical issues, potential costs and risks associated with different options via this ROI process.
Processing

RLC are considering two key solutions for the processing of the combined food and green organic collected.

1. New processing facility within district - Design, build, and operate contract for a new facility built on either RLC land or another site. There is a RLC site near the wastewater treatment plant that could be used for the new processing facility although there are site constraints associated with the proximity to residential areas. Appendix B provides information about the site and potential constraints.

2. Existing processing facility out of district - RLC could transport the collected organics to an existing organic processing facility that has capacity to process the combined food and green organics. This solution may require the construction of a facility within district (constructed by the respondent) to bulk store and transfer the organic material prior to bulk transportation out of district.

RLC wish to understand what the most cost effective, environmentally effective, and long term viable option is for organic processing via this ROI process.

The outcome of this ROI process will be used to finalise the RLC organic business case, programme timeframes and inform the consultation process that will lead to a final decision from Council regarding the introduction of the new service and any alternatives to the existing collection services.

This is the first stage in the organic procurement process. Suppliers that respond to this ROI will be pre-registered for the second stage.

The pricing information obtained from this ROI process will be used to benchmark RFP pricing. It is expected that final RFP pricing will not vary by more than 15-20% from the ROI.

What we don't want

RLC do not want submissions that do not present a viable long-term solution for the collection and processing of organic materials. The solution proposed must be based on proven technology and methodologies. As the results of this ROI will be used to finalise the preferred solution for the introduction of an organic solution within the Rotorua district, RLC need confidence that both the solution and pre-registered suppliers are capable of the delivery of a cost-effective sustainable outcome.