§ Mr. RandallTo ask the Minister of Agriculture, Fisheries and Food how many companies offering(a) rendering followed by incineration and (b) direct incineration, that were awarded a contract under the over-30-months scheme have not had contracts renewed; and if he will make a statement. [114826]
§ Ms QuinThe Intervention board (IB) has let a large number of contracts for services connected with the operation of the OTMS. In line with good procurement practice, IB has a rolling programme for reviewing and, if necessary, re-tendering these contracts which may involve changes to the service required or its delivery. IB reserves the right to terminate contracts if contractors fail to meet their obligations.
Since 1996, when the scheme began, 13 companies have been contracted to render OTMS material. Five of these companies are currently contracted for this service, contracts having been let following a competitive tender 173W in 1997. Each of the five companies is burning OTMS tallow produced on-site to fuel their rendering process. One of the contracts also covers the incineration of the OTMS meat and bone meal (MBM) in an incinerator that is under construction and due to start operation in late summer 2000.
IB awarded six contracts for direct incineration of carcase material following a competitive tender in 1996. One contract was terminated, but the remaining five companies are currently fulfilling their contracts to incinerate OTMS carcase material. One of these contracts was extended for a further period of 12 months during 1999.