Background

Process Began in 2001

The MRC began the process of establishing a Resource Recovery Facility (RRF) in 2001. The MRC appointed the Cardno BSD Meinhardt Joint Venture to manage the process leading to establishment of the RRF on its behalf. Early in the process and following a call for expressions of interest from the private sector, seven companies were identified as being capable of building, owning and operating the facility on behalf of the MRC.

In late 2002 the MRC began an extensive community engagement process, and some of the feedback it received was not favourable.  Some members of the community were concerned about issues relating to the impact of the facility on their local communities.

The MRC listened to the community and consequently, made significant variations to its original plans, including dumping an option to employ thermal treatment technologies such as combustion and incineration for the plant's operation, and locating the facility on a 10-hectare parcel of land in the new Neerabup Industrial Area, which is expected to eventually become the new Canning Vale of the northern suburbs.

The Environmental Protection Authority later praised the MRC for its comprehensive community consultation process, which it described as setting new standards for involving the community in the decision-making process.

Flowing from the process were two significant outcomes:  Establishment of a Community Engagement Advisory Group in 2003, which has continued to meet regularly to discuss issues related to the RRF project; and formulation of the Community Partnership Agreement in 2003, which identified 20 specific objectives and 66 associated outcomes the facility would need to deliver to secure broad community support.

The MRC appointed an independent Probity Auditor, completed tender documents, called for tenders, and established a Tender Evaluation Committee.  Three companies submitted their proposals.

In March 2005, the MRC sent a 10-member delegation to inspect and report on facilities operated by the three tenderers in Canada, the US and Europe.  Following that tour, the short-list was cut to two tenderers.  Detailed negotiations continued with these two parties, and led to the WorleyParsons-led consortium being selected as the preferred tendered in June 2005.

On 9 August 2006, the MRC accepted a recommendation from its Tender Evaluation Committee to enter into the contract with BioVision 2020 (originally the Worley Parson's led consortium). In late 2006, the MRC awarded an $80 million contract to build, own and operate the plant to BioVision 2020 Pty Ltd for the next 20 years. Construction of the facility started in May 2008 and was completed in July 2009. BioVision 2020 engaged waste management specialists SITA Environmental Solutions to operate the plant and Canadian company Conporec to supply the composting technology.

BioVision 2020 is owned by WA-based superannuation fund Westscheme and SembSITA Australia Pty Ltd.

Last Updated: 21 Sep 2017
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