Official Publication of the
www.insidewaste.com.au
ISSUE 86 | OCTOBER/NOVEMBER 2018
INSIDE 21 The best of industry unveiled 30 Eye on the future 42 The human touch
Asian nations shut their doors
Every October, we turn our attention to the workhorses of our industry, the ones that move our waste and recyclables day in and day out, and this year is no different. Pictured is Cleanaway’s 18 new Scania 6x4 prime movers. The waste transportation coverage starts on page 46.
Consolidation, scale & competition
PP: 100024538
ISSN 1837-5618
IN AUGUST, Bingo Industries announced that it will acquire Dial A Dump Industries (DADI) for $577.5 million, a move that will make Bingo a force to be reckoned in an industry where large players are expanding rapidly – a few high-profile acquisitions have occurred in the past two years, including Cleanaway’s buyout of Toxfree in 2017 – and becoming increasingly competitive. DADI is a fully integrated recycling and waste management business in NSW with operations across the waste value chain from collections to recycling, landfill and recycled product sales. Assets that will be acquired include the Genesis Transfer Station in Alexandria,
the Genesis Waste Facility in Eastern Creek, and a collections fleet of 55 vehicles. In FY18, DADI generated revenue of $198.2m and EBITDA of $51.6m. “The DADI site at Eastern Creek provides us with an opportunity to transform waste recovery and recycling in Greater Sydney through the development of a Recycling Ecology Park, accepting both putrescible and non-putrescible waste,” Bingo Industries CEO, Daniel Tartak, said. “It fully supports our expansion into post-collections for C&I putrescible waste and provides a platform to enter the post-collections market for
municipal solid waste (MSW). This will broaden our customer base and make us much more competitive with the larger local and international players,” Tartak said. Tartak has committed to invest a further $72m to take up 100 per cent of his entitlements. Separately, Tony Tartak, the founder of Bingo, and Mark Tartak have committed to invest a further $9m each. Following completion of the acquisition, DADI CEO, Ian Malouf, will join the Bingo board with a shareholding in the company of up to 12 per cent post completion of the entitlement offer and the acquisition.
Waste imports to a couple of Southeast Asian countries will soon come to an end, following in the footsetps of China’s National Sword Policy. It’s been reported that in Vietnam, 6000 containers of scrap metal, plastic, and paper are building up in the nation’s ports. The country’s Ministry of Natural Resources and Environment issued a statement in July highlighting the need to “prevent waste from entering Vietnam to keep the country from becoming a dumping site, affecting environment and people’s lives.” The country will stop issuing new licences for the import of waste and back this move by cracking down on illegal shipments. Vietnam’s Prime Minister, Nguyen Xuan Phuc also said the owners of these containers will be tracked down and criminal investigations into illegal imports or violations of environment law will be launched. In Malaysia, the government has also stepped in, revoking the import permits of 114 factories that process waste plastic. These factories have been in the media spotlight as reports circulate about increased pollution in the vicinities they operate in. According to Malaysia’s national newswire, Bernama, the country’s Housing and Local Government Minister Zuraida Kamaruddin has given the affected factories three months to bring their operations up to international environmental standards. Only then can they re-apply for permits.
A fresh approach to recycling in Queensland Building on the successful launch of the ACT Container Deposit Scheme, Return-It is coming to Queensland for November 1. Across all of our Depot and convenient Express sites, Return-It is committed to the customer, the community and the environment. Return-It. It’s worth it.