Dive Brief:
- Last month, Wheelabrator Technologies announced it would challenge the Southeastern Public Service Authority's (SPSA) decision to award RePower South a trash contract, as Wheelabrator had been processing the region's trash at its plant in Portsmouth, VA. Now, Wheelabrator announced it has made a "business decision" to no longer appeal this decision, according to The Virginian-Pilot.
- Wheelabrator originally accused SPSA of going against Virginia's procurement act in awarding RePower the contract, alleging that SPSA did not give equal opportunities to all companies to improve their bids to the Authority.
- Wheelabrator now encourages officials from SPSA's eight cities and counties to dismiss "use and support" agreements that would enable participation in the authority past 2018, according to the Pilot.
Dive Insight:
SPSA had rejected Wheelabrator's protest, stating that a contract with RePower was ultimately cheaper systemwide—the company would process at $56.52 a ton, compared to Wheelabrator's cost of $78.72 a ton. However, Wheelabrator's attorney stated that the decision to go with RePower was "not an honest exercise of discretion," despite costs.
"We stand by the issues raised in our protest and believe all SPSA communities should be concerned about the viability of the proposed alternative to energy-from-waste that SPSA has endorsed," said Wheelabrator in a statement.
This debate is brewing at a time when SPSA may change its waste-to-energy program—which could have another set of adverse effects.