Contact: Paul Archer, ext 7022 email: [email protected]

1. Summary

1.1 This report sets out for Members the background to the Landfill Allowance Trading Scheme (LATS) introduced by the Government in April 2005 to ensure compliance with the EU Landfill Directive aimed at significantly reducing landfilling of biodegradable waste. It sets out the experience of trading to date and analyses future market prospects, then recommends a trading strategy for allowances in 2009/10 onwards.

1.2 The following decision is sought:

To take a proactive approach to trading future landfill allowances on the terms set out in the confidential report.

2. Reason

2.1 The trading scheme presents an opportunity for the County Council to trade surplus landfill allowances with other local authorities and potentially generate significant annual, unbudgeted income. An early decision is required on the trading strategy to adopt to provide greater financial certainty and the best possible opportunity for selling Hampshire's surplus Landfill Allowance Trading Scheme allowances.

3. Other Options Considered and Rejected - None.

4. Conflicts of Interest Declared by the Decision Maker or Other Executive Member Consulted - None.

5. Dispensation granted by the Standards Committee - None.

6. Reason(s) for the Matter being dealt with if Urgent - None.

Approved by: ..................................... Date: ...................................

Councillor T K Thornber CBE - Chairman