The proposed contract would run for an initial three years from 13 December 2026 to 12 December 2029, with the option to extend for up to a further two years.
The recommendation was set out to the council’s Cabinet in a meeting on 14 October 2026. The proposed award remains subject to approval and an eight-day standstill period before the contract can be finalised.
The contract would bring together three existing agreements covering household waste recycling centre (HWRC) haulage and disposal, the haulage of green waste, food waste and mixed dry recyclables, and the disposal of waste collected from public spaces.
Ahern is the incumbent contractor across all three services, which are due to expire on 12 December 2026.
Single-bidder procurement
The council conducted an open tender under the Procurement Act 2023, with submissions assessed against criteria weighted 70% for price and 30% for quality.
However, only one supplier submitted a bid. Officers said they had reviewed the procurement process to understand the reasons for the limited competition, finding no evidence that the process had restricted competition or favoured a particular supplier.
The council acknowledged that receiving a single bid made demonstrating value for money more challenging, requiring additional due diligence.
Officers concluded that Ahern had submitted a compliant tender that met the council’s requirements and represented the most advantageous offer following evaluation.
Contract costs
The successful bid is valued at £13.37 million, compared with a combined value of £10.56 million for the previous contracts, including an additional allocation for increased HWRC tonnages.
Thurrock said the higher price reflected inflationary pressures and rising costs across the waste management sector since 2021, including labour, employer National Insurance contributions, fuel, vehicle maintenance, fleet replacement and landfill tax.
The report noted that consumer price inflation had increased by approximately 25% since 2021, while several sector-specific cost drivers had risen by more than 30%.
The new contract is expected to cost around £2.675 million annually. The report identified additional budget pressures that would need to be addressed through the council’s financial planning and budget-setting processes.
Waste transfer station
The council said it had specified that bidders must provide a waste transfer station within seven miles of its Oliver Close Depot, in order to reduce staff and fuel costs.
Ahern’s existing waste transfer station is located approximately 0.2 miles from the depot in Grays.
Thurrock does not own its own waste transfer station and relies on contractors’ facilities to handle and transfer waste. The council said combining the three agreements into one contract would provide economies of scale, simplify contract management and maintain a single delivery point for waste collected within the borough.
The contract is intended to maintain existing service provision, with no proposed reduction in waste haulage or treatment services.
If the recommendation is approved and the standstill period passes without challenge, the council can proceed with the contract award ahead of the planned start date in December 2026.
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