Market engagement on proposed lotting structure for upcoming procurement for a Food Waste Contract (FWC) in accordance with the statutory duties of the East London Waste Authority (ELWA).

ELWA conducted initial preliminary market engagement in respect of its forthcoming competitive flexible procurement of a Food Waste Contract (FWC) in September and October 2025 (Notice reference: 2025/S 000-052845 for further details).
As part of the exercise, ELWA published a Market Operator Briefing Note in which it explained that the main objective of the FWC contract is to maximise recycling of food waste. In the Briefing Note, ELWA explained that there are currently no food waste collections but modelled for the Joint Strategy using 35% reuse and recycling rates is approximately 25,000 tonnes for 2028/29.
ELWA also stated in the Briefing Note that it was unlikely to sub-divide the contract into lots based on tonnage, but asked market operators for their views on benefits of sub-dividing the contract into lots.
ELWA had 4 respondents to this initial PME, and in respect of sub-division into lots, the majority of respondents expressed a preference for sub-division. However, operators expressed different preferences into how these lots should be structured. For example, options presented included:
- Creating lots based on tonnage; and
- Splitting lots by reference to geographical boroughs.
Respondents also provided their minimum and maximum processing capacities.
In preparing for the launch of this procurement in April 2026, ELWA seeks views from the market in respect of the lotting structure for the procurement on the points included in the "Engagement Process Description" of this notice.

Estimated date of publication of contract notice: 2026-04-07T23:59:59+01:00
Contract location: UKI41
Engagement process description
In preparing for the launch of this procurement in April 2026, ELWA has ruled out the potential for splitting the contract into lots by reference to geographical boroughs and therefore seeks views from the market in respect of the following lotting/contract options:
1 - If ELWA does not divide the contract into lots, and seeks to procure a single contract for exclusivity of all food waste material, would your organisation participate in the procurement and be able to process 100% of the total estimated annual tonnage?
2 - If ELWA does divide the contract into lots, it has considered whether to divide the contract into lots based on exclusivity % of the total estimated annual tonnage. If ELWA adopts this approach, it seeks feedback from market operators as to:
- their preferred exclusivity % of ELWA's annual tonnage, and which of the below options respondents would bid for;
- two lots: one of 60% exclusivity of ELWA's annual tonnage and one for 40% exclusivity, with suppliers able to bid for and subsequently win either lot, resulting in either one or two suppliers being selected; and
- three lots: one for 40% exclusivity of ELWA's annual tonnage, one for 35% and one for 25%, with suppliers able to bid for and subsequently win any lot, resulting in either:
- one supplier winning all lots;
- two suppliers if a supplier wins two lots and another supplier wins the third lot; or
- three suppliers if there is one winner for each lot.
3 - As an alternative to lots, ELWA could structure the procurement so that bidders submit proposals on the assumption that an award for 33% exclusivity of ELWA's annual tonnage will be made. However, the highest-scoring bidder is able to confirm whether it wishes to have 33%, 66% or 100% exclusivity. In the event the highest-scoring bidder selects 66% or 33%, the second highest-scoring bidder is able to select what % exclusivity it wishes to deliver, and so on until 100% exclusivity has been awarded. This approach could result in 1 - 3 suppliers being awarded a % of exclusivity of ELWA's annual tonnage. Pricing for exclusivity % higher than 33% (e.g. 66% or 100%) will be calculated by multiplying the successful bidder's tendered pricing for 33% exclusivity by the % exclusivity it will actually deliver (e.g. 66% exclusivity = tendered pricing multiplied by 2).
4 - ELWA also welcomes feedback on a proposal to have a sifting stage where bidders confirm which lot they are interested in, prior to submitting the Procurement Specific Questionnaire/Conditions of Participation. ELWA would then confirm the lots based on maximising participation in the procurement (and to reduce the burden on bidders in the event lots are discontinued following the Conditions of Participation stage).
ELWA would appreciate responses to these questions being submitted via to enquiries@eastlondonwaste.gov.uk by 17:00 on Friday 27 February 2026, with the subject heading "FWC Lotting PME".
ELWA appreciates the time and effort of respondents in participating in this PME exercise.
Market operators may submit any clarification questions, enquiries or further information regarding the conduct of the preliminary market engagement to ELWA to enquiries@eastlondonwaste.gov.uk.
Though encouraged, engagement in this preliminary market engagement exercise is not a requirement for participation in the forthcoming procurement, which shall be formally commenced through publication of a Tender Notice.

Lot: 1
This contract is subject to renewal: Yes

Languages in which tenders or requests to participate may be submitted: En