” The Equipment and service provided by the M&K Trommel Fines Solution was second to none and we could not recommend their products highly enough. The MK Group went out of their way to make sure everything ran as smoothly as possible and they have helped our business run much more economically and efficiently” Martin McLindon at Newtown Waste Solutions.
M&K’s Trommel Fines Solution comprises of technology that typically allows 80% of trommel fines to qualify for the lower tax rate.
- Feed System
- Magnets to recover metals
- 2 Deck Waste Screen to recover Soils & Aggregate
- 2 Stage Air Density Separation to Recover & Clean Heavies
0-40mm in Feed Material
Heavily Contaminated with Long Pieces
Recovered Products from Trommel Fines
Soils within Trommel Fines
Light Fraction/RDF within Trommel Fines
10-40mm Heavy Fraction
What is LOI Testing?
The LOI Testing was announced by HM Treasury on (March 19) as part of the landfill tax measures in the Budget.
What does LOI Testing involve?
LOI Testing involves sending a sample of trommel fines material to a laboratory.
- The sample of trommel fines is initially dried to drive off moisture content, weighed and heated in an ‘ashing chamber’ furnace – which unlike an oven is refractory-lined and can heat materials at higher temperatures.
- The sample of trommel fines is cooled down before weighing again.
- The difference in weight before and after the trommel fines material is measured indicates the presence of non-inert material (ie., how much mass is lost through the escape of ‘volatiles’ – compounds found in degradable organic material), and whether the trommel fines should be charged at the lower or higher rate of landfill tax. The lower rate currently stands at £2.50 per tonne and the higher rate is set to rise by £8 to £80 per tonne from April 2014.
Under the new testing regime, which would come into effect by April 2015, only fines that lose no more than 10% mass on ignition would be considered eligible for the lower rate of landfill tax.
M&K Trommel Fines Solution
When LOI Testing comes, many expect that HM Revenue & Customs (HMRC) will stiffen its position and enforce the legislation for the disposal of these fines, resulting in a serious hike in costs for the waste management industry.
The lower rate tax will only be applicable if the producer can demonstrate the trommel fines comprise predominantly of glass, ceramics, concrete or naturally occurring rocks and soil. Although, the HMRC is still refining its definition of “naturally occurring rocks and soil”, it is most likely that the presence of anything other than minor amounts of other contaminants will result in the fines being taxed at the standard rate.
For most operators this means landfill tax bills for this type of waste will increase from £2.50/tonne to £80/tonne during 2014 – a 32 fold increase! An operator producing 40 tonnes per day of trommel fines could see their landfill tax bill increase from £25,000/year to £800,000/year during 2014.
Unable to pass the full additional cost of this tax onto customers, this development will spur many to take a closer look at ways of further separating the fines; after all, trommel fines typically comprise 80% material that if separated would qualify for the lower tax rate.
So, simply separating this from the other “non-qualifying material” could dramatically reduce landfill tax bill.
Some Good News
The good news is the technology for such separation is available from M&K. Trommel fines can be further treated to remove these “other contaminants” ensuring that the resultant material is comprised predominantly of qualifying materials. After sorting the material by size with a Waste Screen/Flip Flow Screen, the removal of the other contaminants can only be achieved using a combination of magnetic/eddy current separation (to remove both ferrous and non-ferrous metals) and density separation (to remove fragments of paper, plastic, food waste, etc.). Using this technology to treat trommel fines is therefore a logical next step in its evolution.
Whilst the capital outlay is not insignificant, the potential savings in landfill tax will be huge once HMRC insist on rigorous compliance with this legislation.
To continue with the example of an operator producing 40 tonnes per day of trommel fines – and assuming they typically comprise 80% of naturally occurring rock/soil, fragments of concrete, brick or other ceramics – simply separating these from the other “non-qualifying material” could reduce the landfill tax bill to £160,000/year – a tax saving of £640,000/year.
Furthermore, the publication of the revised WRAP Protocol now allows mineral recovered from the mechanical (and/or biological) treatment of trommel fines and other waste streams to be used in the production of aggregates. This means a significant proportion of the trommel fines currently being landfilled can be sold as recovered aggregate.
HMRC has clearly shown its intent. What now seems likely, during 2014, is the inevitable enforcement of this legislation on the disposal of trommel fines which will undoubtedly encourage the industry to at least further process this material to minimise the landfill tax or, even more beneficially, encourage its recovery as an aggregate.
Either way, the waste management industry has no choice but to sharpen up its act with respect to the treatment and disposal of this waste stream.
The focus now is to:
- Reduce landfill costs.
- Recover more products
- Increase profitability
M&K is the leading supplier of innovative materials/waste processing technology and waste management & process expertise. Combining unparalleled technological manufacturing capabilities with decades of marketplace and application expertise, M&K delivers an insightful, personable and value-adding service which has cemented the company’s position as the number one waste machinery provider.
Our innovative turnkey solutions & life cycle services offering’s represent the lowest sustainable cost per tonne solutions available on the market.
Our key sectors are;
– mining & quarrying
M&K design, manufacture & support
- Control Panels
- Chain Conveyors
- Trommel Screens
- Picking Conveyors
- Eddy Current Separators
- Air Density Separators
- Picking Cabins
- Welfare Cabins
- Flip Flow Screens
M&K supply & support
- Ballistic Separators
- Optical Sorting Equipment