NTDA Defends Retailer “Green Fee”

With talk of a tyre collection and recycling “crisis” in the air and with some sources pointing the finger at the retail business, the NTDA has responded by defending the so-called green fee charged by distributors. The association, which represents tyre retails and distributors, also released new survey results pointing to a slight decline in the incidence of tyre fly tipping.

In answer to accusations that some in the retail trade are profiteering from the green fee (widely accepted to be around £1.50/tyre), the recent NTDA e-zine pointed out that the process can be more costly than retailers are given credit for. Summarising the accusation against retailers and then countering it, the association wrote: “The retailer charges the motorist £1 (or maybe more) as an environmental/disposal charge. He then pays his collector 50p – ergo, he is making 50p profit. QED. Except that he isn't. If the tyre were to be removed and left where it was until the collector came and picked it up, there would be some truth in this, but if the retailer is to comply with legislation, things are a bit more complicated – and costly.”

The NTDA’s argument is that tyres have to be securely stored, taking “precautions to ensure that the storage is fireproof and that access cannot be easily gained” for a long enough time for a “commercially-viable number” to be collected, before loading can take place. And all three stage are at the cost of retailers. Not to put too finer point on it, the treatment of used tyres is seen as “just another overhead.”

Then there is the extra cost from secondary fly tipping – where motorists and dealers dump tyres on retail premises without permission: A survey carried out last year by the NTDA revealed that 36 per cent of depots reported that they had been victims of such dumping the cost of which is estimated to be “at least £200,000 a year.”

Survey signals decrease in tyre tipping

The latest survey of NTDA membership focused on fly tipping and includes evidence there has been a slight decrease in the amount of illegal dumping. “Members are reporting a decrease in secondary fly tipping, but this comes at a cost as retailers have had to install more sophisticated, secure storage facilities which all bites into the bottom line for retailers.”

The association doesn’t believe these tyres have simply been dumped elsewhere as those answering ‘yes’ to the question “Have tyres been fly tipped in your area in the last six months?” represented 53 per cent, compared to 55 per cent last year. The percentage that thought fly tipping incidents were increasing was 29 per cent, down from 43 per cent in 2009 and 51 per cent in 2008.

However, the NTDA confirmed that there has been an increased incidence of bogus collectors capitalising on some dealers’ tendency not to examine the paperwork and permits “as closely as they should.”  The association even conceded that “some dealers know that their collector is operating illegally.” However it rebutted suggestions that general conclusions can be drawn about the tyre retail sector as a whole: “To tar the entire sector with this brush is both ludicrous and unfair, as the overwhelming majority of tyre dealers (especially those who are members of trade associations such as the NTDA) are aware of their responsibilities and legal obligations. Indeed, the NTDA has devoted considerable resources in the past to publicising these obligations to its members.”

From its point of view, “eliminating the cowboy element of used tyre collectors is” can only be achieved with better enforcement “to catch those responsible and, when convicted, the imposition of tougher sentences.” The NTDA applauded the fact that the EA is about to embark on a major enforcement campaign – something supported by all sectors of the industry.

In conclusion NTDA director, Richard Edy, commented: “The NTDA deplores the illegal dumping of tyres and we believe that the overwhelming majority of our members comply with their legal requirements. As an example, the 2010 survey referred to earlier, asked whether respondents were aware of the Responsible Recycling Scheme. 82 per cent answered ‘yes’ and, of these, 93 per cent said that they used an RRS collector.”

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