ESG has provided clients with LOI testing services for a number of years, helping them accurately determine how much naturally occurring material is present within their waste. The process is carried out to ensure that any material being disposed of is done so in the most appropriate manner. Testing is carried out by subjecting fines – small particles created through mechanical waste treatment processes – to extremely high temperatures. During this process, all organic matter is burned off, and the reduction of mass is calculated, indicating how much has been lost on ignition.
This procedure is extremely important for waste management organisations as, under current HMRC regulations, they must prove they are classifying materials correctly and paying the appropriate amount of landfill tax.
In April 2016, legislation came into force that put a 10 per cent cap on LOI values in waste fines for those wishing to qualify for a lower (£2.65 per tonne of waste) tax bracket. Any fines that contain a higher LOI value are now subject to the significantly higher rate of £84.40 per tonne.
To qualify for this reduced tax rate, companies need to have representative samples of ‘fines’ tested under laboratory conditions in line with the most recent Government guidance. To help customers manage compliance across their sites, ESG provides a range of UKAS accredited tests that help them accurately evaluate the chemical content of their waste and correctly classify it under UK law.
Declan Burns, managing director, Energy & Waste Services, ESG, said: “Extra funding and new legislation shows that the Government is stepping up its efforts to tackle non-compliance in the sector. With this in mind, eliminating the risk of mislabelling and misclassification needs to be viewed as business critical to all waste operators across the UK.
“We understand our customers need to keep their businesses moving at the same time being fully compliant with the HMRC regulations. The focus on efficiency in our laboratories means we are continually finding new ways to reduce turnaround times for clients and our UKAS accreditation will assure them that they are receiving the highest quality service.”
For more information on the LOI testing process, download our infographic guide.