Pricing Management

Veolia manages price revisions through a transparent and formulated rate review mechanism.

 

What is a rate review?

Veolia is subject to adjust rates and prices on the 1st of July every year due to changing levies, subcontractor prices, fuel costs and more.
 

Is there a set price change every year?

This is highly dependent on the size of your business, your waste streams, your geo-location, government policies and more.

When rate reviews occur, Veolia will always substantiate and provide evidence to all of our clients.
 

Why does Veolia have to change rates?

To remain in operations, Veolia may be subject to alter our rates, as they directly relate to landfill levies and/or the cost of waste disposal and treatment.

We can confirm the percentage difference will always be:

  • an amount equal to any increases in landfill levy incurred, as evidenced by a letter from the relevant landfill operator; or
  • an amount equal to any increase in the cost of waste disposal and treatment, as evidenced by a letter from the relevant disposal facility owner or operator.

Veolia may also pass on any cost that relate to the introduction of a carbon tax or carbon emission scheme by the government, as they occur.
 

How do you price in ad hoc and/or urgent requests?

Generally, most of our trucks operate outside business hours, as part of their routine schedules.

For an additional service, we normally try to fit the collection into another scheduled run, and there will be no extra charge. However, if we need to send a truck out specifically for the collection, there will be an hourly charge, depending on the services required.

For hazardous materials, there are many variables such as the material, service required, quantities, day and time; these will be priced on application.

Fairer Contracts for SME's

Veolia has reconfigured its waste management service agreements that underpin our SME customer relationships. The core changes aim to deliver improved transparency, security and predictability.

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Rebates for Recyclables

The commodity market in Australia and New Zealand is highly dependent on a range of conditions such as distance from end-market e.g. Box Manufacturing Mill (cardboard & paper), consolidation points for export, as well as supply and demand.

Veolia traditionally works on an open-book process that reflects the total rebate paid for product less a handling fee both as a percentage rate. In this case, Veolia would propose a 75% split to the client and a 25% split retained by Veolia.

The open-book percentage split ensures that Veolia has strong motivation to achieve the highest possible rebate.

In terms of how those rebate rates would be determined and the frequency and method in which we would deliver, it would be highly dependent on the material as well as current market rates.  The documentation to be provided will depend on each situation, and we will assess on a case-by-case basis.

 

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