(1) A waste disposal authority’s net saving of expenditure for the purposes of section 52(1) or (3) of the 1990 Act in relation to waste which is retained or collected for recycling shall be determined in accordance with the following provisions of this regulation.
(2) The authority’s net saving of expenditure shall be an amount equal to half the expenditure which it would have incurred in disposing of the waste at a cost per tonne equal to its average cost per tonne at the relevant time of disposing of similar waste using its most expensive disposal method unless it is shown that its net saving of expenditure is a higher amount, in which case it shall be that amount.
(3) In determining its average cost per tonne of disposing of similar waste, the authority shall take into account—
(a) the market value at the relevant time of any of its assets (including land) used in connection with disposal of that waste;
(b) any expenditure incurred by the authority in operating any site or transfer station used in connection with the disposal of that waste;
(c) any transport costs incurred by the authority in relation to that waste;
(d) any expenditure which will be incurred in closing, restoring and subsequently maintaining any site belonging to the authority which is used for the disposal of that waste; and
(e) any other expenditure incurred by the authority in relation to that waste.
(4) No account shall be taken of expenditure incurred by the authority in determining the amount of, or in making, any payment under section 52(1) or (3) of the 1990 Act.
(5) If a determination cannot be made under paragraph (2) because sufficient accurate information is not available or could only be obtained at a disproportionate cost, the authority’s net saving of expenditure shall be determined by reference to the relevant figure shown in the Schedule hereto.