COMHAIRLE CONTAE ÁTHA CLIATH THEAS
SOUTH DUBLIN COUNTY COUNCIL

MEETING OF SOUTH DUBLIN COUNTY COUNCIL

Monday, September 12, 2022

QUESTION NO. 3

QUESTION: Councillor Yvonne Collins

To ask the Chief Executive for an update in relation to the cost benefit analysis which I understand is currently being carried out in relation to the proposed use of big belly solar bins.

REPLY:

A cost benefit analysis was carried out in 2021 in relation to the proposal to provide 400 solar powered street litter bins across the county. This exercise has been re-examined in the context of rising inflation and in particular the excessive increases in the cost of fuel.  In summary over a 10 year payback period the following is an estimate of additional costs, projected savings and expected income relating to the proposal.

• Total repayments on a capital expenditure of €2.5m        €2.683m
• Telemetry costs                                                            €0.390m
• Bin maintenance contract costs                                      €0.922m
• Provision of bin servicing equipment                               €0.760m
• Total additional costs over a 10 year period                     €4.775m

• Labour cost savings                                                             €0.918m
• Machinery and fuel cost savings                                            €0.567m
• Potential income from advertising*                                        €1.440m
• Total combined cost savings plus advertising income               €2.997m

Total costs over the 10 year period exceed total savings plus income by €1.778m which make the proposal unviable from an economic perspective. 

*Note that the figure given here for potential income has been estimated based on information provided by the supplier of the bins for the Rathfarnham trial.  The information provided related to other similar contracts that they were engaged in, however there is no certainty that this level of income is achievable and could be realised here.