Gov’t still talking with Dart over dump costs

| 06/04/2023 | 67 Comments
George Town landfill
George Town landfill

(CNS): Technocrats from the climate ministry have said that there is “almost continuous dialogue” between the Cayman Islands Government and the Dart-led consortium on the dump project. But the ReGen deal has still not concluded, and while the CIG refutes claims made by former deputy premier Chris Saunders that it will cost $2 billion, no one is saying exactly how much the waste-to-energy facility and annual operating costs will be for the public purse.

A statement from the Ministry of Sustainability and Climate Resiliency implied that claims made by Saunders after he was fired by the premier were inaccurate. But they have not confirmed any figures relating to the project, which the premier has previously indicated will be around CI$1.5 billion. According to a summary note about a Cabinet meeting held at the end of March, the government’s inner circle had seen the latest updated report relating to the financial close.

It is now almost six years since the Dart-led consortium was selected as the preferred bidder to design, build, finance, operate and maintain the new waste management facilities. Since then, the financial modelling has been updated, most recently at the beginning of this year, but while the costs have soared in comparison to the original estimates, no final figure has been confirmed.

“At this stage, final costs are still being negotiated,” officials said in a statement this week. The costs include building the WTE facility, general waste management over the 25-year life of the contract, and the Department of Environmental Health’s part in collecting garbage.

The government currently spends around CI$11 million disposing of the massive amount of rubbish generated in the Cayman Islands. This is partially offset by third-party revenues, but it is clear that future costs will be much more.

“The estimated cost to construct ReGen has increased since the Dart-led consortium was selected as the preferred bidder in 2017,” officials said. “In 2021, the construction costs for the new facilities were projected to be CI$205 million. This is an increase over the initial contract amount and is largely the result of a policy decision by the previous administration to increase the capacity of the facilities in response to improved data on the amount of waste that would need to be treated.”

Global supply chain issues and procurement challenges are also being blamed for the increase in costs. While Dart will, in the first instance, finance the construction of the WTE, once complete, the public purse will pay a unitary charge per ton of waste processed through the new facilities.

At the end of the contract, the government will take ownership of the facilities.

A report by the Office of the Auditor General on the whole deal will be made public after the negotiations are over, but not before, as the government claims the document contains commercially sensitive information being used to inform the discussions and get value for money.

“Achieving an integrated solid waste management system is fundamental to safeguarding human and environmental health in our community and ensuring the sustainable development of the Cayman Islands,” the ministry state, adding that landfilling is unsustainable.

“Ensuring this incredibly important, and much-needed, national project is a value-for-money proposition for the country is a key priority for the Cayman Islands Government. While the government is confident in its ability to manage the existing landfill footprint to its fullest until the ReGen facilities are commissioned and operational in 2026, there is no doubt that the country urgently needs an integrated solution for solid waste management that will significantly lower the amount of waste being landfilled,” officials stated.

As talks between the government and Dart roll on, the environmental impact assessment for the project is still moving forward. Air quality and noise pollution data collected during the EIA is currently going through analysis and modelling, while a traffic study to assess potential impacts on road use during construction and operations is now complete, the technocrats said.

A drilling programme to investigate hydrological and hydrogeological conditions at the site has also been completed. Meanwhile, the Environmental Statement will be subject to a public consultation period, currently anticipated to take place this autumn before it is finalised.


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Category: Environmental Health, Health

Comments (67)

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  1. Anonymous says:

    A lot of the garbage (styrofoam) in that dump belongs to DART in anycase. They should be taking care of the dump for free.

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  2. Anonymous says:

    Everyone knows Cayman can’t keep it’s third world status without having a huge pile of garbage right in the middle of it all. Not gonna change in this lifetime.

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  3. Diana says:

    Yo, after reading the article about the government still talking with Dart over dump costs, I gotta say, this situation is whack. It’s been like forever and they still haven’t come to an agreement? That’s messed up! I mean, we all know that dealing with waste management is not cheap, but it’s important for the government to step up and take responsibility for the costs. We can’t just keep relying on private companies like Dart to handle everything, especially if it’s going to cost us more in the long run.

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  4. Anonymous says:

    Fixing the Dump MUST start with the properly executed RRR- reduce, reuse and recycle. Nobody is even mentions it.
    The problem is too big now for CIG to solve it.

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  5. Anonymous says:

    I guess I never understood this thing properly. I thought the point was that they will burn garbage to create power and sell that power to the grid for money and therefore there would be some sort of return on investment. No different from CUC buying a new generator to make power from burning diesel and selling that power.
    So how did it turn into the government funding the damn thing?
    The whole time the plan should have been:
    1) someone pays to build it privately
    2) that someone operates it at a profit of some sort
    3) someone gets a return on their investment.

    If that means there needs to be a garbage fee or surcharge or something to make it viable then explain that so we know what we’re looking at. But how could it not be viable? You’re making power with FREE fuel. So what’s the catch and why tf would CIG need to inject $1.x Billion into it if they don’t operate it?
    We need some clarity on this thing. Then people with brains and integrity need to figure it out.

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    • Anonymous says:

      The power sales are not going to be enough to cover the operating expense much less the capital investment. Never were. There is no magic free solution. It costs money to dispose of garbage no matter how much recycling and energy sales you do.

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      • Anonymous says:

        Well we already pay to haul garbage to the dump so that part of it doesn’t change. So operational costs are what? The few guys operating the plant. Repairs and maintenance. Consumables etc.
        waste to energy exists in several places throughout the world so either it’s profitable there or it operates with a subsidy that is bearable otherwise they wouldn’t exist. Our power costs here are very high so how could it not work?

    • Anonymous says:

      People with brains and integrity? And just where are you going to get them ?

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  6. Anonymous says:

    We need to fire Dart and just let the dump grow. Who cares is it grows to 300 feet high, as long as there is no dump in Bodde Town, Cayman’s first capital that is way more important than George Town.

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  7. Anonymous says:

    It seems like the suddenly inflated costs are a red herring for dump to be moved to some place that’s not next to camana bay…. It was once suggested that it be relocated to Bodden town near Breakers… who owns that old quarry again? Wasn’t there suggestion about moving the cargo port somewhere?

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  8. Anonymous says:

    Wayne needs to admit he is a deer in headlights. He was ill prepared to deal with this country’s problems. His motivation was to grab power by using his wealth. He did that and not one doggone thing has been done since except he has had to discipline three ministers with more to come (Bernie, Kenneth and Chris) . Karma is a bitch! He used them to take power and now he can’t get the dingbats to settle down and do some work. This is a legit s%#* storm and we are going to pay the price! Way to go Newlands voters, thank you for nothing!

    Ps has anyone seen Heather Bodden since the election ?

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  9. Anonymous says:

    The FCO should investigate Darts appalling behaviour and blatant attempt to bankrupt this country. It’s not like he hasn’t tried to bankrupt countries before! No one in CIG is independent or had the balls to look into their business / cartel practices.

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    • Anonymous says:

      Or, they could look in to those who insisted on WTE and put it out to bid. Hint: it wasn’t Dart.

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    • Anonymous says:

      Leave the Dart organization alone as they are saving Cayman.

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    • Hubert says:

      But Sir Alden announced just before the last election that it was a done deal.

      What happened?

      Did Uncle Dart pull the wool over his eyes again?

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    • Anonymous says:

      I agree with 9:07am! He and/or his pawns should not be allowed to be in the Cayman Islands…… not now or ever again!

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    • Anonymous says:

      agree hes like the drug dealer that builds a school and the community says wow a new school as he steels the kids lunch money with back hand deals worth 100x more than the school cost like the tax break on hotels rooms he secured. Keep em hooked on the dartjuice

  10. Anonymous says:

    Is this photo included in DoT brochures? After all, this landmark is found on GoogleEarth.

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    • GT East says:

      We don’t have a dump anymore what you see is what we have left and nowhere near adequate for the 100s of trucks going to the dump daily
      Dart landscaped his side and blindsided the Government with what’s left it’s not Dumb and Dumber it’s Dump and Dumper we’ve been had big time

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  11. Anonymous says:

    More to the point, no one is saying how Government proposes to finance the cost that it will be obligated to pay to Dart and how much it will cost you and me. I agree a solution is needed and it has to be solution that financially viable and allow us to still eat, clothe ourselves and put a roof over our heads.

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  12. Anonymous says:

    Hmmm? ‘Approx’ $150 billion estimated but $200 billion is inaccurate??

    Let’s watch and see which one is closer! That is if it ever gets done!

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  13. Anonymous says:

    Another example of “Management by Crisis”. It’s a thing – waiting until there is a crisis then taking action to solve the problem. Waiting until there is no longer any space to dump, then forced to do something.

    Same situation with traffic. Waited until the traffic from Eastern districts was unbearable and at crisis level, before taking steps to address the issue.

    Boils down to political musical chairs I.e. the administration in the house when the crisis hits will have to deal with it. Kicking the can down the road = politicians collecting salaries, pensions and healthcare benefits by doing as little as possible and leaving problems behind for those who find themselves in office at the ‘wrong time’.

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    • Anonymous says:

      You’re not wrong. The problem is that if you try to tackle too many problems, you upset too many people who benefit from the status quo and end up out of office. Then you can’t tackle any problems at all. Some problems have to be left for the next guy so that you can get some others solved while you’re there. It’s just the way it is unfortunately. Also, problems take time to develop, and it’s usually the case that one or successive governments are keeping an eye on something that doesn’t yet require action relative to other priorities and available funds, and then the problem becomes much worse quickly and requires action ASAP by the sitting government, so they’re the ones to take it. Sometimes though, it is genuinely a case of politicians just deciding ‘we’re the only people who know about this problem anyway, we’ll just do nothing because otherwise we’re making a rod for our own backs’. And they’re not wrong. But it’s bad for us.

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  14. anonymous says:

    Is all of this simply a way for the PACT members to give some of this work to their pals (and business partners) to get a piece of the action themselves? After all have we not seen some of that nepotism already? Saunders comments gave some clues on that front. Watch this space!

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  15. Corruption is Endemic says:

    When did we start calling the people in CIG “technocrats”.

    From memory this is the same group that almost always needs to hire external consultants and can’t get out of its own way on pretty much everything.

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  16. Truth is gonna hurt says:

    The PPM obviously didn’t read the fine print or if they did they didn’t comprehend the implications. The money has to come from somewhere but government will be forced to charge garbage fees again or even increase import duty to make payments for this facility. If the Premier mentioned $1.5B then $2B is definitely within the realm of the actual figure when the stack particulate matter starts to settle.

    I have my doubts that the contractor(s) doing the EIA are not in conflict and that their findings might be used to favourable increase the budget. One thing is guaranteed, the overheads are and will be massive going forward. Dart is the middleman. Why did PPM choose to involve a middleman, is ReGen wrapped up in some larger commitment to Dart?

    The AG should be investigating the basis for awarding the contract to Dart and not a company who specialises waste management. Now that the ink has long dried on what the PPM signed off on it seems CIG is locked in and will incur a hefty penalty for breaking the deal.

    Time will tell, the truth has to be told sooner or later and my guess it won’t be pretty.

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  17. Anonymous says:

    Attention fellow sheep! If Dart isn’t trying to set himself up as the King of the Cayman Islands I am the Easter Bunny! He got to the position he is in at present because he flim-flammed people to get control of them. He should not be trusted!

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  18. Anonymous says:

    sell the dump – countries all over the world buy waste, this is an actual thing! why does everything on this island of any magnitude have to involve Dart. Its like he is the not so shadow, shadow king!

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    • Anonymous says:

      And he is not anyone that I would deal with. He is not to be trusted . I believe he left the U.S. because he didn’t pay the taxes on his styrofoam business. And there are other countries that he had trouble with……. like Belize and Venezuela.

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      • Anonymous says:

        Add Jamaica, Argentina, Russia, Portugal and New Zealand to that list.

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      • Anonymous says:

        He sold his shares in his family’s business long before he settled in Cayman, get educated.

        Ken Dart did not have ‘trouble’ with Belize and Venezuela, he bought their expired debt as anyone could have… he took a chance and won. Sucks to be you! Sheesh you folks are ignorant to international economics in spite of your (EXPAT ONLY EDUCATED) International finance expertise…!

        Cayman, you are third world educated, but aspire to first world finance. The International Finance councils knows of what you lack, and it exploits it!

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        • Anonymous says:

          It’s called vulture finance. Educated enough to know that isn’t the type of finance that charts highly in the ESG matrix.

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  19. Anonymous says:

    Just fix the damn dump.

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    • Hubert says:

      3:12, You don’t get it. They don’t know how to fix it.

      Very simple really. Surprised you cannot see that fact after all these years.

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  20. Anonymous says:

    Dump waste is the fuel feed for the power that will be generated that consumers will then purchase at artificially inflated CUC prices. The public shouldn’t have to pay twice or three times considering how much fuel lays in situ, and factoring the inordinate consumptive pace of replenishment. We don’t pay West Texas oil companies to drill a step-out wells that increase field production and lowers operational costs. It’s extremely worrying that the ReGen discussion has so far not been about a solution that is self-amortizing. It shouldn’t cost a dollar. UK and EU grant money is available to front the infrastructure costs. We should be talking to Stericyle, or other mainstream WTE expert.

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    • Anonymous says:

      I don’t believe Dart is who we need working for us. Are they any reputable companies to consider?

  21. Anonymous says:

    First Hydrology study ever on island 🏝️, you can’t make this ip ! How about running these tests and numbers on South Sound?

    While I agree that such studies should be performed for EVERY single construction project to assess needs for evacuation needs of the waters , constantly moving the goalposts to solve an emergency level problem isn’t the best way to go ! If we keep pouring sand in the gears ⚙️ at the present pace , there won’t be a solution to Mt TrashMore 🚮 ever !

    This stuff is nothing but the perfect excuse for ReGen to step out of commitment and forcing another RFP through.

    I am by far not a dart bot but the game CIG is playing at the moment isn’t pretty and as dirty as it gets! If they want to step out they might as well say it before citing “environmental impact concerns” about something already signed and approved for delivery!

    All this can achieve is ReGen stepping out , Dart saying enough is enough and no longer committing to the improvement of the island’s infrastructure, economy and environmental concerns, already we are in a stage where only projects started will get completed and that doesn’t bode well for Cayman in general!

    I have my reservations about Dart and his contractors , but there isn’t any point in playing stupid games for stupid prizes the CIG is playing at the moment!

    Already, Dart is investing more in Barbuda and Antigua than what they plan to invest in Cayman, keeping going that way and there won’t be supplemental investment, leaving Cayman in a post Ivan situation regarding its finances, leaving the country no room but to establish direct taxation which would sink financial services faster than you can say “Mamaïca”!

    Those wishing for this to happen don’t have the islands interest at heart ! They are playing games that will lead to even MORE predatory practices while fooling the public about independence and “Maîtres chez nous” Jingoism that will work as well in other islands (Bahamas and Jamaica come to mind) .

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  22. Anonymous says:

    The deal with DART was political shenanigans from a party going out of power and foisting garbage on the beautiful Cayman Islands.

    The “agreement” with DART MUST be terminated immediately and a proper non-politically motivated RFP MUST be set with a 120-day time frame that will actually solve Cayman’s waste management project for good.

    After that, it should be completed in no less than 18 month and all government agencies must be fully on board and remember that they are all a part of the same team.

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  23. Anonymous says:

    the sound of the can being kicked down the road….again.
    welcome to wonderland.

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