Recycling of Waste
Statement of Intent
The Lease contains provisions the objective of which is to require landlords and tenants to minimise the amount of waste generated from all activities in the Premises and the Building that is sent to landfill and maximise the amount that is recovered, reused, reprocessed or recycled.
Preamble
A significant amount of Waste from buildings is sent to landfill. This includes Waste from day to day operational activities and Waste from works undertaken by landlords and tenants in a building. The objective of this clause is to require landlords and tenants to minimise the amount of Waste that is sent to landfill and increase the amount that is Salvaged.
Separate drafting is provided in the toolkit (Yield Up) to specifically address Waste produced by a tenant on yield up. The drafting in this clause (Recycling of Waste) is wider and includes obligations on landlords and tenants in relation to Waste produced through operational activities and from works in the Building at any time.
Each of the template clauses can be made “greener” by making the obligations absolute obligations rather than reasonable endeavours obligations.
The light green version of this clause is a simple obligation to reduce the amount of Waste that is sent to landfill and increase the amount of Waste that is Salvaged.
The medium and dark green versions of the clause refer to a Waste Policy. A non-exhaustive list of what should be covered by the Waste Policy could be included in the drafting. This could for example include details of: local businesses, charities and education facilities which are able to Salvage Waste; strip-out contractors which are aligned with the Salvage Target; how landlords and tenants in the Building will maintain and capture data on the amount of Waste which is Salvaged; and a circular economy strategy.
Although the light green version of this clause is silent on data sharing the general Data Sharing provisions in this toolkit do apply to Waste. The medium and dark green versions of this clause include more detailed data sharing provisions. This data can then be used to reduce the amount of Waste that is sent to landfill and increase the amount of Waste that is Salvaged and for a specified Waste Salvage Target to be met.
The Salvage Target percentage will be for negotiation and the appropriate percentage is likely to vary depending on the location of a building and the facilities available locally. Whilst the clauses are drafted so as to provide flexibility in how Waste reduction is achieved a sensible minimum obligation is the introduction of a suitable Waste segregation system in the Building or via the waste management provider on the Landlord in multi-let premises or on the Tenant in a single let premises.
Gearing up for your Green Lease Journey
Light Green Clause:
Accelerating your Green Lease Journey
Medium Green Clause:
Driving Transformation with your Green Lease Journey
Dark Green Clause:
Suggested drafting
Light Green Clause
The Landlord in respect of Waste it produces and the Tenant in respect of Waste it produces must [use [all] reasonable endeavours to]:
- a. minimise the amount of Waste which is sent to landfill;
- b. Salvage as much Waste as reasonably practicable; and
- c. provide or procure an appropriate Waste segregation system and that Waste is segregated in accordance with the Waste segregation system,
and in the case of the Tenant, the Tenant must properly use any Waste segregation system provided by the Landlord.
Medium Green Clause
Medium green version
“The Landlord in respect of Waste it produces and the Tenant in respect of Waste it produces must [use [all] reasonable endeavours to]:
- a. minimise the amount of Waste which is sent to landfill;
- b. Salvage as much Waste as reasonably practicable;
- c. capture and promptly share with each other data relating to the amount of Waste which is removed from the Premises [or the Building], the amount of Waste which is Salvaged and the amount of Waste which is sent to landfill;
- d. work together using the data captured and shared under clause [c] to reduce the amount of Waste that is sent to landfill and increase the amount of Waste that is Salvaged;
- e. deal with Waste in accordance with any Waste Policy in place for the Building from time to time; and
- f. provide or procure an appropriate Waste segregation system which maximises the amount of Waste that can be Salvaged and that Waste is segregated in accordance with the Waste segregation system,
and in the case of the Tenant, the Tenant must properly use any Waste segregation system provided by the Landlord.
Dark Green Clause
- a. The Landlord and the Tenant acknowledge their joint goal to achieve the Salvage Target in relation to all Waste.
- b. The Landlord must at all times maintain a Waste Policy and must make a copy of the Waste Policy available to the Tenant each time it is updated.
- c. The Landlord in respect of Waste it produces and the Tenant in respect of Waste it produces must [use [all] reasonable endeavours to]:
- i. minimise the amount of Waste which is sent to landfill
- ii. Salvage as much Waste as reasonably practicable;
- iii. achieve the Salvage Target;
- iv. capture and promptly share with each other data relating to the amount of Waste which is removed from the Premises [or the Building], the amount of Waste which is Salvaged and the amount of Waste which is sent to landfill;
- v. work together using the data captured and shared under clause c(iv) to reduce the amount of Waste that is sent to landfill and increase the amount of Waste that is Salvaged;
- vi. deal with all Waste in accordance with the Waste Policy; and
- vii. provide or procure an appropriate Waste segregation system which maximises the amount of Waste that can be Salvaged (which must as a minimum include the segregation of food waste, paper/cardboard, glass and plastic) and ensure that Waste is segregated in accordance with the Waste segregation system
and in the case of the Tenant, the Tenant must properly use any Waste segregation system provided by the Landlord.
Drafting note
This provision could be added to the Sustainability schedule (Schedule 7) of the MCL.