View source for Landfill Allowance Trading Scheme

[[Category:Legislation & Policy]] [[Category:Economics]]

The [[Landfill Allowance Trading Scheme]] ([[LATS]]) was introduced by [[DEFRA]] on 1st April 2005 as a way to enable the UK the meet the [[Landfill Directive]] targets of reducing the amount of [[Biodegradable Municipal Waste]] being sent to landfill in a cost-effective way.

The LATS set annual tradeable landfill allocations for [[Waste Disposal Authorities]]. The penalty for landfilling above the allowance was £150 for each tonne of waste.

By making the allowances tradeable, high performing authorities and those with [[Energy from Waste]] facilities were able to sell unused permits to other [[Waste Disposal Authorities]] that required them. Allowances could also be ‘banked’ for use at a later date <ref>The Landfill Allowance Trading Scheme and Commercial Waste, Paul Gareth Jones, 2006 https://www.uea.ac.uk/documents/541248/10788799/Jones+Gareth.pdf/e043e3ac-3bbd-4163-a978-8e3091fa7ecd</ref>.

LATS came to an end in 2013 following the governments Waste Policy Review in 2010/11. [[DEFRA]] felt that the continuing increases in [[Landfill Tax]] were becoming the key policy driver diverting [[Biodegradable Municipal Waste]] from landfill<ref name="LETSR"> https://www.letsrecycle.com/news/latest-news/lats-set-to-be-scrapped-under-waste-review/</ref>.

At the same time, the way the UK measured its progress towards the landfill diversion goal meant the adoption of a broader definition of [[Biodegradable Municipal Waste]] featuring more [[Commercial and Industrial Waste]], meaning that the LATS system provided less of an accurate measurement of [[Biodegradable Municipal Waste]] sent to [[Landfill]] in the context of the targets<ref name="LETSR" />.


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