NEW government legislation for managing waste could cost the council millions.

The Barnsley, Doncaster and Rotherham (BDR) Waste Partnership - which manages the 340,000 tonnes of waste produced by the three boroughs each year on behalf of the local authorities - has warned that changes to environmental regulations could result in significant financial pressures.

New rules, set to begin in 2028, will require waste plants to pay for their carbon emissions under the UK’s Emissions Trading Scheme (ETS).

The ETS sets a limit on carbon emissions and allocates allowances that businesses and organisations can trade, creating a financial incentive to cut emissions.

It aims to reduce pollution while stimulating investment in clean technologies.

The BDR partnership is concerned this change in law means they could face higher costs for handling waste.

Currently, the cost of emissions allowances is about £37 per tonne of waste but experts predict this could rise to £150 per tonne by 2028.

If these costs are passed down to the BDR partnership, it could mean an extra £14m is accrued in charges.

A report said: “Since the UK ETS was implemented in May 2021, allowance costs have been as high as £80 to £90 per tonne.

“For the future, some forecasts being used by government agencies suggesting a gentle increase to further incentivise carbon reduction to about £100 per tonne, while others suggest a more rapid increase towards £150 per tonne.

“The BDR manager and team will continue due diligence to narrow down the understanding of potential liability.”