Sustainability and the Social Enterprise – Alternative Business Models for a Sustainable Future

Frances HinesBRASS

Cardiff University

Social Enterprises – What?

• 3rd Way??• Charities?• Real businesses?

A social enterprise is :“… a business with primarily social objectives whose surpluses are principally reinvested for that purpose in the business or in the community, rather than being driven by the need to maximise profit for shareholders and owners.” DEFRA 2003

The SE Business Model

• Holistic• Integrative• Community based• Sustainability focused – environmental

- social - economic

• The perfect solution?

A Case Study….

Newport Wastesavers

Recycling for Newport

Cleanstream Resource Centre

Who are they?

A Charity and not-for-profit community business operating a range of recycling initiatives, for

the benefit of the local community

“More than profit”

What do they do?

• Community Furniture Reuse• Education & Schools programmes• Kerbside Recycling• Paint Reuse• Commercial Recycling

Reuse• Collect around 3000 items of unwanted

furniture per year• Passed on to low income families• Provides training and placement

opportunities• Currently reuse 20% bulky waste, but have

plans for 90% of it• Repair & Refurbish domestic electrical

appliances

Kerbside Recycling• The 1st authority-wide kerbside scheme in

Wales• Collects paper, cans, glass, textiles and

plastic from 52,500 hhs• All material is sorted at source• Highest kerbside recycling rate in Wales

What’s the difference• No profit is taken out of the local

community• Community own the scheme• Use of Volunteers & Placements• Contract with Probation Service• Contract with Prescoed Prison, Usk• Social objectives• Lowest running cost of any multi-material

kerbside scheme in UK (possible Europe)

Awards & Recognition• Used as an example of good practice by WAG,

District Auditor & UK Government• Many awards including Environment Wales 10 of

the best winner• Best Community Recycling Project in the U.K. –

Marks and Spencer Award, 2005• Financial support from Onyx Environmental

Trust, National Lottery, Charter Housing, Gwent probation, WDA & others

Partnership with NCC

• Newport City Council pays us £39 per tonne for all materials collected

• Recycling Warden promotes participation• Joint working on recycling initiatives• Council runs CA site and green waste

collections• Council employ a Recycling PR person

What’s not perfect?

• Professionalism?• Scale?• Real benefits?• Evaluation?

SE and Sustainability?

• Environmental, economic and social objectives

• Community focus and community scale• Education and behavioural change as well

as direct benefits?• But….sustainable without funding?

What is the future for social enterprises in the UK?