The Victorian Government charges a landfill levy on solid waste. After funding State environment agencies, the remainder of the levies go into the Sustainability Fund to foster sustainable use of resources, best practice waste management and reduction of greenhouse gas emissions.
We are calling for the following reforms to the way landfill levies are spent:
- that the Minister provide improved transparency regarding the spending and allocation of the landfill levy from 2008/09 onwards and provides expenditure plans for the unallocated funds from the landfill levy
- that a minimum of 50% of the accrued landfill levy funds be allocated to the originating local government to support long term provision of landfill remediation and for projects that take further action on climate change, waste reduction, recycling and illegal dumping. Projects deemed suitable should not require any matched funding from local government
- that the landfill levy be frozen at the current rate per tonne.
MAV State Council resolution
In May 2017 at the MAV State Council, council representatives voted to pass a resolution relating to the landfill levy distribution.
About landfill levies
The Victorian Government charges a landfill levy on solid waste. Councils pay the levy on municipal waste, with the cost passed through to ratepayers in garbage charges for kerbside collections, gate fees at landfills/transfer stations or rates.
A sharp increase in state landfill levies was introduced in 2010 to reduce waste going to landfills and councils have been reporting increased illegal dumping as a result. The cost per tonne in 2009-10 was $7 in rural areas and $9 in metropolitan areas, however this has risen progressively to $29.30 in rural areas and $58.50 in metropolitan areas in 2014-15 and continues to rise each year.
The total funds the state collected from this levy in 2015-16 were $201 million, and while the purpose of this money is to reduce waste, the total money accrued in the Sustainability Fund as at 30 June 2016 was $466 million.
- Time to action wasted landfill levy opportunities (27 Jul 2018)
- Recycling storm to have cost of living impacts (16 Feb 2018)
- VAGO to investigate landfill levy (9 Jun 2017)
- Background paper: Landfill levies and the Sustainability Fund (May 2017) (Word - 122KB)
- Wasted opportunity on landfill levy spending (4 May 2017)
- Submission to the Sustainability Fund Priority Statement review (Dec 2015) (Word - 308KB)
- Response to EPA Inquiry discussion paper (Nov 2015) (PDF - 421KB)
- State landfill levies - what a waste! (29 Oct 2015)