Static levy blamed for rise in landfill waste
If New Zealand’s waste disposal levy was given some extra grunt, it could divert 3 million tonnes of waste from the country’s landfills each year and create 9000 jobs, a report says.
But the Government has chosen to leave the levy unchanged following a recent review – maintaining a stance it has held since introducing a charge for dumping waste in 2008.
Since 2014, the dumping of waste has risen by 16 per cent nationally, as the amount diverted from landfills to recycling schemes or other initiatives has fallen by 6 per cent.
The waste disposal levy was meant to discourage dumping by imposing a $10 charge on every tonne disposed of in landfills – a lower charge than those imposed by almost every other country with a levy.
Australia’s waste levies range from $55 and $133 per tonne, while Britain charges up to $153 per tonne.
Only 45 class-one landfills, which handle household waste, charge for dumping in New Zealand, while 381 classtwo, three and four landfills, receiving primarily industrial and commercial waste, do not.
The average Kiwi produces 734 kilograms of household waste each year – about the weight of a cow.
The report – funded by the Waste Levy Action Group, which comprises local authorities and interested parties – said increasing the levy here to $140 per user could deliver up to $500 million in economic benefits annually by directing extra funds to recycling and waste diversion schemes.
It also recommended gradually rolling out the levy to all landfills to let local industries adapt.
The Government’s reluctance to broaden the waste disposal levy flies in the face of its own advice, made in a similar review from 2014. That report stated it should investigate extending the fee to cover more landfills.
Only two of the 11 recommendations from that 2014 review have been completed.
This year’s review puts this lack of progress down to the Ministry for the Environment not having enough staff and resources to commit to the work.
Green Party waste spokeswoman Denise Roche said extending the levy could save ratepayers money if additional payments from commercial and industrial dumpers were funnelled into creating more recycling and diversion schemes.
‘‘There is not real commitment from this Government that they want to do anything serious about waste,’’ Roche added.
Associate Environment Minister Scott Simpson said there was no intention to increase the levy, despite New Zealand’s fee being one the lowest worldwide.
‘‘A flat levy just on tonnage is a relatively blunt instrument, so I would like to look at a more nuanced, finessed approach, involving looking at potentially different pricing mechanisms for different types of waste.’’
He did not know whether staffing at the ministry had increased but said the creation of a new ministerial delegation indicated a new focus.
The latest report also noted a shift in the number and size of different classes of landfills, which suggested operators may be playing the system and dumping in non-levied landfills to avoid paying charges. ‘‘Over time, this practice can undermine the intent of the levy.’’