China Sword: LGA hits out at recycling rescue package

THE State Government’s $12.4 million recycling industry rescue package does nothing to help the “mums and dads” saddled with surging rates bills, the head of the Australian Local Government Association says.

• Recycling crisis: ministers meet to discuss waste ban solutions
• Recycling in landfill as councils struggle with waste changes
• Shock recycling ban likely to force council rate hikes

THE State Government’s $12.4 million recycling industry rescue package does nothing to help the “mums and dads” saddled with surging rates bills, the Australian Local Government Association says.

Prospect Mayor and national LGA president David O’Loughlin said councils and ratepayers were bearing the brunt of the so-called “China sword” policy, but all help had been directed to industry.

Mr O’Loughlin said the Chinese Government’s decision to effectively ban the importation of all paper and plastics had a “straight up cost impact” on industry, which had passed it on to councils.

“The support package does nothing to support the area that’s hardest hit,” he said.

Prospect Council alone has estimated the cost of the China Sword policy at $225,000.

The Waste Management Authority has called for a $7 million funding injection to help councils struggling to cope with dramatic price increases.

Mr O’Loughlin said the State Government, which has introduced legislation to cap council rate rises, was “hellbent on kicking local government”. He said a “joined-up approach” across all levels of government was needed to respond to China Sword, to maximise use of recycled content and prioritise its use in government procurement.

Mr O’Loughlin said the Government needed to use its $100 million Green Industries fund to urgently invest in technology development.

But implementing a minimum level of recyclable content in public tenders would make the biggest impact.

“Industry is waiting for government to send a clear message that it will accept and have a preference for these materials,” Mr O’Loughlin said.

“Even if it mandates a minimum recyclable content of 10 per cent it will have a huge impact. Once the State Government changes its specifications there will be an explosion.”

State Environment Minister David Speirs said feedback on the recycling industry support package had been “overwhelmingly positive”.

“It’s focused on incentivising the industry to grow and innovate,” he said. “There is huge potential for South Australia’s recycling industry to capitalise on the opportunities resulting from China’s National Sword policy.”

Federal Assistant Environment Minister Melissa Price said solving the issue of 1.3 million tonnes of recyclable waste that could not be sent overseas required a co-ordinated approach from all jurisdictions.

She pointed to a meeting of environment ministers where states agreed to measures to increase the supply of, and demand for, recyclable resources.