Seven councils reject South East Metropolitan Advanced Waste Processing project

An ambitious plan to manage rubbish is in danger of being binned after ratepayers were asked to pay for the service for 25 years.

Bayside mayor Alex del Porto says south east councils can’t counr on sending waste to the western suburbs.

A $1 billion plan to manage household rubbish is in danger of being binned after ratepayers were asked to pay for the service for 25 years, even if it was no longer needed.

The South East Metropolitan Advanced Waste Processing company was set up by 15 councils to find alternatives to sending rubbish to landfill.

The scheme involves building an advanced waste plant which could include a mega furnace where rubbish was burned at high temperatures and converted to energy.

However, at least eight councils have pulled out of the deal or delayed their decision after being asked to guarantee a minimum tonnage of waste for the life of the contract.

If the councils failed to deliver the agreed amount of rubbish they would still be billed for the service.

The 15 councils have already each chipped in $50,000 to start the company and have now been asked to fund the project’s tender process, which could cost as much as $6 million.

In a letter sent to councils ahead of their vote mayor Alex del Porto said the project had reached a “critical stage” and needed precommitment from councils to proceed.

“We see this as the only way to avoid the prospect of all of the waste from the south east of Melbourne being shipped … to the western suburbs only to be dumped in landfill,” Cr del Porto said.

However, Glen Eira mayor Jim Magee said tying a generation of ratepayers to a guaranteed amount of waste was “contradictory”.

“Councils are working towards producing less waste. It doesn’t make sense to sign up to something that penalises you financially if you achieve that,” Cr Magee said.

He feared some councils would be ultimately be forced to send recyclables to the plant to make up the shortfall.

He said Glen Eira had severed ties with the project and was now looking for a “plan B”.

Mornington Peninsula mayor Anthony Marsh said committing to the tender process would have been “reckless” and exposed ratepayers to unacceptable financial risk.

He called for the process to be delayed for at least three months so the risks to member councils could be assessed.

Cr Marsh also wanted the State Government to underwrite the project.

Most councils have considered the deal behind closed doors but the Leader understands Boroondara, Stonnington, Manningham, Monash and Maroondah councils have also said no.

Frankston Council is yet to make a decision.

Bayside, Kingston, Casey, Cardinia, Knox, Whitehorse and Yarra Ranges have agreed to proceed with the procurement process.

A State Government spokesman said it was working with councils to ensure they had the resources needed to roll out waste and recycling forms.

“We’ve invested more than $127 million to support councils rollout Victoria’s four bin system including purchasing new bins, improving drop-off facilities, delivering education campaigns and ensuring that they have the infrastructure in place to roll out our waste reforms,” they said.