Find out more about South Australia's initiative to eliminate waste - Zero Waste SA

This is a useful website to find out more about how you can increase the sustainability of your business

• Green Capital-Advancing Corporate Sustainability
• Packaging Council of Australia

 

 

1. LANDFILL LEVIES ON THE INCREASE
A recent example: a 30% increase per month in W.A. alone. Although other states haven't increased at this rate quite yet, they are all experiencing upward shifts in landfill charges. Some say it is purely for revenue raising, however, many within the industry believe that this trend is here to stay.

The industry is shifting from being a predominantly volume based collections business, to becoming a plant and equipment/diversion from landfill business. Alternatives to landfill, and creating commodities out of otherwise costly waste material, are becoming the future. It will become the most cost effective way of disposing of waste, not to mention the greenest.

2. FUEL COSTS ARE GOING UP
Fossil fuels are having a huge impact on the transport oriented industry. Oil prices are volatile, and hence diesel prices. The trend within the industry is to eventually implement technology such as hydrogen powered trucks. Though at present, the only other way to reduce the cost of transport is to actually reduce the volume of waste that is being transported in the first place.
 
3. COMMODITY PRICES ARE VOLATILE
Coupled with variables such as landfill levies and fuel, commodity prices are currently shifting due to the extrinsic global economic pressures. Downward pressure on supply and demand is meaning that rebates and revenue gained by collecting and re-processing recyclables is decreasing, diluting the incentives of the recyclers to collect free of charge.

This change is leading to temporary increased costs. Where passing on rebates to customers used to be the norm, there simply is now not enough profit in order for it to be shared.
 
 4. MORE RECYCLABLE MATERIALS ARE BEING USED IN PACKAGING OF CONSUMER GOODS.
Social pressure, along with regulatory pressure means more recyclable or biodegradable materials will be used to package consumer goods going into the future. The downside is commercial costs of producing biodegradable packaging. The insulative properties and relative low cost of non-biodegradable packaging materials keep them popular at present. This is expected to change as manufacturing and recycling processes are continuously improved.
 
5. AUSTRALIAN OWNED WASTE COMPANIES - WHERE HAVE THEY GONE?
Foreign ownership and multinational conglomerates are taking hold of the industry.
Several of the largest waste companies in Australia are now foreign owned and the industry is known for its constant buyouts and acquisitions activity, which doesn't leave much time to focus on customer service.

These large waste companies with thousands upon thousands of customers nationally cannot make customer service a priority as they have to focus on increasing the volumes of pickups, revenues, and keep their shareholders happy.

Small companies entering the industry face many barriers to entry because of the pursuit to monopolize the activity, however a fresh approach is emerging- an approach which the industry is crying out for, focusing on customer and value added services.