The State Government is overhauling household recycling to reduce waste, increase recycling and create a circular economy to make the most of our resources. Find out how the Waste service fee works.
To deliver these statewide changes, while still providing all the services we love, we’re introducing a kerbside waste fee and a public waste rate.
From 1 July 2022, these fees will be shown as separate items on your rates notice.
The waste fee will amount to less than $3 extra, per week, for most ratepayers.
A key part of the change means that councils are now required to roll out four bins: a rubbish bin, a recycling bin, a food and green waste bin and a glass bin.
Providing these four services will increase costs above what Darebin can recover through rates alone.
The state government’s decision to also increase the landfill levy will leave Council with a shortfall of $26 million over 10 years.
This means we need to change the way we charge for waste. Councils can use a separate waste fee to provide waste and recycling services – and it’s not subject to the rate cap. A separate waste fee will ensure we have responsibly met this financial challenge and ensured Council’s ongoing financial stability. We’re supporting financially disadvantaged households by including a range of concessions to make the change fairer for lower value property owners as well as expanding the hardship safety net. We’re also rolling out a green and food waste bin to every household. This will save costs and prevent the pollution that comes from sending food and green waste to landfill. Most other Victorian councils have already introduced this fee with 71 out of 79 Councils now charging separate waste fees. Put simply, if we do not implement this waste charge now Darebin will need to look at other ways to address the financial shortfall. This will mean cuts to other important community services we provide such as libraries, aged care and sporting hubs. It’s a hard decision but we are addressing this now - in a timely, transparent, and financially responsible manner - in order to meet the future needs of our growing community.
Why is this charge being introduced now?
The State Government is overhauling household recycling to reduce waste, increase recycling and create a circular economy to make the most of our resources.
Darebin is one of only eight local councils in Victoria out of 79 that currently doesn’t charge the community a separate fee for waste services on top of general council rates.
Up until now we’ve absorbed the rising costs associated with collecting and processing the community’s rubbish and recycling.
But these State Government changes means that Darebin will need to spend an extra $63 million over the next 10 years. This leaves a gap of $26 million which cannot be recovered by general rates, which are capped.
As a responsible council we cannot avoid this financial risk or avoid difficult decisions.
Darebin strives to be transparent in all it does. Our aim is to ensure that our community is given as much notice as possible to any changes.
The rate and fee will be determined as part of the budget process and will come into effect from July 2022.
Has the community been consulted?
Yes.
Over the past couple of years, we foreshadowed changes to how we fund waste services and what that might mean when we developed our Waste and Recycling Strategy.
Changes have also been foreshadowed in our Council Plan and through consultation in developing our 10 Year Financial Plan.
Part of the consultation for the Financial Plan and Council Plan included a citizen (deliberative) panel who were empowered to consider a full brief on this matter to discuss, debate and inform the direction a waste charge could take.
Importantly, the panel supported the introduction of a waste fee if there were measures put in place to ensure that it only covers waste costs, is transparent, protects those experiencing hardship and that we work with the community to achieve the long -term goal of zero waste.
This consultation and feedback have informed the proposal.
Darebin residents will also be able to comment on the draft budget including the waste fee and rate amounts before it is adopted by Council in June 2022.
Council has made the difficult decision to introduce this charge to address the financial risk to Council sustainability in the future.
Ultimately this decision is a leadership and governance issue.
Sometimes difficult strategic risk decisions are a part of that, and Council needs to act now to protect our current community as well as future generations.
Importantly there are opportunities for future community engagement and consultation as part of the draft budget process in early 2022. It is envisaged that these conversations will assist Council to refine waste fees, charges and equity measures.
Why can’t this extra cost be covered by rates as it has been?
Waste costs are rising by more than the rate cap.
In 2016, the Victorian Government introduced rate capping at a maximum of 2 per cent to restrict the amount that councils can raise their rates each year. The rate cap is set by the Minister for Local Government.
The rate cap applies to general rates and municipal charges. It does not apply to waste charges or the Victorian Government’s Fire Services Property Levy.
The changes brought about by the increases in the State Government’s landfill levy charge, along with the mandatory kerbside recycling services that the state government is introducing, means service costs will significantly rise for Council.
These cost increases are out of Council control and influence.
It means we will need to find an extra $26 million over the next 10 years to cover a funding gap.
Addressing this shortfall now, in a timely and transparent way, means we will be in a strong position to deal with future challenges of a growing population and emerging community priorities.
Will the new waste fee also mean an increase in rates?
No.
On your rates notice you will see a new waste fee but you will also see a reduction in your general rates.
This is because we are now separating out the cost of providing waste and recycling services to offset the new waste service fee.
For most ratepayers the new waste charges, combined with reduced rates, will mean an overall increase of less than $3 per week.
For ratepayers with a property valued at $500,00 or less there will be no increase in the total rates notice.
Ratepayers living in higher valued properties experiencing disadvantage will be supported with a concession.
How will waste service fees appear on rates notice?
The Waste Service Fees will be listed separately on rates notices.
What exactly are the new waste service fees?
The decision before Council is to remove waste and recycling cost recovery from general rates and to introduce a service charge for kerbside services and a service rate for public waste services.
Once introduced, this service charge and rate will be determined through the 2022/23 draft budget consultation process.
To inform this decision, financial modelling has been prepared to establish the approximate fees and therefore likely impact on ratepayers.
It is estimated that the cost of the Kerbside Waste Collection fee will be approximately $300 per year, and less for households with a lower property value.
For most ratepayers the overall cost of the new waste fee charges will amount to less than $3 extra per week.
General rates will be reduced to offset the introduction of the waste fee.
Other Councils have introduced this a waste fee as part of their budget process, however Darebin has chosen to introduce a more transparent method to help the community understand the fee and to ensure no one experiencing hardship is disadvantaged.
This approach has been informed by the citizen panel and feedback from Councillors during several workshops.
What if I can’t pay? What are my options?
Council is committed to strengthening greater social equality and inclusion.
Importantly, there is support available for residents experiencing hardship or disadvantage.
Darebin ratepayers can apply to Council for assistance relating to any unpaid rates or charges levied on a property under Council’s Financial Hardship Policy.
Unlike other Councils, to help support our community we will be updating this policy to introduce a comprehensive safety net for any resident experiencing hardship under the new waste charge fees.
This approach continues to place Darebin at the forefront of driving equality for all our community.
There are a range of other options to make paying your rates easier and we will also be strengthening those to provide additional protection ensuring no one is left behind.
You can also pay in 4 instalments by the following dates:
- 30 September 2022
- 30 November 2022
- 28 February 2023
- 31 May 2023
Pay by Direct Debit with the option of:
- the 4 instalment dates above, or
- spread your rate payments over 10 monthly equal instalments.
Pay your full rates in full up front.
If you would like to speak to us prior to making an application, please call us on 03 8470 8880.
I am a pensioner – can I access any rebates?
Council has a strong commitment to supporting all members of our community through this change, including pensioners. Pensioners who own and occupy their home are eligible for the following rebates:
- General Rates Rebate ($447)
- Darebin Rebate
- $247 State Government Rebate
- $50 Fire Service Levy Rebate (State Government)
- Kerbside Rebate
I have a disability – can I access any rebates?
Council has a strong commitment to supporting all members of our community through this change, including people with a disability.
Darebin ratepayers can apply to Council for assistance relating to any unpaid rates or charges levied on a property under Council's Financial Hardship Policy.
To help support the community through this change, we’re adding an additional safety net to the existing Financial Hardship Policy.
If you would like to speak to us prior to making your application, please call Council on 8470 8880.
How much is the kerbside waste collection service fee and the public waste service rate?
We need to wait for updated property values from the Valuer-General before we can calculate how much the kerbside waste collection service fee and the public waste service rate will be.
Once we have these property values, the fee and rate amounts will be decided upon through Council’s 2022/23 Budget process.
When do I have to start paying the kerbside waste collection service fee and the public waste service fee?
The waste fee will come into effect from 1 July 2022. You will notice both on your 2022/23 rates notice, which you will receive in August 2022.
Darebin residents will also be fully informed in the lead up to the rate coming into effect and able to view the draft budget including the specific fee and rate amounts before it is adopted by Council in June 2022.
What does my kerbside waste collection service cover?
- Weekly kerbside rubbish collection
- Fortnightly kerbside recycling collection
- Fortnightly kerbside food and garden waste collection
- Two free bundled branch collection per year
- One Christmas tree collection per year
What does public waste services cover?
- public litter bins
- street cleaning and street sweeping
- laneway clearing
- litter/dumped rubbish
I already have a food and green waste recycling bin. Do I still have to pay the annual fee as well as the new waste service fee?
No.
If you already have a food and green waste recycling bin, the annual fee you currently pay will be absorbed into the kerbside waste collection service fee.
Therefore, the separate charge on your rates notice (currently $56.50 for a 120L bin and $106.85 for a 240L bin) will be replaced by the kerbside waste collection service fee.
I own an apartment (multi-unit development) which has a private waste service. Do I have to pay the kerbside waste collection service fee?
No.
You will not have to pay the fee if you do not receive Council’s kerbside waste collection service (rubbish, recycling and/or green waste bins) and your general rates have been reduced to reflect this change.
You will pay the public waste service special rate which will pay for services including:
- public litter bins
- street cleaning and street sweeping
- laneway clearing
- litter/dumped rubbish
This payment will be introduced on your rates notice on 1 July 2022.
I own an apartment (multi-unit development) which has a private waste service. Do I have to pay the public waste service fee?
Yes. All ratepayers that currently receive Council’s Kerbside Waste Collection Service will continue to be charged for that service.
I am a business owner. Do I have to pay the kerbside waste collection service fee?
Only businesses that currently receive a council waste service will continue to pay.
We are conscious of providing a fairer deal for our local businesses - the vast majority of which have traditionally paid for waste services they have not used.
Darebin is a municipality where the overwhelming number of businesses are small.
Many of these small businesses have experienced unprecedented financial stress during the pandemic -and have been paying for waste services they don’t receive.
This charge will support the local economic recovery by taking some financial pressure off our local businesses through a reduction in general rates.
As a business owner you will not have to pay the kerbside waste collection service fee if you do not currently receive Council’s kerbside waste collection service (rubbish, recycling and/or green waste bins).
You will pay a public waste special rate which will pay for services including:
This payment will be introduced on your rates notice on 1 July 2022.
If you do receive a Council kerbside collection service, you will need to pay the kerbside waste collection service fee.
I am a renter. Do I have to pay the waste service fees?
No. The waste service fees are payable by the property owner who receives rate notices.
Will my waste and recycling services change?
Council will introduce a food waste recycling service across the entire municipality from 1 July 2022.
If you do not currently have a food and green waste recycling bin, you will receive one before July 2022.
This means that all ratepayers receiving Council kerbside waste collection service will have a green bin, the cost of which will be covered by the kerbside waste fee.
The State Government has mandated several changes to how Councils right across Victoria manage their waste.
All Councils must transition to four core waste and recycling services which will standardise bin lid colours across Victoria:
- Red lid bin: rubbish
- Green lid bin: food and garden waste
- Yellow lid bin: recycling
- Purple lid bin: glass recycling (Council may provide centralised collection point for glass instead of a bin)
Council is planning for the introduction of glass recycling to Darebin in the coming years after consulting with the community about the new service.
Will the frequency of my bin collection change?
There will be no change to collection frequency. We will consult with the community about collection frequency of the various bins after July 2022.
Will the food and green waste bin continue to be an optional service?
No.
Council will introduce its food waste recycling service across the entire municipality from 1 July 2022.
All ratepayers receiving Council kerbside waste collection service will have a food and green waste bin.
Why am I receiving a new food and green waste bin if I don’t want it?
We are rolling out food and green waste bins to all residents to reduce waste to landfill, reduce emissions and help save costs.
Currently over half of what is in the rubbish bins in Darebin is food and garden waste that should go in in the food and green waste bin.
When food and green waste ends up in landfill it produces greenhouse gas emissions as it breaks down and contributes to climate change.
Instead, the food and green waste that we collect is turned into compost, which is used to enrich the soil at farms, parks and gardens. Food and green waste recycling service works alongside home composting.
Providing a food and green waste service to all households is an important part of the State Government’s Recycling Victoria reforms.
Will bin sizes change?
We are not changing the size of our bins. Our standard service is:
- 80 litre rubbish bin
- 240 litre recycling bin
- 120 litre food and green waste bin
I have a larger general waste bin permit. Do I still have to pay extra?
Yes. Charges for non-standard bins will be for:
- Larger waste bins
- Additional recycling bins
- Additional food and garden waste bins
Will the hard waste service still happen in July next year?
Yes. Council will continue to provide the Council-wide hard waste collection next year.
We will consult with the community in 2022-23 about the ways we can improve hard waste collection so that we increase the amount of hard waste that is reused and recycled.
See source statement by City of Darebin here
