Waste to energy cap licences issued
Significant milestone for Victoria's Waste to Energy Scheme
Recycling Victoria has reached a significant milestone with the issuing of 7 thermal waste to energy cap licences.
Once all other regulatory approvals have been obtained, waste to energy facility operators with a cap licence will be allowed to develop facilities capable of processing permitted waste up to a specified maximum amount at their facility.
Recycling Victoria undertook a robust, fair and transparent decision-making process that included expressions of interest followed by full applications.
There is a 2.5 million tonne cap on the amount of permitted waste that can be treated in thermal waste to energy processes to ensure investment in these facilities does not compromise our efforts to avoid, reuse and recycle more waste in future.
Value from material that would otherwise go to landfill
As Victoria shifts towards a circular economy, waste to energy facilities can play a role in:
- diverting waste from landfill and recovering additional metals and aggregates that would otherwise end up in landfill
- allowing businesses to generate more value from the materials they manage
- creating valuable energy that can be used by industry or exported to the electricity grid for the community
- supporting Victoria to meet its target of net zero emissions by 2045.
Landfills are filling up and Victoria will start to run out of landfill capacity in the mid-2030s. Securing infrastructure that can process large quantities of waste that can’t be recycled and otherwise destined for landfill is a high priority for Victoria.
After waste avoidance, reuse, and recycling, waste to energy is the final opportunity to get value from material that would otherwise be destined to landfill.
Regulation, planning and approval
Recycling Victoria regulates market-related aspects of thermal waste to energy processes under Victoria’s Waste to Energy Scheme. It ensures that licensed facilities only accept approved amounts and specific types of wastes.
In addition to a waste to energy licence under the Scheme, anyone who wants to develop and operate a thermal waste to energy facility in Victoria must obtain all required regulatory approvals before they can commence construction and operation.
These are separate processes, and each regulator considers each application independently and in accordance with legislative obligations.
This includes approvals from the Environment Protection Authority Victoria to address any environmental and human health impacts from the facility.
Planning approvals are also still required from responsible authorities, such as local governments or the Minister for Planning, which consider the appropriateness of the facility for the specific location, including amenity and other considerations.