Seán Kyne (Galway West, Fine Gael) | Oireachtas source

Twelve months ago, there was a plan to introduce pay-by-weight per kilogram as the only pricing model which would be available to customers of household waste collection. This caused some concern as it appeared that certain collectors were using the new initiative as an opportunity to increase prices and the Government made a decision not to introduce pay-by-weight at that time. A voluntary agreement was reached with waste operators to hold the current prices and plans for 12 months. The potential introduction of pay-by-weight was to be reviewed to inform decisions in regard to the charging arrangements beyond 1 July 2017.

The Government has decided to proceed with a new framework that will give waste collectors the flexibility to continue to offer, or to introduce, a range of incentivised pricing options which encourage householders to reduce and separate their waste while choosing the service price offering that best suits their circumstances and allows them to manage their costs. These options include elements or combinations of per lift, per kilogramme, weight bands, weight allowances and standing charges. This offers the widest choice to consumers to help them manage their costs. Approximately half of households are already on these types of offerings, so the public is familiar with these options.

Mandatory nationwide per kilogramme charging is not being introduced. However, all-in flat charging for household waste will start to be phased out by waste collectors as customers renew or enter new service contracts from September onwards.

It should be noted that the existing level of waste charges, which people are seeking to preserve, is the result of an open and competitive market. The 12-month industry voluntary arrangement essentially held those prices at that level while the Government reviewed the introduction of pay per kilogram charging. The new arrangements announced by the Minister encourage innovation and competition between operators and enhance choice for consumers. They do not reduce the competitive pressures on waste collectors to ensure they are offering competitive services.

An annual support of €75 will be introduced for persons with lifelong or long-term medical incontinence. This will help people meet the average annual cost of disposal of incontinence products. The details and arrangements of this support will be finalised later this year after further consultation with the stakeholder groups. Already there has been a considerable amount of consultation with the groups.

The amount of waste sent to landfill has increased in the past two years. In 2016, there was insufficient capacity to dispose of residual waste and emergency powers were invoked by the regulatory authorities to make additional landfill capacity available. As the Taoiseach said today and as Deputy Dooley should know, no one wants to see new landfills opening in their constituencies. Many communities have been through that experience. We went through it in our county a number of years ago and it was very difficult for people in localities.

All waste collectors will be required to start rolling out food organic brown bins to all communities nationwide with a population greater than 500 people. This will help more households divert waste away from their standard black bins.

An information and awareness campaign will also be implemented by the Department and the regional waste management planning offices later this summer and autumn. It will take account of the new approach to charging.

Ireland faces real challenges to meet its European obligations in regard to waste.

Ireland has an obligation under the waste framework directive to recycle 50% of household waste by 2020. New EU circular economy targets currently being negotiated in Brussels include a proposal to limit landfill to 10% of municipal waste generated by 2030. On the other hand, there are significant economic, employment and climate benefits arising from preparing for reuse, recycling and recovery of waste as opposed to disposing of waste in landfill.

A principle of national waste policy since 1998 has been that the level of waste charges should vary according to usage. Phasing out of all-in flat rate charges for residual or "black bin" household waste is consistent with national Government waste policy. Landfill is the least environmentally sustainable waste management method. Exploiting the potential of waste as a resource – less to landfill, more prevention, recycling and recovery – will contribute to the creation of employment and alternative energy options. Households on plans which have a variable charge element, such as per lift or some form of weight or usage-based charging, generate significantly less waste. Waste collection in Ireland is serviced by private companies, which operate in a competitive market, and the State has no role in setting prices. All decisions on the pricing of individual services have been a matter for waste collection companies.

In recognition of some of the concerns raised, the Minister for Communications, Climate Action and Environment, Deputy Naughten, proposes to set up a pricing monitoring unit that will provide monthly reports on pricing developments and will commission an in-depth analysis on the operation of the household waste market by the Competition and Consumer Protection Commission by year-end. This will provide an evidence base to establish a regulator to prevent price gouging. One aim is to assist householders to both reduce and segregate their waste. The alternative is to consider new landfills or expand the use of current landfill sites, which I do not believe anyone would welcome or propose. In addition, we need to allow the 67 collectors the flexibility to offer householders a range of charging options. Households, as consumers, choose the option that suits their circumstances.

With regard to the issues concerning unnecessary waste, Repak is the authorised compliance scheme for packaging waste in Ireland. In 2016, Repak funded the recovery and recycling of 795,000 tonnes of household and commercial packaging waste. We have seen the work that took place in recent years in regard to reducing the level of Easter egg packaging, for example, although more could be done on that.

A number of Deputies raised the question of companies with offshore accounts. From 2017 offshore companies operating here must publish their accounts and this applies also to waste companies. I commend the Minister, Deputy Naughten, on establishing the task force to reduce waste packaging that shoppers bring home from supermarkets, which is important and something I would like to see progressed. Some operators have bin sharing facilities for customers. I believe the potential of bin sharing will grow under the new proposals, particularly for those with low levels of waste.

With the growth in our economy, there is a growth in the level of waste produced, and given more stringent EU targets, we need to improve recycling and composting and to reduce black bin rates. Even with the Poolbeg incinerator, we have and will have serious capacity issues in terms of waste management and landfill. I believe we must act now.

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