Sustainability
3 min read
By Pedro Carreira
Updated 25 June 2026
Waste-to-energy (WtE) facilities burn residual waste to generate electricity, diverting it from landfill.
Victoria's first large-scale WtE plant is the Maryvale Energy-from-Waste facility in the Latrobe Valley (Gippsland) — not Melbourne — with capacity for about 325,000 tonnes per year; as of 2026 it is in development rather than operating. Another facility is planned for the western suburbs.
WtE is considered a last resort in Victoria's waste hierarchy — reduce, reuse, and recycle first. Gate fees for WtE are expected to be $100-140/tonne, comparable to landfill.
Key Numbers
- Maryvale EfW capacity: about 325,000 tonnes/year
- Expected WtE gate fee: $100–140/tonne
- Metro landfill levy 2025–26: $169.79/tonne
- Methane warming potential: 28× CO₂
What You Need to Know
Waste-to-energy is not a Melbourne reality yet. The Maryvale Energy-from-Waste facility sits in the Latrobe Valley (Gippsland), not the metro area, with capacity for about 325,000 tonnes per year, and as of 2026 it is in development rather than operating; a second plant is planned for the western suburbs. For a business deciding where residual waste goes, the economics matter more than the technology:
| Destination | Indicative cost |
|---|
| Expected WtE gate fee | $100–140/tonne |
| Metro landfill levy alone | $169.79/tonne (on top of haulage) |
Because landfilled organics release methane — about 28× the warming impact of CO₂ — WtE is still treated as a last resort under Recycling Victoria — A New Economy, which puts reduce, reuse and recycle ahead of burning. As an independent broker, Bundle Waste audits your invoice for free, compares a network of providers to lift diversion before residual disposal, and is paid only from the savings we find.
Related Resources
Related Questions
What are Victoria's recycling targets for businesses?+
Victoria's Recycling Victoria policy targets: 80% waste diversion from landfill by 2030, 100% of organics recovered from all sources by 2030, and all packaging to be recyclable, compostable, or reusable by 2025. While these are government targets (not mandatory per-business), many large clients, councils, and procurement processes now require suppliers to demonstrate 50-70% diversion rates. Having audited waste data gives you a competitive advantage.
What is the Victorian landfill levy and how does it affect my costs?+
The Victorian landfill levy is a state government charge on every tonne of waste sent to landfill. For 2025-26, it is $169.79/tonne for metropolitan Melbourne (up from $129.27 in 2024-25). This levy is passed through to businesses via their waste provider, typically adding $5-15 per lift for a 1100L bin. The levy has risen well above CPI in recent years. Diverting waste to recycling and organics avoids the levy entirely, making diversion financially compelling.
What are the penalties for incorrect waste disposal in Victoria?+
EPA Victoria can issue fines of: $1,000-10,000 for littering or illegal dumping, $10,000-50,000 for unlicensed waste transport, up to about $2.03 million for serious environmental harm from waste mismanagement. For businesses, common penalties include contamination fees from providers ($50-200 per incident), loss of recycling service for repeat contamination (3+ strikes), and council infringement notices ($500-2,000) for bin placement or overflowing waste on commercial premises.
What is e-waste and how should my business dispose of it?+
E-waste includes computers, monitors, printers, phones, cables, batteries, and TVs. It is illegal to put e-waste in general waste bins in Victoria (fines of $500-5,000). Options: (1) Free drop-off at council e-waste centres, (2) Commercial e-waste collection services ($2-5/kg), (3) Manufacturer take-back schemes (Dell, HP, Apple offer free business pickups for their products), (4) Data destruction services that also recycle ($5-15/device). A medium office generates 50-100kg of e-waste per year.
What is the four-stream waste system in Victoria?+
Victoria mandated a four-stream waste system: (1) General waste (red lid), (2) Commingled recycling (yellow lid), (3) Glass recycling (purple lid), (4) Food and garden organics (green lid). Commercial businesses are encouraged (not yet mandated) to separate all four streams. Implementing all four streams typically increases recycling rates from 20-30% to 60-80% and reduces general waste costs by up to 40% because recyclables and organics are cheaper to process than landfill disposal.
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Updated 25 June 2026
