Waste disposal levy review highlights progress in reducing waste
A new review of New Zealand’s waste disposal levy has found a reduction in the amount of waste being sent to landfill and signs of increased resource recovery, recycling and reuse.
The Review of the Effectiveness of the Waste Disposal Levy 2026, published by MCERT in October, assessed how well the levy is contributing to waste minimisation and supporting environmental outcomes.
See Review of the Effectiveness of the Waste Disposal Levy 2026 (Environment website)(opens in new tab)
The review covers the period from July 2022 to June 2025 and fulfils a requirement under the Waste Minimisation Act 2008 to review the levy’s effectiveness every three years.
The review found the net quantity of waste disposed of at municipal Class 1 landfills decreased by 6.7 per cent compared with the previous reporting period (which was from July 2019 to June 2022). This equates to around 700,000 tonnes less waste being disposed of in landfills.
The findings also indicate progress in the amount of material being reused, recycled and recovered, although additional data collection will improve future comparisons and help build a more complete picture of waste minimisation outcomes.
The review examines the impact of changes introduced in 2021 that expanded the levy to include construction and demolition landfills, as well as controlled and managed landfills. It also provides an overview of how levy revenue is being used to support waste minimisation and environmental initiatives.
Since July 2024, levy revenue has supported a broader range of activities, including contaminated site remediation, emergency waste responses and other environmental priorities.
The review draws on independent analysis, stakeholder feedback and advice from the Waste Advisory Board. Engagement included representatives from local government, waste operators, resource recovery and recycling businesses, and the construction and demolition sector.
Recommendations in the review focus on improving the performance of the levy, including consideration of levy rates and the impacts of different levy rates across landfill classes.
The recommendations identify where regulatory changes may be needed to ensure the levy remains effective and continues to support a more resource-efficient, lower-waste New Zealand.