Direct and Variable Charging for Household Waste

Research Team: Lori Frater, Hazel Nash, Jeroen Dijkshoorn
Background to Research
EU directives require the UK to reduce the amount of waste it sends to landfill to 75 per cent of the 1995 total by 2010, to 50 per cent by 2013 and to 35 per cent by 2020. Failure to do so will result in substantial fines, and the Government has the power to pass those on to councils, potentially driving up the costs of waste management and resulting in significant council tax increases. The Landfill Directive places targets on member states to reduce the quantities of biodegradable municipal waste (BMW) sent to landfill, requiring a reduction to 35 per cent of the total amount by weight of BMW produced in 1995.
Finding news ways to incentivise companies and individuals to reduce the quantities of waste disposed to landfill is a major policy challenge not merely for central and devolved but also local government. Targets introduced in the Landfill Directive has resulted in many new policy initiatives from increasing the landfill tax to the introduction of landfill allowance schemes to reduce the amount of biodegradable waste sent to landfill. Over the last few years, the role of direct and variable charging (DVC) has become increasing popular as a potential means to change residential waste disposal choices. DVC is commonly used in many European countries and has been credited with reducing waste produced from households, that is the amount of waste sent out either for disposal (to landfill or incineration) increase in recycling and composting.
DVC has been defined by the Chartered Institute of Waste Management as charging householders based on the amount of residual waste they actually produce. Direct and variable charging schemes would typically involve charging householders for the amount of residual waste they produce requiring collection and not charging for recyclables. This could be done based on weight of waste collected or on the number and size of containers used.
The aim of this project is to provide an analysis of DVC as a potential tool for local authorities in Wales and to assess the legislative framework available to the Welsh Assembly to introduce the scheme.

