The New Zealand Government announced significant changes to the Waste Disposal Levy to bolster environmental and climate change initiatives.

The changes, introduced as part of the Budget 2024 legislation, will allow the levy to fund a broader array of projects, Environment Minister Penny Simmonds said.

The revised legislation expands the levy’s scope under the Waste Minimisation Act 2008.

"In addition to investments in waste recycling and recovery infrastructure, the central Government portion of the waste levy can now fund a broader range of environmental outcomes, such as restoring freshwater catchments," Simmonds stated.

The new measures include provisions for using levy funds to manage waste generated by emergencies, such as cyclones, and to preemptively clean up contaminated sites and vulnerable landfills before they exacerbate environmental problems.

"Through the expanded scope of the levy, we can take proactive steps to protect the environment as natural disasters arise more frequently due to the effects of climate change," Simmonds added.

Funds from the levy will continue to be shared between central and local governments, maintaining a 50 per cent allocation for local authorities to focus on community-based waste minimisation projects.

The Government's initial plans for its portion include prioritising waste infrastructure development and remediating contaminated sites, with future priorities covering kerbside recyclables, construction and demolition waste, and organic waste.

Levy increases introduced by the previous Government mandate a $10 per tonne rise for municipal and construction and demolition landfills from 1 July 2024.

Subsequent changes will see incremental increases from 1 July 2025 to 1 July 2027, though at a slower rate.

"Getting ahead of climate change is important for New Zealand to help prevent avoidable costs over the long term," Simmonds said.

"This incremental levy change means we can invest further in reducing our waste and preparing for natural disasters."

These updates are part of a broader strategy to ensure New Zealand is better equipped to address the environmental challenges posed by increasing natural disasters due to climate change.

By expanding the use of the Waste Disposal Levy, the Government aims to create a more sustainable and resilient environment.