Much of the contents of the Strategy is identical to that contained within the rest of Covenant package. Financing The major issue still to be resolved is how the system will be financed. ALGA has consistently advocated that Local Government and ratepayers cannot and should not have to continue to pay the full cost of collection, sorting and transport. Industry should take greater responsibility for the products they produce and therefore contribute to meeting the net cost of collection and sorting. Contrary to Industry rhetoric, this is not a 'subsidy' but part of lifecycle management and product stewardship which includes industry paying their fair share of the current net cost of recycling.
Industry claims to support both lifecycle management and product stewardship.
The current package provides no short term relief from the urgent problem of the decreasing financial viability of kerbside recycling services, nor will it ensure a sustainable recycling system in the longer term. For its part Local Government is demonstrating commitment to product stewardship and has made a number of clear offers of additional financial and operational support for the kerbside system. However, this degree of commitment is not being demonstrated by any other party, and Local Government cannot be expected to act in isolation. Unfortunately, Industry were unable to meet that deadline and asked Environment Ministers, and were granted, an extension until 21 August. Industry should at that time provide details on what they are calling 'transitional arrangements' which should establish a sustainable kerbside recycling system.