20/10/2005 - The Treasurer and the Minister for the Environment
and Heritage today announced that the Productivity Commission
will examine the way Australia manages its waste and products
over their life-cycle.
The Treasurer said the inquiry will look at the current
policy framework and cover issues associated with solid
waste, including municipal waste (such as household collections,
electrical and consumer items), commercial and industrial
waste, and construction and demolition wastes.
The inquiry will investigate the economic, environmental
and social costs and benefits of a range of regulatory
and voluntary approaches to managing waste, including
the compliance and processing costs of these instruments.
Minister for the Environment and Heritage, Senator Ian
Campbell, said waste occurred at all stages of a product's
life, from the extraction and production of materials
to the product's distribution and final post-consumption
phase. Inefficient management of waste results in lost
value and opportunities, and is an economic and environmental
burden on society.
Senator Campbell said the inquiry would look at factors
which impede our ability to use and recover our resources
efficiently. He said it would identify strategies that
could be adopted by governments, industry and consumers
to encourage the best possible recovery of resources and
to promote a more coordinated and strategic approach to
waste issues across the life-cycles of products.
The Productivity Commission will shortly invite expressions
of interest from anyone wanting to participate in the
review. Anyone with any interest in the inquiry is encouraged
to make a submission to the Commission.
The terms of reference for the study are attached.
Further information on the study can be obtained from
the Productivity Commission's website at www.pc.gov.au
or by contacting the Commission directly on (02) 6240
3239.
Terms of Reference
Waste generation and resource efficiency in Australia
Productivity Commission Act 1998
I, PETER COSTELLO, Treasurer, pursuant to Parts 2 and
3 of the Productivity Commission Act 1998, hereby refer
waste generation and resource efficiency in Australia
to the Commission for inquiry and report within twelve
months of receipt of this reference. The Commission is
to hold hearings for the purpose of the inquiry.
Background
Australians generate solid waste at a high rate compared
with most other OECD countries. Technologies and processes
to avoid, reduce and recover waste are generally not used
as extensively in Australia as in some other OECD countries.
Non optimal levels of waste represent lost value and opportunities,
while imposing undesirable economic and environmental
costs on society. The objective of this inquiry is to
identify policies that will enable Australia to address
market failures and externalities associated with the
generation and disposal of waste, including opportunities
for resource use efficiency and recovery throughout the
product life-cycle (from raw material extraction and processing,
to product design, manufacture, use and end of life management).
The inquiry will cover resources associated with solid
waste, including: municipal waste (eg household collections,
electrical and consumer items,) commercial and industrial
waste, and, construction and demolition wastes. It will
not cover wastes that exhibit hazardous characteristics
and pose an immediate and unacceptable risk of harm to
human beings or the environment.
Scope of the Inquiry
In undertaking this inquiry, the Commission is to examine
ways in which, and make recommendations on how, resource
efficiencies can be optimised to improve economic, environmental
and social outcomes. This will include an assessment of
opportunities throughout the product life cycle to prevent
and/or minimise waste generation by promoting resource
recovery and resource efficiency.
The Commission is to examine and report on current and
potential resource efficiency in Australia, having particular
regard to:
1. The economic, environmental and social benefits and
costs of optimal approaches for resource recovery and
efficiency and waste management, taking into account different
waste streams and waste related activities;
2. Institutional, regulatory and other factors which impede
optimal resource efficiency and recovery, and optimal
approaches to waste management, including barriers to
the development of markets for recovered resources;
3. The adequacy of current data on material flows, and
relevant economic activity, and how data might be more
efficiently collected and used to progress optimal approaches
for waste management and resource efficiency and recovery;
4. The impact of international trade and trade agreements
on the level and disposal of waste in Australia; and
5. Strategies that could be adopted by government and
industry to encourage optimal resource efficiency and
recovery.
The Commission is also requested to report on: the effectiveness
of performance indicators to measure efficiency of resource
recovery practices; the effect of government and commercial
procurement practices on optimal resource recovery; and
the impacts of government support to production and recovery
industries.
In undertaking the inquiry, the Commission is to advertise
nationally inviting submissions, hold public hearings,
consult with relevant Australian Government, State and
Territory agencies, local government and other key interest
groups and affected parties.
The Commission is to provide both a draft and a final
report. The Government will consider the Commission's
recommendations and its response will be announced as
soon as possible after the receipt of the Commission's
report.
Peter Costello |
