By Cam Lucadou-Wells
Greater Dandenong mayor Jim Memeti is weighing up whether to support a joint-council proposal for a waste-to-energy plant in the South East.
The council is set to vote on 28 March on whether to commit to a 25-year pre-tender contract with South East Metropolitan Advanced Waste Processing (SEMAWP) Pty Ltd.
The contract would commit the council to supplying a “minimum tonnage” of waste for 25 years to a waste-to-energy plant.
The site of the plant has yet to be announced.
Greater Dandenong is one of three councils who have yet to decide on signing up to a pre-tender contract.
Of the original 16 councils, seven have signed up – Bayside, Cardinia, Casey, Kingston, Knox, Whitehorse and Yarra Ranges.
Six are thought to have pulled out, including Glen Eira, Boroondara and Monash.
A report at Glen Eira Council stated that a majority of councils were needed to secure certainty of supply.
“If a majority of councils choose to not commit to the project, the project is unlikely to proceed.”
The council exodus was “very concerning”, Cr Memeti said.
It could hurt the project’s viability and increase costs borne by the remaining councils, he said.
He was also seeking assurances that the plant would not be located in Greater Dandenong, and that the proposed gate fee – believed to be up to $235 a tonne – would be reduced.
Currently, Greater Dandenong pays $167.66 per tonne gate fee – which is adjusted annually with CPI.
Cr Memeti was also concerned about locking the council into a 25-year contract when better technologies may surface in the next 5-10 years.
“We have to decide what’s the best thing for Greater Dandenong.”
The project aims to address a looming landfill shortage for councils in the East and South East.
Hallam landfill has an expiry date of between five and eight years, according to Greater Dandenong Council.
There are no plans to build further landfills in the South East.
SEMAWP interim chair Mick Cummins – also chief executive of Bayside Council – said the procurement was based on volumes of household rubbish rather than the number of councils.
The committed waste tonnages would help inform the design of an appropriately sized facility.
“This is a complex multi-stage procurement, and we anticipated some councils would not proceed through to award the tender.
“Councils have been given the opportunity to consider their involvement at each stage and SEMAWP Pty Ltd respects the decision of councils who have chosen to opt out of the procurement.”
Mr Cummins said a site had not been confirmed at this time.
“An advanced waste processing facility will need to be in appropriately zoned industrial land, meet local planning requirements, and have a safety distance around the facility to minimise impacts on communities, the environment and public health.”
The community would be consulted in the design and planning phases as well as the Environment Protection Authority Victoria’s development licence process.
Last year, a permit was controversially granted by EPA and VCAT to Great Southern Waste Technologies for a waste-to-energy plant in Ordish Road, Dandenong South.
Greater Dandenong Council was opposed to the facility.
However, GCWT did not make the shortlist of tenderers for the SEMAWPP.
The shortlisted applicants are Veolia Environmental Services Australia Pty Ltd, Sacyr Environment Australia and a consortium of Pacific Partnerships and REMONDIS Australia.
