Updated ,first published
A heated dispute has erupted in the renewable energy sector over whether generating electricity from incinerating waste should count as clean energy, with one of the peak bodies slamming it as dirty and deceptive.
The Smart Energy Council will on Thursday release a report titled Waste-to-energy in Australia: Energy solution or problem?, which concludes that the technology is not renewable, not clean and has high emissions.
Smart Energy Council chief executive David McElrea said it was unfair that waste-to-energy projects were receiving funding intended to promote “truly renewable technologies such as solar and wind”.
“It’s dirty energy, it’s the next dirtiest after coal – and that’s when they actually know what they’re burning, and often they don’t,” McElrea said. “It’s bad for climate change, bad for the environment and should not be described as renewable.”
McElrea said the facilities made most of their money from gate fees rather than electricity generation, which proved it was “waste-washing” or “waste disposal dressed up as an energy source”.
The first operational waste-to-energy plant purpose-built to take municipal waste as well as commercial and industrial waste was Kwinana Energy Recovery in Perth, which opened last year. The project received funding from the Australian Renewable Energy Agency (ARENA) and the Clean Energy Finance Corporation (CEFC).
Gayle Sloan, chief executive of the Waste Management and Resource Recovery Association of Australia, which represents the waste and recycling sector, said she was “pretty horrified” by “a very poor report” that used outdated information and ignored evidence from the NSW chief scientist, who told a recent state government inquiry that generating energy for non-recyclable waste was preferable to landfill, subject to strict oversight.
“We advocate that energy-from-waste is higher on the hierarchy than landfill and we should be capturing the energy from that rather than creating the methane by putting it in landfill,” Sloan said.
Waste-to-energy (or energy-from-waste) plants have been used in Europe for more than a century. Australia has a number of facilities that use industrial or agricultural waste, such as sugar processing or paper mills, but there is a fresh push to use municipal waste because of the growing pressure on landfill.
An ARENA spokesperson said in assessing whether a waste-to-energy project was renewable, biomass fuel such as forestry, agricultural and food byproducts was generally treated differently to “mixed waste streams that contain significant amounts of fossil-fuel-derived materials such as plastics”. The agency confirmed it had supported both biomass and waste-to-energy projects, including Kwinana, based on their merits. The CEFC declined to comment.
The report commissioned by the Smart Energy Council lists 15 waste-to-energy facilities in the pipeline around Australia. There are two in NSW – one in Parkes in the Central West and one in Tarago near Goulburn, plus another in western Sydney that was withdrawn – and up to six in Victoria, mostly in Melbourne.
Sloan said many of the Victorian proposals were at concept stage because the state has a longstanding cap on the volume of non-recyclable residual waste that can be burned for energy. The industry opposes the cap, and over several years has successfully lobbied to increase it from 1 million to 2.5 million tonnes a year.
The list in the Smart Energy Council report also included some existing or proposed facilities to deal with industrial or agricultural waste, Sloan said.
Waste-to-energy facilities have been hugely contentious, with community concern running hot over pollution and potential health impacts. Sloan said Australia had some of the most stringent environmental regulations for the energy source in the world.
However, the report says claims that waste-to-energy is a low-emissions power source did not stack up because the emissions intensity was higher than grid average.
The European Union recently said it would start charging waste-to-energy generators for the carbon dioxide they generate. While Reuters reports the proposal is opposed by the European industry, Sloan downplayed its significance, saying that including the sector in the EU’s emissions trading scheme had been discussed for years.
The report says the argument that incinerating rubbish for electricity avoids emissions from rotting landfill ignores the fact that landfill gas extraction can capture more than 80 per cent of the methane generated at a tip and use it for electricity. This is done by laying pipes into and across the landfill site like mining a gas field.
“Landfill gas obviously is a positive and does [create] energy but landfill gas relies on organics into landfill, and we’re actually taking organics out of landfill – the national target is 50 per cent diversion of organics by 2030,” Sloan said.
Kwinana Energy Recovery was commissioned in 2024 and officially opened in November 2025. Jose Sorto, general manager mechanical and electrical at Acciona, said the facility provided “real-world operational evidence” for the benefits of the technology.
“The facility has diverted 500,000 tonnes of waste from landfill, generated enough electricity to power around 60,000 homes, and recovered thousands of tonnes of metal for recycling, all while operating within one of the most stringent environmental regulatory frameworks in Australia and the world,” Sorto said.
It was up to government how to define renewable energy, and up to ARENA and CEFC what to fund, he added.
Veolia is one of the biggest waste-to-energy operators globally, with 65 facilities around the world. It is part of the Maryvale consortium in Victoria and has a well-advanced proposal to build a waste-to-energy facility at its Woodlawn site in Tarago in NSW.
A Veolia spokesperson said energy from waste was “an essential part of the circular economy”, and countries with modern waste-to-energy facilities generally had higher recycling rates. Even the most advanced landfill gas-capture technology did not capture all methane – a greenhouse gas at least 20 times more potent than carbon dioxide, the spokesperson said.
The Clean Energy Council, another peak body for the renewables sector, declined to comment.
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Disclaimer : This story is auto aggregated by a computer programme and has not been created or edited by DOWNTHENEWS. Publisher: www.smh.com.au




