Organics processing procurement

Increasing the recovery of organic waste is one of four key strategic objectives set down in the Metropolitan Waste and Resource Recovery Implementation Plan.

To achieve this objective an organics processing network to divert Melbourne’s organic waste from landfill has been developed through collective procurement contracts in the North West, South East and East.

Collective procurement for organic waste processing secures significant, aggregated waste volumes that encourages industry to invest in best practise processing facilities. This results in maximised economic outcomes as well as reduced environmental, community and public health impacts.

Melbourne’s organics processing network provides organics processing facilities that will have the potential capacity by 2019 to divert over 520,000 tonnes a year of food and garden waste (from both household and commercial/industrial sources) from landfill.

The Back to Earth Initiative supports these new organics processing facilities by raising community understanding of council kerbside organic recycling.


Catchments for organics procurement: (click on image to enlarge)

Procurement catchments



North and West

The Northern and Western Organics Processing Contract involves 11 metropolitan councils: Banyule, Brimbank, Darebin, Hobsons Bay, Hume, Maribyrnong, Melton, Moonee Valley, Moreland, Nillumbik and Wyndham. Veolia Environmental Services has the contract to process organic waste collected from these council areas until 2028.

Veolia has constructed Victoria’s largest and most technologically advanced organics composting facility at Bulla capable of processing 85,000 tonnes of organic waste a year. Another Veolia site at Werribee is being used as a green waste transfer station to process a further 35,000 tonnes of organic waste a year.

The North West contract has the capacity to process 120,000 tonnes of organic waste per annum.

South East

The South East Organics Processing Contract involves eight metropolitan councils: Bayside, Cardinia, Casey, Frankston, Glen Eira, Greater Dandenong, Kingston and Monash.

Three companies share the contract to process organic waste collected from these council areas until 2032. They are Cleanaway Pty Ltd, Veolia Environmental Services Pty Ltd and Sacyr Environment Australia Pty Ltd.

  • Cleanaway has constructed a state-of-the-art transfer station at Ordish Road in Dandenong South. The facility shreds, consolidates and transfers material for off-site composting.
  • Veolia operates an in-vessel processing facility at Ordish Road, Dandenong South.
  • Sacyr has constructed a fully-enclosed, in-vessel aerobic composting and maturation facility in Villas Road, Dandenong South, capable of processing up to 120,000 tonnes of organic waste per annum. This facility moved from the commissioning phase to the operational phase in November 2019. 

The South East collective contract has the capacity to process 280,000 tonnes of organic waste per annum.


The Eastern Organics Processing Contract provides for the receival and processing of organic waste from five eastern councils - Knox, Manningham, Maroondah, Whitehorse and Yarra Ranges.

  • Contracts are finalised and operational for Knox and Whitehorse Councils with Van Schaik’s Bio Gro. Bio Gro is receiving organics at its facility in Dandenong South.
  • Contracts on behalf of Manningham, Maroondah and Yarra Ranges Councils are expected to become operational in 2019-20.

The combined contracts will have a processing capacity of up to 120,000 tonnes of organic waste each year. 

Last updated: 20/05/2020