Energy from waste Regulation: frequently asked questions
Recovering energy from waste is a legitimate and necessary residual waste management option where it delivers positive outcomes for the community and the environment. The NSW Government supports energy recovery where it makes sense to do so and where it is used to manage genuine residual waste, not as an alternative to waste reduction or recycling.
The Regulation adopts a strategic approach to the role of energy from waste infrastructure to ensure it protects the environment and human health into the future, and maximises efficiencies for waste innovation, management, and energy recovery.
All energy from waste proposals, regardless of location, are still required to comply with environmental and planning laws, including the Energy from Waste Policy Statement (PDF 400KB).
The changes are being made to give effect to the strategic direction and principles outlined the NSW Government’s Energy from Waste Infrastructure Plan (PDF 930KB). The changes will ensure that:
- communities and industry have certainty around acceptable locations for energy from waste in NSW
- energy from waste infrastructure is situated in designated locations in NSW to maximise efficiencies in infrastructure, waste management, innovation and energy recovery.
- energy from waste plays a sustainable role as NSW transitions towards a circular waste and resource recovery framework.
Changes are being made to give effect to the NSW Government’s Energy from Waste Infrastructure Plan, released in September 2021. As part of the strategic approach adopted by the NSW Government, energy from waste facilities, subject to limited exceptions, will only be permitted to operate in the four designated precincts identified below:
- West Lithgow Precinct *
- Parkes Activation Precinct
- Richmond Valley Regional Jobs Precinct and
- Southern Goulburn-Mulwaree Precinct.
*Note that the gazetted map for the West Lithgow Precinct has been revoked.
Outside of the designated precincts, energy from waste will only be permitted where:
- an activity has been specifically excluded from the definition of ‘thermal treatment’ in the Regulation (including activities such as autoclaving, thermal treatment of biosolids and thermal treatment of waste plastic for genuine plastic recycling), or
- it was lawfully established and operating before the commencement of the Regulation, or
- using waste would replace a less environmentally sound fuel being used to power existing industrial or manufacturing processes on site.
All energy from waste proposals, regardless of location, are still required to comply with environmental and planning laws, including the Energy from Waste Policy Statement (PDF 400KB).
The NSW Government will assess the need for additional energy from waste capacity by 2025, and again by 2030. If required, additional energy from waste priority infrastructure areas will only be considered where they meet the principles set out in the Energy from Waste Infrastructure Plan (PDF 930KB) within the following areas:
- former mine premises
- former thermal electricity generation premises
- an Activation Precinct
- a Regional Jobs Precinct.
Subject to the outcomes of these needs analyses, additional priority infrastructure areas in which energy from waste facilities are permitted to operate may be published in the NSW Government Gazette. Outside of this process, proposals for additional priority infrastructure areas or facilities will not be considered.
Maps of the Richmond Valley Regional Jobs Precinct and Southern Goulburn-Mulwaree Precinct are on the energy recovery facilities page.
There is no West Lithgow Precinct map. The West Lithgow Precinct map was revoked by gazettal on Friday 21 October 2022.
The Parkes Activation Precinct is defined in Schedule 1 of the State Environmental Planning Policy (Precincts – Regional) 2021.
It is no longer necessary to identify the West Lithgow Precinct by map following withdrawal of Energy Australia’s State Significant Development application for an Energy from Waste facility in the Precinct. This was the project covered by the West Lithgow Precinct, and the NSW Government has determined that it is no longer necessary to identify the precinct in the NSW Government Gazette.
The West Lithgow Precinct will remain a priority infrastructure area as outlined in the NSW Government’s Energy from Waste Infrastructure Plan and under the Protection of the Environment Operations (General) Amendment (Thermal Energy from Waste) Regulation 2022. The map may be updated from time to time to accurately reflect the planning status of proposals in the West Lithgow Precinct.
No. The changes do not apply to any facilities that currently use energy from waste for approved and operational needs as at 8 July 2022.
The changes also do not apply to facilities recovering energy from a waste or waste-derived feedstock that is listed as an eligible waste fuel, under section 3 of the NSW Energy from Waste Policy Statement (PDF 400KB) and defined in the Eligible Waste Fuels Guidelines.
The changes will apply to any facility not approved and fully operational as at 8 July 2022 that is required to be licenced under the Protection of the Environment Operations Act 1997 and carries out thermal treatment of waste involving or resulting in energy recovery.
Initial priority areas for energy from waste have been identified, See question 2 above. Additional priority areas may be identified in the future, depending on whether additional energy from waste capacity is required in NSW to manage residual waste.
Analysis to assess the need for additional capacity will be undertaken by 2025 and 2030, in line with the NSW Waste and Sustainable Materials Strategy 2041 targets.
If required, additional energy from waste priority infrastructure areas will be considered where it meets the principles set out in the Energy from Waste Infrastructure Plan in the following areas:
- former mine premises
- former thermal electricity generation premises
- Activation Precincts
- Regional Jobs Precincts
Outside of this process, proposals for additional priority infrastructure areas or facilities will not be considered.
Yes. All energy from waste facilities which fall within the scope of the NSW Energy from Waste Policy Statement (PDF 400KB), regardless of their location, must comply with the policy. This includes the requirement to demonstrate supply of feedstock in accordance with the resource recovery criteria. The policy requires proponents to use international best practice technology and meet stringent air emission limits.
All proponents must demonstrate compliance with the policy, as well as all environmental and planning law requirements.
The changes apply to all facilities seeking to carry out energy from waste that are not fully approved and operational as at 8 July 2022, including those that are currently in the planning system.
Not all facilities undertaking the thermal treatment of waste are captured by the changes. Certain activities are excluded from the Regulation’s definition of thermal treatment and will be able to lawfully continue operating throughout NSW. These activities have been excluded as they are considered necessary waste management treatments or genuine recycling activities.
Under Schedule 1 of the Protection of the Environment Operations Act 1997, the thermal treatment of waste for destruction or disposal is permitted in limited circumstances to allow for the management of waste types that pose a risk to human health and the environment or are not suitable to be sent to landfill or recycled. The EPA does not support the thermal treatment of waste involving mass-burn for destruction or disposal.