I would like to discuss:

•	Crucial role of government policy and priorities Role of Government subsidy policies;
•	Role of environmental regulation/law;
•	Priorities in resource recovery from waste streams;
•	Highest return to the nation from resources resource economics and waste (competition of waste resources with virgin resources).

Some examples:

Current GHG and renewable energy policy is resulting in large burning of organic waste while this waste would return a much greater national benefit by land application to improve land and soil management practices.  Subsidies through REC makes this practice much more profitable as organic recycling to land is not subsidised.  In Perth a plant will be built to burn 350,000 tonnes of organic waste, yet we have great problem with salinity and water shortages which this material could assist in alleviating.

Plastics are durable and hence environmentally friendly (I can explain this).  However due to the extremely low cost it is cheaper to landfill the products then wash them up and reuse them and hence we got a plastic problem in waste.  Plastic is undervalued as a material and hence wasted, while it fact it is highly valuable from an environmental and durability perspective.

Currently very low quality compost is produced from mixed municipal waste with plants that cost $50 - 100 million.  The recovered organic material is composted but has no market value (no one prepared to pay for the product) and hence it is given away when possible.  This low quality material that poses a longer term pollution threat to land, is posing a threat to private firms that produce a higher quality product but which has to be priced at $ 25-40/m3.

Waste management is full of counterproductive policies for both environmental and economic outcomes.

I look forward to discussing some issues with the Commission.

Dr. Harrie Hofstede
Managing Director
SPARTEL PTY LTD.
Environmental Solutions for a Sustainable World Murdoch University Campus South Street, Perth Western Australia 6150 www.spartel.com.au