Despite a $34.9 million investment from the state government to strengthen the recycling industry last week, the City of Ballarat is still "frustrated" at the lack of investment in the Ballarat All Waste Interchange Facility proposal.
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Councillors echoed a report from the Victorian Auditor-General damning the lack of an state-wide recycling policy.
Last week, councillors Ben Taylor and Grant Tillett said in a statement the facility would bring "significant regional benefits".
"The recycling challenges we are facing will not change in the short term," Cr Taylor said.
"Support has not been forthcoming, there is a dearth of public policy to support these initiatives."
Cr Tillett added $5 million has been invested by council already for the project, but it could not proceed without the state government.
"An AWIF will deliver dramatic environmental and economic benefits around the region, facilitating greatly reduced waste management costs and carbon emissions," he said.
"The facility will sort and process a wide range of solid waste streams from the Ballarat municipality, Grampians West Regional Waste Group partners and other local government and industry groups, creating a positive commercial opportunity."
The Victorian Auditor-General concluded in a recent report that Victorian agencies responsible for managing the waste sector are "not responding strategically to waste and resource recovery issues".
However, last week's state government's funding announcement, with money separate to the Sustainability Fund analysed by the Auditor-General, includes money for sorting and remanufacturing capabilities, as well as $13.8 million in incentives for new entrants to the recycling market.
Councils will receive support for business plans and the Landfill Levy will be reviewed.
The Essential Services Commission will review recycling services in Victoria, to look at whether the sector should be regulated as an essential service, in the way that the water and energy sectors are regulated.
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