Trade Waste Initiative

The Hon. G.E. GAGO (14:50): My question is to the Minister for Sustainability, Environment and Conservation. Will the minister inform the chamber about how the state government is helping businesses manage their trade waste and save money?

The Hon. I.K. HUNTER (Minister for Sustainability, Environment and Conservation, Minister for Water and the River Murray, Minister for Climate Change) (14:50): Of course, when you have a question like that from a former minister, you understand the importance of crafting your question very carefully and cleverly and in fact elucidating some very important information about our state, instead of making snide assertions about people not using letters anymore and telephone conversations.

We are, in this state, recognised internationally as one of the leaders in our waste management and resource recovery sectors. We currently achieve a landfill diversion rate of nearly 80 per cent and annually recover resources exceeding $270 million in value. Since 2003, the state government has invested more than $94 million, I am advised, of waste levy funds into programs and projects that have built capacity, improved markets and assisted the development of new products and skills. Last month, to further build on this state's achievements in tackling waste issues, I launched a new $5.2 million initiative to help South Australian industry improve its trade waste systems.

The Trade Waste Initiative is a two-year initiative that will help South Australian businesses improve resource management, become more efficient and reduce costs. The initiative focuses on the food and beverage manufacturing industry in South Australia in recognition that this is the largest manufacturing sector in the state, providing more than 21,000 jobs to the economy, I am advised.

This initiative is in two parts. Firstly, businesses can apply for a tailored assessment to identify opportunities for improving the way trade waste, energy, materials and water are managed within their operation. Based on this assessment, the company will receive recommendations to improve both productivity and performance. Successful applicants will receive grant funding to cover up to 50 per cent of assessment costs. In order to be eligible, businesses must be meeting trade waste volume and load thresholds, and food and beverage businesses licensed under the South Australian Environment Protection Act 1993 can also apply, I am advised.

The second part of this initiative offers SA Water trade waste food and beverage customers an opportunity to implement trade waste reduction initiatives at a lower cost. In this case, applicants must be SA Water food and beverage customers that trigger, or be close to triggering, trade waste volume and load thresholds, and they must have completed an approved resource productivity assessment or on-site technology trials to determine a trade waste solution that is well suited to the business activity and to the site.

Applicants can use the results of the assessment or the on-site trials to apply for a grant that may provide up to half of the cost of putting in place the recommended trade waste management improvements. This will help support improvements in processes, new or upgraded plant and equipment, staff training and education.

More information about the program and the eligibility criteria are available by clicking on 'Trade Waste' on the Zero Waste website. The program has received, as I understand it, quite a lot of support from the industry. Food SA CEO, Ms Catherine Sayer, has praised the program, saying that it would 'substantially help our industry to reduce costs in their businesses'. Local business person and cheesemaker Mr Claude Cicchiello, from the highly successful—

The Hon. R.L. Brokenshire: La Casa Del Formaggio.

The Hon. I.K. HUNTER: —La Casa Del Formaggio—thank you, the Hon. Mr Brokenshire—in Glynde, had this to say about the program:

We employ 100 staff and have plans to continue to grow so that state government programs such as the Trade Waste Transition Initiative is a tremendous help.

The Trade Waste Initiative is expected to pass up to $20 million in savings to SA Water customers over the next 20 years. If you think about it, when you are reducing the trade waste that is going down the sewer system and to those residential customers downstream, it is going to be a big win for them as well. It will also contribute to our world-class waste management practices and outcomes.

Our recycling rate has rapidly improved and is amongst the world's best, as I said earlier. As at June 2015 I am advised that South Australia has reduced waste to landfill by 27 per cent since 2002-03. This has enormous environmental benefits; for example, it is estimated that our resource recovery efforts in 2013-14 prevented more than 112 million tonnes of carbon dioxide from entering the atmosphere.

This is also great for our economy. The waste management and resource recovery industry is a growing sector in our state, with an annual turnover of about $1 billion, I am advised. It contributes over $500 million to gross state product both directly and through multiplier effects, and employs almost 5,000 people. This new initiative will further strengthen the South Australian economy by helping businesses become more efficient, grow and employ more South Australians.