Council awards $40m solid waste management contract

Published: 22 May 2025

Ashburton District Council has awarded its solid waste management contract to Christchurch-based waste management company WasteCo.

The $40 million contract involves kerbside rubbish and recycling collection, running the district’s resource recovery parks in Ashburton and Rakaia, and operating school and rural recycling drop-off sites.

The contract is for nine years, with an option to extend another nine years.

Mayor Neil Brown said it was Council’s longest and largest contract, and Council had evaluated three tenders as part of the selection process.

“The contract start date is not until 1 September 2026, but a long lead-in time is needed to allow for a smooth transition and to introduce a new food and organic kerbside collection service to residents.

“WasteCo will need to source new green bins and prepare to have a fleet of trucks ready for the start of the contract next year.

“This is a significant contract as almost every household in the district uses solid waste services, whether they put their bins out at the kerb or visit a rural drop-off or recovery park, and it needs to run smoothly while representing the best value for money for ratepayers.”

WasteCo Chief Executive David Peterson says the company is thrilled with the outcome and is the first major waste contract awarded to WasteCo in the Canterbury region and marks a significant milestone in the company’s continued national growth.

“We are excited to partner with Ashburton District Council and to work closely with the Ashburton community,” he said. “This contract allows us to deliver innovative, future-focused waste solutions that will enhance service delivery, environmental performance, and community outcomes.

“This contract will support 23 full time employees, and we will buy nine new collection vehicles and associated plant. It will start from 1 September 2026.”

The contract includes kerbside collection of general refuse, recycling, and a new Food Organics and Garden Organics (FOGO) service, which will be introduced to 12,300 households. WasteCo will also manage public place litter and recycling bins, event waste services, illegal dumping, and the full operation of two Resource Recovery Parks, 13 recycling drop-off sites, and services for 21 schools across the district.

Mr Peterson said a key reason WasteCo secured the contract was its strong focus on technology, innovation, and the ability to provide Council with real-time data and performance reporting through the industry-leading WasteTrack system by 3Logix.

The contract will see the introduction of:

  • Weekly FOGO bin collection using smart trucks with bin-weighing technology
  • Real-time GPS tracking and performance monitoring
  • Enhanced contamination reporting and customer self-service tools
  • A new Re-Use Shop at Ashburton RRP to support waste diversion and community initiatives

“We see this contract as a platform to drive further growth in the Ashburton region while supporting the district’s sustainability and waste reduction goals,” Mr Peterson said. “At WasteCo, we believe waste management should be about more than collection, it’s about building a resilient, circular economy that benefits everyone.”

As a Toitū Enviromark Diamond-certified provider and member of WasteMINZ, WasteCo is committed to environmental stewardship and best-practice waste solutions. The company will also explore solar power options for Council facilities and invest in hybrid and electric fleet options over the life of the contract.

All collected recyclables will be processed through nominated facilities in Christchurch and Timaru, while residual waste will be transported to Kate Valley via Council’s contracted transporter.

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