A leading retirement village and aged care provider operating across multiple sites in New Zealand faced rising waste management costs and operational inefficiencies. With a strong commitment to sustainability and resident wellbeing, the organisation engaged Total Utilities to conduct a comprehensive review of their waste and recycling services.
Challenges Identified
Bin configurations were inconsistent and often not fit for purpose.
On-site equipment lacked compliance with Health and Safety regulations, posing risks to staff and residents.
Recycling signage was unclear or absent, leading to low waste diversion rates.
Rates across sites varied significantly and were not market competitive.
Collection methodologies were outdated, inconvenient, and not optimised for site layouts.
Multiple supplier contracts resulted in fragmented service and limited visibility.
Supplier account management was reactive, with poor reporting and lack of proactive engagement.
Total Utilities’ Approach
Total Utilities initiated a Waste Services RFP process, focusing on:
Site-Specific Bin Review: Evaluated bin types, sizes, and placement to ensure they were fit for purpose and aligned with actual waste generation patterns.
Health & Safety Compliance Audit: Assessed all equipment for regulatory compliance, recommending upgrades where necessary to ensure safe handling and accessibility.
Recycling Engagement Strategy: Introduced clear, consistent signage across all sites to encourage recycling and improve waste diversion rates.
Market Rate Benchmarking: Compared current rates with market standards, identifying significant opportunities for cost reduction.
Optimised Collection Methodology: Proposed changes to collection schedules and access points, improving operational efficiency and ease of use for staff.
Contract Consolidation: Streamlined multiple supplier agreements into a single, integrated contract, reducing administrative burden and improving service consistency.
Enhanced Supplier Accountability: Implemented structured account management with regular reporting, performance reviews, and proactive issue resolution.
Results Achieved
35% reduction in annual waste and recycling costs
Improved recycling rates through better signage and education
Enhanced safety and compliance across all sites
Simplified contract management and improved supplier performance
Greater visibility and control over waste operations
Conclusion
By taking a holistic and data-driven approach, Total Utilities delivered substantial financial and operational benefits for the aged care provider. The project not only reduced costs but also supported the client’s sustainability goals and improved the living environment for residents.
How Total Utilities Can Help Your Business
Since 2024, the team at Total Utilities successfully managed $24 million worth of Waste and Recycling tenders, achieving impressive savings of $6.3 million for our clients. These savings ranged from as high as 59% to an average of 26% and were made up of better contract terms as well as increased landfill diversion.
Reducing waste costs is a crucial goal for many businesses. And the good news is, you don’t have to wait until your waste contract ends to reduce costs. Here are some effective strategies to help achieve this:
Conduct Waste Audits: Regularly analyse your waste streams to identify areas where waste can be minimised. This helps set reduction targets and track progress
Implement Recycling and Composting Programs: Incorporate recycling and composting practices into your daily operations. This reduces the amount of waste sent to landfills and can lower disposal costs
Reduce Packaging Waste: Choose products with minimal and recyclable packaging. This prevents waste from being created in the first place and can significantly cut costs
Switch to Reusable Products: Use reusable bags, bottles, containers, and other products to prevent waste from disposables. This not only reduces waste but also saves money in the long run
Optimise Processes: Focus on minimizing resource usage, such as energy, water, and raw materials, by optimising processes and adopting lean production methods
Promote Reuse: Encourage the reuse of materials, equipment, and packaging within your operations. This can reduce the need for new purchases and lower waste generation
Engage Employees: Educate and engage employees in waste reduction efforts. A company-wide culture of sustainability can lead to more effective waste management practices
Invest in Technology: Consider technological advancements such as waste-to-energy systems and eco-friendly materials for more efficient waste management
Review and Refine Strategies: Continuously assess and refine your waste reduction strategies to adapt to evolving regulations and best practices
By implementing these strategies, businesses can not only reduce waste costs but also contribute to a more sustainable future.
How Total Utilities Can Help
In 2024, the team at Total Utilities successfully managed $13.7 million worth of Waste and Recycling tenders, achieving impressive savings of $3.5 million for our clients. These savings ranged from as high as 59% to an average of 26% and were made up of better contract terms as well as increased landfill diversion.
If 2024 has taught us anything, waste costs are on a relentless rise. With fewer recycling options in New Zealand and the implementation of waste levies and local authority levies, managing waste has become increasingly challenging.
In 2024, the team at Total Utilities successfully managed $13.7 million worth of Waste and Recycling tenders, achieving impressive savings of $3.5 million for our clients. These savings ranged from as high as 59% to an average of 26%.
Looking ahead to 2025
However, the current cost trajectory is clear: expenses will continue to climb with another round of waste levies starting on July 1st, municipal landfill increases, and annual price hikes from service providers. For instance, the “waste collection” producer price index increased by 5.9% between November 2023 and 2024[1].
The closure of the OJI Fibre processing plant in Auckland has added another layer of complexity. All cardboard now needs to be exported, which incurs additional freight costs to recycling destinations offshore. This change has resulted in reduced returns for both processors and clients. Oji Fibre Solutions will continue to recycle around 90,000 tonnes of cardboard annually at its Kinleith Mill[2].
Despite these challenges, there is some positive movement in the industry. The expansion and acquisitions of waste and recycling providers foster competition, especially in regional locations. Globally the waste recycling services market is estimated to grow from USD 124.23 billion in 2024 to USD 155.55 billion by 2029, at a CAGR of 4.60%[3].
How Total Utilities Can Help
Total Utilities is dedicated to assisting you in reviewing your current waste contracts, focusing on pricing, efficiencies, and diversion rates. We offer advisory services to help you evaluate your options and find solutions for increased diversions, enabling you to make informed decisions about your waste contracts.
By staying proactive and informed, you can better manage your waste contracts, optimise costs and efficiencies, and make strategic decisions for your business’s future.
Discover how Total Utilities can help you streamline your Waste Procurement, reduce costs, and provide comprehensive reporting.
