Visitors to Rome may be forgiven for passing by Monte Testaccio hill. Whilst not a tourist attraction like so many sights in the eternal city, this hill has been known to entice certain visitors – archaeologists. For this is no hill; Monte Testaccio is actually a mound of disposed Roman pottery, one of the largest spoil heaps in the ancient world.

All of us, even the most strident environmentalist, produce waste. It is a necessary evil rooted in the laws of thermodynamics, just as true today as in Roman times. That said, we can vastly improve our relationship with the things we use. Some 4.8 tonnes of waste is generated annually per EU inhabitant, yet less than 40% is recycled. We should encourage reuse and reduce the need for consumption, moving to a circular rather than a linear economy.

Where waste is necessary, energy recovery should be prioritised before disposal, using waste-derived fuel (WDF). This is ‘residual’ waste, left over from recycling, and is typically used in waste-to-energy (WtE) plants, which use mass burn incineration to harness the waste’s energy for heating and electricity production. For example, in Sweden, where district heating serves 75% of national demand, WtE produces 17.9 TWh each year.

WDF sits at the conjunction of two societal challenges – how to deal with waste, and how to generate energy in a better way. Electricity and heat generated from WtE displaces fossil fuels, and emissions from WtE will reduce as we recycle more, and carbon capture and storage (CCS) is added. In the future, WtE with CCS could support negative emissions, thanks to WDF’s biogenic content.

Furthermore, reduced reliance on fossil fuels sourced from long distances and unfavourable regimes improves Europe’s energy security, with WDF produced in Europe being incinerated in Europe.

By contrast, landfill, where Europe still sends a third of its waste, can contribute to pollution of soil and water and results in the loss of recyclable material. Moreover, landfill releases the greenhouse gas methane, so much so that the UN has identified reduced landfilling as Europe’s largest opportunity to avoid methane emissions.

Despite this, many EU member states do not have sufficient WtE capacity. Investment in new WtE facilities could plug the gap, but long-term commitments carry risk, raising concerns about future overcapacity as people produce less waste.

The answer lies in Europe-wide, joined-up thinking: balancing WtE capacity and minimising landfill through trade in WDF. Exporting WDF for WtE and keeping it out of landfill, even over distances up to 9,000 km, has a net carbon benefit, and can also present the lowest cost. The flexibility of WDF trade allows countries time to transition to a recycling-led system unconstrained by WtE investments, while dealing with today’s waste in the best way.

The answer lies in Europe-wide, joined-up thinking: balancing waste-to-energy capacity and minimising landfill through trade in waste-derived fuel – exporting WDF for WtE and keeping it out of landfill, even over distances up to 9,000 km, has a net carbon benefit.

Given the opportunities that trade in WDF presents, policies must maximise this potential. The RDF Industry Group has released The Role of Waste Derived Fuel in the EU’s Energy and Resources Transition, which proposes three areas of focus for the incoming EU Parliament and Commission.

1. Act on landfill policy
Any waste that can be treated via WtE should not be sent to landfill, therefore a landfill ban on combustible waste should be introduced. Sufficient landfill taxes – if enforced – would also reduce waste to landfill, and these should be higher than the carbon tax.

The Landfill Directive requires the reduction of biodegradable waste to landfill, but implementation and enforcement varies, so these should be tightened up. Also, methane capture should be mandatory for all landfill, and organic waste collections should be incentivised or mandated to increase recycling.

2. Optimise taxation
The approach to taxation of WtE is fragmented, with a patchwork of national carbon taxes alongside the central EU Emissions Trading System (ETS), plus various forms of incineration and WDF import taxes in certain member states. Thus, existing taxes targeting WtE should be removed when WtE falls under the EU’s central ETS, simplifying the system and preventing double taxation.

The ETS should tax the import of fossil fuels at a higher rate than WDF imports. Similarly, carbon taxes should only apply to the carbon content of WDF, whilst heat offtake from WtE facilities should be exempt from carbon taxation. Pre-treatment of waste should also be incentivised to gather recyclable material.

3. Ensure joined up policymaking 
Achieving emissions reductions, energy security and a circular economy requires a holistic approach. This means balancing the resources of nations with insufficient and excess WtE capacity.

This joined-up approach must be reflected in policymaking; policies should be designed to avoid perverse incentives, such as landfill presenting a more economically attractive option than WtE or recycling.

To accelerate the transition towards a circular economy and an energy-secure, net-zero society, it is crucial to harmonise policies across the waste and energy sectors. By prioritising support for WDF, European policymakers can catalyse the transition towards a sustainable and carbon-neutral future.

The views and opinions expressed in this article are strictly those of the author only and are not necessarily given or endorsed by or on behalf of the Energy Institute.

• Further reading: ‘BP’s Archaea Energy brings new landfill gas plant online’. Located near Kansas City, US, the plant can process 9,600 ft³/min of landfill gas.
• The pressure is on all businesses, including manufacturers, to achieve greater cost efficiency throughout their operations. Marek Lukaszczyk, from motor and drives specialist WEG, looks at how technology and European Union regulations could help manufacturers improve motor efficiency and reduce costs.