The way businesses handle waste in New South Wales is about to change forever. With Greater Sydney’s landfill capacity expected to be exhausted by 2030 or sooner, the NSW Government has officially passed the Protection of the Environment Legislation Amendment (FOGO Recycling) Act 2025.

Starting from 1 July 2026, a wide range of businesses will be legally required to separate Food Organics and Garden Organics (FOGO) from their general waste. This isn't just an environmental choice—it's a legal obligation with significant consequences for those who aren't prepared.

The Phased Rollout: When do you need to comply?

The mandate is being introduced in stages based on your business's weekly residual waste (red lid bin) capacity. It is calculated by the size and number of your bins, not the weight of the waste inside.

  • 1 July 2026: Businesses generating ≥ 3,960 L of weekly residual waste.

  • 1 July 2028: Businesses generating ≥ 1,980 L of weekly residual waste.

  • 1 July 2030: Businesses generating ≥ 720 L of weekly residual waste.

Who is Impacted?

If your business prepares or serves food or drink, you are likely affected by this new Act. The list includes:

  • Supermarkets and Large Grocery Stores

  • Cafes, Restaurants, and Food Courts

  • Hotels, Motels, and Registered Clubs

  • Hospitals and Aged Care Facilities

  • Schools, Childcare Centres, and Universities

  • Correctional Facilities and Government Institutions

The Cost of Ignoring the Law

The NSW Government is taking compliance seriously. Monitoring will be conducted by the EPA and local councils, and the penalties for non-compliance are heavy:

  • Fines of up to $500,000 for businesses and councils.

  • Ongoing penalties of $50,000 per day for continued breaches.

  • On-the-spot fines of $5,000 for immediate violations.

  • Large supermarkets face additional fines of $250,000 for failing to report surplus food donations.

How Compostar Can Help Your Business Prepare

Transitioning to a FOGO-compliant system can be complex, but Compostar is here to make it seamless. We are experts in organic waste management in NSW, and we provide the infrastructure and products needed to stay compliant while reducing your environmental footprint.

Compostar can support your facility with:

  • Waste Audits & Right-Sizing: We help you determine the exact size and number of bins you need to minimize waste levies and meet legal requirements.

  • Certified Compostable Solutions: Our AS 4736 certified bin liners are fully approved for industrial FOGO processing, ensuring your waste is turned into valuable compost rather than sitting in a landfill.

  • Staff & Customer Education: We provide the resources to train your team on correct waste separation, reducing contamination and avoiding fines.

  • Streamlined Reporting: Access our Client Portal for 24/7 data on your environmental impact and service history.

Don't wait until the 2026 deadline to audit your waste. Understanding your obligations today will keep your business ahead of the changes and protect your bottom line.

Contact Compostar today for a professional FOGO consultation and ensure your business is ready for the future.