Lessons for a viable water recycling industry

The platform on which the Labour government came to power in Australia in November 2007 included a policy of setting a national wastewater recycling target of 30% by the year 2015. A similar target-based approach was followed by the solid waste recycling industry in Australia the policy of which focused on supply and did not adequately acknowledge the price competitiveness of the product and its demand. This paper highlights the lessons from the solid waste recycling industry and applies them to the water recycling sector. A sound water pricing regime that reflects the true costs of water and a competitive water industry is offered as a better policy alternative to setting recycling targets.