Local Organics Processing Facility to be Built in Hamilton

Published on 15 May 2025

Southern Grampians Shire Council will take a lead in sustainable practices with Council deciding at last night’s ordinary meeting to progress an onsite Organics Processing facility located in the Southern Grampians.

Gaia Envirotech PTY LTD will be engaged to deliver the project, after an EOI process initiated 12 months ago saw them provide a feasible alternative to reduce green waste transportation costs and reliance on non-local facilities.

Food and green organics, as well as the effluent waste resources from Hamilton Regional Livestock Exchange (HRLX) will be repurposed into commercially certified compost, to reduce projected Council costs and meet EPA and relevant standard compliance requirements.

Southern Grampians Shire Council Mayor Dennis Heslin said Council staff have been working on determining accurate waste and costings figures across the last 18 months, with Council confirming the best way forward in meeting sustainable and climate control targets.

“Over the past 18 months, officers within Council have collaborated to determine accurate HRLX effluent volumes, operational practices, environmental protection requirements and have engaged with various external parties to research alternative, sustainable waste processing options,” said Cr Heslin.

“Council would spend up to $700,000 annually on transport and processing costs alone if the material, including HRLX dry effluent, was shifted offsite to Camperdown equalling approximately 6,000 tonnes of organic waste.

“We have the space at the Hamilton Transfer Station so it makes a lot of sense to see what we can achieve right here within the Shire and start working on bringing more industry, and certainly innovative industry, to our region.

“We also have a ready-made market for high-quality compost in our agriculture and farming sector, so investing into this infrastructure to create a useable product and generate income back into the community is a smart, win-win solution.”

Gaia have worked on similar projects on a smaller scale in Ararat Rural Council and Hepburn Shire Council, with Southern Grampians looking to have the largest number of units built and installed for a regional Council so far.

Southern Grampians Director Infrastructure and Sustainability Marg Scanlon said the technology to be used is innovative in its design and has the capacity to process over 7,000 tonnes of organic materials.

“We are looking to install seven enclosed in-vessel rapid composting units with opportunity to increase the number of units as demand increases and a large container where the composting process will occur,” said Ms Scanlon. “The risk of land contamination via this process is low with minimal odour released which is extremely important to Council with the Transfer Station located within the Hamilton township.

“We will have a two-tiered contamination check protocol to ensure the waste entering the units make compost that reaches Australian standards. There is still a way to go to get this facility operational which we aim to achieve over the next 12-18 months conditional on obtaining relevant EPA licences.”

The proposed arrangement includes a service agreement for a period of seven years for a total value of up to $6,551,169 (ex GST) with an option to terminate the contract, should the initiative fail to demonstrate the projected financial and material returns to Council.

“For those thinking the service agreement figure is on the larger side, this costing accurately reflects the current pricing for organic waste disposal at other facilities,” said Cr Heslin.

“By installing this infrastructure, over time we estimate achieving annual savings between $150,000 and $200,000, and creating a more sustainable management model for FOGO and green waste generally.

“A huge number of projects to improve sustainability not just limited to our waste management have been developed over the last few years” concluded Cr Heslin. “With netting installed and the new sorting bunkers built at the Hamilton Transfer Station, partnered with our latest waste education program filtering across the Southern Grampians, Council will continue to focus on providing greener solutions for the benefit of all residents.”