The Waste that could Help Grow a Region
Published on 02 September 2026
What if waste wasn't the end of the story, but the start of a new supply chain? In a region built on agriculture, our next valuable commodity may come from an unlikely source. A new organics processing facility in Hamilton will keep thousands of tonnes of organic material circulating in the local economy, converting waste into a product with commercial and environmental value, rather than sending it to landfill.
This model is a shift from disposal to recovery, from system of use and discard towards something much more circular. For a region relying heavily on agriculture, this opportunity is particularly significant. The same region producing volumes of organic material is home to the farms, landscapes and industries that can put those resources back to work.
Council’s new facility is designed to process more than 5,000 tonnes of organic material a year when it opens, with potential to expand to 15,000 tonnes. It also has the potential to become a regional processing hub, creating new possibilities for how organic waste is managed well beyond the Shire boundary.
For Southern Grampians Shire Council Manager Waste and Sustainability Juan Donis, the facility represents a fundamental shift in how local government should think about waste.
"We can encourage people to recycle and educate them about reuse," he said. "But we can’t force changes in behaviour. We need to change the system. We need to move towards a true circular economy, and we need to move soon."
The irony, Donis says, is the technology isn't new. Composting organic material has been possible for decades, what's changed is the business case and rethinking what happens to waste once it leaves our bins, farms and businesses.
And for Southern Grampians, this innovative approach could put this regional Council at the forefront of a much bigger transformation: one where waste is no longer the end of the story, but the beginning of something new.
A Growing Problem
Mandatory FOGO collections, rolled out in the Southern Grampians in 2020, have significantly increased the volume of organic material councils manage each year. Add to this rising fuel prices, climbing transport costs and shifting expectations for environmental projects and it's clear that pressure on local waste services is mounting.
"We have thousands of homes filling their green bins every fortnight, intensified by weekly collections during springtime," Donis said. "On top of this, our transfer stations accept thousands of tonnes of green waste from residents, the local agricultural industry, hobby farms and even Council's own parks and gardens.
"It's an enormous amount of material and processing costs go up every year. We had to stop looking at organic waste as something we pay to get rid of. We started asking what it was actually worth."
Until now, we've had to truck our organic waste more than 100 kilometres to an organics processor in Camperdown, Victoria to process it, and pay gate fees for the privilege. This is an expensive journey repeated more than a hundred times every year - removing those trips is one of the project's biggest economic and environmental advantages.
Turning a Cost into a Resource
The Hamilton Regional Livestock Exchange (HRLX) is one of Australia's busiest saleyards, with an average of million sheep and around 50,000 cattle sold each year. Historically, the manure, bedding and biological material generated there was simply another expensive waste stream requiring disposal.
Southern Grampians Shire Council see it differently; they see an untapped resource. Combined with approximately 2,500 tonnes of household FOGO collected annually, HRLX will provide another 2,500 tonnes of organic material that can be transformed into a commercially valuable product rather than buried in landfill.
When the Hamilton Organics Processing Facility opens in late 2026, it will initially process more than 5,000 tonnes of material every year, with EPA approval allowing future expansion to 15,000 tonnes. Inside the facility, carefully controlled composting processes will accelerate natural decomposition, producing certified compost and soil conditioners suitable for agricultural use.
A Regional Solution
For an agricultural region, the benefits extend well beyond Council's own operations. Most neighbouring councils currently transport their organic waste to facilities further afield, often passing through the Southern Grampians along the way.
"We have councils driving through our shire to reach existing processing facilities," Donis said. "We believe we can become a regional solution - take their waste, save them the trip, and then we sell the byproduct once the facility has finished processing it.
"We will even be able to process materials like seaweed, which presents challenges for coastal councils. That's the exciting part of circular economy thinking, you’re free to start solving regional problems instead of managing our local ones."
The shift in thinking extends to how the industry measures success.
"Twenty years ago, councils measured success by collecting waste efficiently," Donis said. "Today we're beginning to measure success by how little actually becomes waste."
Leading, Not Following
Southern Grampians Shire Council Mayor Cr Dennis Heslin believes the new facility demonstrates that regional councils can lead innovation rather than simply respond to the many changing regulations that often dominate Council work.
"Regional councils are often told that innovation happens in the cities," Mayor Heslin said. "Well, I think projects like this prove exactly the opposite. We're taking something we've always treated as a cost and turning it into an economic opportunity.
"We're reducing transport costs, creating products with commercial appeal, and building an asset with the potential to generate long-term returns for both Council and the wider community. Our stakeholders are our ratepayers, so we need to be mindful about how we spend their money and this facility lets us make better use of resources we already have.
"We’re an agricultural region. We've seen in recent years, with drought and bushfires, that if our agricultural sector suffers, we all do. Every tonne we process locally is an opportunity to support local industry and build a more resilient regional economy."
Investing for the Long Term
Every tonne of compost produced represents nutrients returning to local soils, new opportunities for local industry, and the potential to attract neighbouring councils seeking alternative processing options.
"We're a regional community," Mayor Heslin said. "That means we have to invest what we have very carefully and always think long term."
Like so many attics full of forgotten collectibles, Southern Grampians spent years watching the hidden value of its organic material packed up and trucked off to landfill. If the Hamilton facility succeeds, the shire won't be sending its fortune away in a truck anymore. It'll be returning value to the ground beneath our feet.
Council Opens the Doors on Landmark Organics Facility Ahead of Launch
Farmers, producers and agribusinesses are invited behind the scenes of one of regional Victoria's most significant waste-to resource projects.
Southern Grampians Shire Council will host a Business Breakfast and facility tour ahead of the official opening of the new Organics Waste Facility at the Hamilton Transfer Station this Spring.
The event, to be held on Thursday 17 September at the Speckled Frog in Hamilton, will give attendees the opportunity to hear directly from Council and organics technology partner Gaia Envirotech about the innovative processing system soon to begin operating at the Hamilton Transfer Station, followed by a tour of the facility.
Join us on Thursday 17 September 2026 from 7:30am – 9:00am at the Speckled Frog, Hamilton.
Bookings are essential. Register your interest here Business Breakfast and Organics Waste Facility Tour Tickets, Thursday 17 September • 7:30 AM - 9 AM | Eventbrite
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