Discussion Paper

SOIL REMEDIATION FACILITIES

April 2012

Summary

  1. There is no clear State Government policy around the need for and appropriate siting of soil remediation facilities in Victoria. Consideration of such facilities has proceeded in fairly 'ad hoc' manner through individual commercial decisions, without any overarching or coordinated recommendations from the State. A clear policy directive on what kinds of sites or locales are considered appropriate for such facilities is yet to be issued.
  2. There are tensions between the EPA Works approval system and planning permit system with regards to the determining the location of such facilities.
  3. Innova has applied and been issued with a works approval by the EPA under the Environment Protection Act 1970 (EP Act) (WA66832) on 10 May 2011. The works approval has now been appealed to VCAT by Renex Group Pty Ltd (Renex), and has been listed for a combined hearing with the planning application scheduled on 12 November 2012.
  4. Innova has applied to Hobson Bay City Council for planning permit application for a soil remediation facility located within the State significant Altona Petrochem complex precinct. The Council considered this application on 22 March 2012 and determined not to support the proposal for the following reasons.

a)  The proposal does not meet the following requirements of the SPPF within the Hobsons Bay Planning Scheme:

Clause 13 (Environmental Risks)

Clause 18 (Transport)

Clause 19 (Infrastructure)

b)  The proposed use is contrary to the vision, objectives and strategies of Clauses 21.09-2 and 22.02 of the Hobsons Bay Planning Scheme as the proposed use will not result in a high amenity Environment.

c)  The proposal fails to comply with the purpose of the Special Use 3 Zone.

d)  The proposal fails to comply with the objectives of the Industrial Land management Strategy 2008.

e)  The proposed building works will adversely affect the amenity of nearby residential areas.

f)  The proposal will lead to traffic problems in Kororoit Creek Road.

g)  The granting of a permit would prejudice the proper future planning of the area.

h)  The proposed use is not consistent with the orderly planning of the area.

This matter will also be heard before VCAT on 12 November 2012.

  1. In the circumstances, where there are a number of facilities being progressed in Victoria, but there is very little clear direction about the demand for and appropriate siting of soil remediation facilities and the permit application is refused and the decision appealed, the Council is now making an application to the Minister for Planning to have the permit application VCAT appeal and the VCAT appeal against the works approval called-in, and considered by an Advisory Committee.

BACKGROUND

  1. Although there is no published policy relating to the location of soil remediation facilities, EPA management has expressed a view that these facilities should be located in strategic locations in the east, west and north of the city.
  2. The current proposed facilities are located in South East at Dandenong (Renex and SITA), the North West at Brooklyn (Veolia) and in the West at Altona (Innova).
  3. Innova lodged a planning permit application with Hobsons Bay City Council which proposed to establish a soil remediation facility on the Dow Chemical Site in the State significant Altona Petrochemical Complex area at 541583Kororoit Creek Road, Altona. The proposal is to treat soil contaminated with hydrocarbons and organic compounds to enable reuse instead of disposal to landfill. The facility is intended to accept contaminated soil from the Dow property, other petrochemical industry sites in the Altona Petrochemical Complex and other locations from around Melbourne[1]. Hobson Bay City Council has determined not to support the Innova planning permit application on 22 March 2012 for the following reasons:

a)  The proposal does not meet the following requirements of the SPPF within the Hobsons Bay Planning Scheme:

Clause 13 (Environmental Risks)

Clause 18 (Transport)

Clause 19 (Infrastructure)

b)  The proposed use is contrary to the vision, objectives and strategies of Clauses 21.09-2 and 22.02 of the Hobsons Bay Planning Scheme as the proposed use will not result in a high amenity Environment.

c)  The proposal fails to comply with the purpose of the Special Use 3 Zone.

d)  The proposal fails to comply with the objectives of the Industrial Land management Strategy 2008.

e)  The proposed building works will adversely affect the amenity of nearby residential areas.

f)  The proposal will lead to traffic problems in Kororoit Creek Road.

g)  The granting of a permit would prejudice the proper future planning of the area.

h)  The proposed use is not consistent with the orderly planning of the area.

  1. Innova has applied and been issued with a works approval by the EPA under the Environment Protection Act 1970 (EP Act) (WA66832) on 10 May 2011. The works approval has been appealed to VCAT by a competitor, Renex Group Pty Ltd (Renex). A combined VCAT hearing with the planning application matter will now be heard on 12 November 2012.

Strategic and policy context

Introduction

  1. Until recently Victoria has not had any permanent stationary facilities to treat contaminated soil by thermal treatment technology. Such facilities (both stationary and mobile) have been used in other States and mobile facilities have been used on some remediation projects in Victoria. There are now at least four stationary thermal treatment facility projects in Victoria. Two of these projects have been given the required regulatory approvals, namely:[2]

10.1  The Renex, Dandenong South facility (Renex Facility); and

10.2  The SITA, Taylors Road, Dandenong South facility (SITA Facility).

  1. In addition, the following projects are currently in the process of obtaining the required approvals:

11.1  The Veolia Environmental Services, Brooklyn proposal (Veolia Proposal); and

11.2  The Innova proposal in Altona (Innova Proposal).

  1. Notwithstanding the recent approvals of the Renex Facility and the SITA Facility, there is currently no clear strategic direction in Victoria regarding the need and establishment of soil remediation facilities. However, some guidance can be obtained from previous Panel Reports and VCAT decision on the existing proposals, and from more general strategic and policy publications on the management of hazardous waste in Victoria.[3]

Relevant policy publications

  1. As indicated above, there is currently no overarching policy or clear strategic direction in Victoria regarding the need and establishment of soil remediation facilities. However, since the early 1990s, the treatment and management of hazardous waste has been the subject of many Government-driven initiatives, which have led to the development of a general waste management strategy which focuses on:

·  The waste hierarchy (avoidance of waste, and re-use or recycling where avoidance cannot be achieved);

·  Storage, containment or landfilling of hazardous waste as a last resort option; and

·  Focus on stewardship and cradle to grave responsibility for waste.

  1. In absence of a more detailed strategic guidance in relation to soil treatment facilities, the Municipal Association of Victoria (MAV), Hobsons Bay Council and other bodies have called for a State-wide review of the siting and operation of soil treatment facilities. The MAV made the following resolution at its State Council meeting on 28 October 2011:

'That the Municipal Association of Victoria calls on the State Government for a statewide review of the siting and operation of permanent and semi-permanent soil treatment facilities with a view to establishing a policy that identifies appropriate sites and environmental performance for these facilities, and processes to ensure ongoing independent audits and reporting mechanisms to the regulators and the community'.

  1. Hazardous Waste Consultative Committee (HWCC)

15.1  In February 1999, the Victorian Government established the HWCC to advise on the development of an industrial waste management policy with the EPA.

15.2  The waste management strategy developed by the HWCC included a policy to reduce the amount of waste going to landfills which included diverting contaminated soil to specialist treatment facilities.

15.3  The HWCC issued a report dated April 2000 (HWCC Report) which made various recommendations about the treatment of hazardous waste in Victoria, including in relation to the establishment of soil remediation facilities and criteria for the siting of and buffer distances from hazardous waste facilities.

15.4  The HWCC Report concluded that the concept of waste disposal needed to be replaced with a system focussed on waste avoidance and reuse, recycling and energy recovery, and that landfilling of hazardous waste should be "phased out".[4]

15.5  The HWCC Report identified that in 1998 contaminated soil constituted 35% of all the hazardous waste going to landfills, primarily as a result of the redevelopment of contaminated sites,[5] and identified that the introduction of soil contamination facilities would substantially reduce the amount of hazardous waste going to landfills in Victoria. The HWCC report therefore recommended that the Government encourage and facilitate the establishment of appropriately sized, designed and located soil remediation facilities to maximise opportunities for diversion of contaminated soil into legitimate forms of reuse or storage.[6]

15.6  The HWCC Report also specified siting criteria and buffer zones for hazardous waste facilities. The HWCC recognised that the siting of hazardous waste facilities should follow a selection process based on the principles of leadership by the State Government, an expression of interest process for the private sector and strong stakeholder and community engagement in the selection of appropriate sites.[7] The HWCC also concluded that buffer zones between hazardous waste facilities and sensitive uses were crucial to protect safety and amenity, and suggested a buffer zone of up to 2 kilometres may be required for soil recycling facilities.

16.  Government Response to HWCC

16.1  The Government published a response to the HWCC Report in December 2000 (Government Response), which accepted the HWCC Report recommendations with some qualifications, and approved the phasing out of landfill for hazardous waste and the development of safe and effective alternative facilities. Facilities for soil recycling were designated as a priority.

16.2  However, the Government specified that while it agreed, in principle, with the phasing out of landfilling of hazardous industrial waste, this "phasing out" was only to occur when certain conditions were met, namely, when alternative facilities were available, and conditions were such that there would be no unacceptable short term consequences arising out of the change.

16.3  The Government accepted the HWCC buffer zone recommendations with the proviso that appropriate site-specific risk assessments might lead to variations of the buffer zones in specific situations.

16.4  The relevance of the HWCC Report and Government Response were quested by the Tribunal in SITA Australia Pty Ltd and PWM (Lyndhurst) Pty Ltd v Greater Dandenong CC [2007] VCAT 156 (5 February 2007) (which related to an application to amend the permit to remedy an issue regarding legal interpretation of permit conditions for the Lyndhurst facility). The Tribunal held that the HWCC Report and Government Response were of 'limited relevance' to the Lyndhurst facility, as the conditions specified in the Government Response did not yet exist, and commented that the report is of an advisory nature only.[8]

17.  Industrial Waste Management Policy (Prescribed Industrial Waste) (IWMP)

17.1  The IWMP was developed by the EPA in close consultation with the HWCC and takes into account the key recommendations of the HWCC. The IWMP was adopted by the Government in December 2000.

17.2  The IWMP established the "waste management hierarchy" which informs all policy and regulations in relation to waste management in Victoria. The waste management hierarchy sets out the order of preference for waste management with an overall goal of reducing waste in Victoria in the following order: avoidance, re-use, recycling, recovery of energy, treatment, containment and disposal.

  1. Hazardous Waste Siting Advisory Committee (HWSAC)

18.1  Following its acceptance of the HWCC recommendations, in March 2001, the Government established the HWSAC, to specifically advise the Government on the siting for new hazardous waste and treatment facilities in Victoria.

18.2  HWSAC accepted and reproduced the siting criteria and buffer zones recommended by the HWCC.

18.3  HWSAC recommended a three step process to phase out hazardous waste going to landfills, the first stage being to establish soil recycling facilities. HWSAC explained the process for siting these facilities should be as follows:

'Expressions of interest from industry or other bodies will be sought and, after extensive consultation and assessment, a short list of potential sites will be prepared for Ministerial consideration. Applicants who successfully reach the approved short list will then need to proceed through the normal statutory processes, including substantial consultation processes, before final approvals are given'[9]. [Emphasis added]

18.4  To the Councils’ knowledge, the recommended consultation process has not been implemented, and State policy in this area has not progressed substantially since these investigations in 2002. The siting of soil remediation facilities has instead proceeded in fairly 'adhoc' manner through individual commercial decisions, without any overarching or coordinated recommendations from the relevant Ministers.

  1. Victoria’s Towards Zero Waste Strategy (Department of Sustainability and Environment, 2005) (TZW) and Metropolitan Waste Management Group (MWMG)

19.1  TZW seeks to minimise waste and maximise recycling opportunities. It sets goals for solid waste management from all sectors, including a commitment to a target of zero hazardous waste to landfill by 2020.

19.2  TZW is guided by three objectives:

·  to generate less waste;

·  to increase the amount of materials for recycling and reprocessing; and

·  to reduce damage to our environment caused by waste.

19.3  As part of the implementation of TZW, the State Government developed a partnership with Local Government, and in 2006 established the MWMG. The MWMG delivered the Metropolitan Waste Resource Recovery Strategy Plan (DSE, March 2009) (Metro Plan) which builds on the policies established in TZW. The Metro Plan aims to facilitate the transition towards zero hazardous waste to landfill by placing an emphasis on all waste streams for reuse and recycling by 2012. Whilst the Metro Plan does not directly identify soil remediation facilities, it does encourage a reduction in the number of landfills in Victoria, and encourages exploration of opportunities for producing commodities (such as remediated soil that can be reused) from recycling processes.