Finance and Environmental Ministries Clash as Waste Crisis Deepens

The battle between the Ministry of Environmental Protection and the Ministry of Finance is reaching new heights. This arm-wrestling has led the professional echelon at the Ministry of Environmental Protection to block a call for proposals for the establishment of advanced waste treatment facilities, during a time of growing landfill distress.

While the industry suffers from a management crisis, Calcalist has learned that the Cleanliness Fund's money is fully earmarked, including future revenues, and there is no available budget for the construction of new facilities. About 80% of waste in Israel is landfilled—almost twice the average landfill rate in the OECD, placing Israel among the worst countries in the organization in this field. The gap from national targets is huge: the waste strategy for 2021–2030 set a reduction of landfilling to 20% and an increase in recycling to 54%—targets from which Israel remains very far.

Political Deadlock and the Waste Authority

The Ministry of Environmental Protection has consistently failed in managing the field, while changing ministers frequently alter the waste treatment strategy, cancelling their predecessors' decisions. Over the past few years, ideas have been raised to establish a Waste Authority that would take the field out of the ministry's management and political subordination, similar to the Electricity Authority or the Water Authority.

Over the last year, the Ministry of Finance has pushed for this, even presenting a draft in the last Arrangements Law that was shelved due to the opposition of Minister Idit Silman. However, last month, the minister announced: "Tremendous news for the citizens of Israel! For the first time in the country's history, a National Waste Authority will be established." This statement surprised many, as Silman had previously opposed the authority. The announcement was made before the inter-ministerial committee for the regulation of waste treatment had completed its work, where heated arguments continue between the professionals of both ministries.

Impact on Local Authorities

In a speech at a conference of local authority heads, the minister added that with the establishment of the Waste Authority, the landfill levy currently collected from local authorities would be abolished. Mayors, frustrated by the situation, have long requested the cancellation of this levy, complaining that they are forced to pay it while alternative facilities are not being built.

Silman has decided to join forces with the Ministry of Finance, but the professional echelon at the Ministry of Environmental Protection opposes this move. Consequently, a call for proposals for energy-from-waste facilities, long awaited by local authorities, was pulled. This occurred because the Ministry of Finance treated Silman's statement as a done deal, determining the financing model contrary to the position of the ministry's professional team.

Expert Perspectives

Environmental experts are critical of the situation. Prof. Adi Wolfson from the Sami Shamoon College of Engineering states: "Internal and inter-ministerial power struggles are leaving the local authorities and the citizens of Israel as hostages. If we don't release this bottleneck now, in a few years we will find ourselves with garbage in the streets." Prof. Ofira Ayalon from the University of Haifa adds that the Cleanliness Fund requires reform, noting that decisions are often made for political reasons rather than according to the fund's intended purpose.