Melbourne Energy & Resource Centre
Melbourne Energy & Resource Centre
Join us for online and in-person information sessions on the proposed Melbourne Energy and Resource Centre in Wollert.
We welcome all questions and are here to answer them.
By 2053 Victoria is forecast to send an estimated 8.9 million tonnes of waste to landfill each year*. Victoria needs a number of facilities across the State to support waste disposal each and every day. The total amount of waste for disposal (after resource recovery and recycling) is currently 5.7 million tonnes per year, which is projected to increase to around 8.9 million tonnes per year by 2053.
That’s enough to fill almost 5,000 Olympic size swimming pools or 9.5 MCGs, every year.
We now face a critical choice: keep sending most residual waste to landfill, or reserve valuable landfill space for materials with no other treatment options.
*Source: Victoria’s waste performance and projection model dashboard , Victorian Recycling Infrastructure Plan.
The challenge
Residual waste is the general waste we put in the bin after we have reduced, reused and recycled. It also includes residual commercial waste from industrial and demolition sources. Currently, all of Victoria’s residual waste is being sent to landfill.
The Victorian government is taking steps to decrease the materials currently being sent to landfill such as Food Organics and Garden Organics, as part of the Victorian Government’s Circular Economy Policy and Plan. However, there will always be waste that cannot be avoided, reused or recycled.
For that reason, the Victorian Circular Economy Policy and Plan and Victorian Waste-to-energy Framework acknowledges the role of waste-to-energy, for the recovery of energy and other resources from residual waste, through the Victorian Waste-to-energy Framework.
About the Melbourne Energy & Resource Centre
The Melbourne Energy & Resource Centre (MERC) is designed to take residual waste that would otherwise go to landfill. It will create energy to power local homes and create valuable materials such as ash and metals.
In August 2025, Cleanaway received a cap licence from Recycling Victoria allowing the Melbourne Energy & Resource Centre (MERC) to process up to 760,000 tonnes of residual waste each year. In 2023 when the project was first proposed, Cleanaway considered a 380,000 tonnes per year capacity. This new increase makes the project more economically and operationally viable, allowing MERC to deliver greater environmental benefits, lower waste management costs, and improved energy recovery at scale.
Watch the video to see how the MERC will operate.
Project facts
- The MERC will be located on 510 Summerhill Road Wollert.
- The site is located in an area designated for employment related industrial land uses. There is more than a 1km buffer distance between residential housing and the proposed site.
- The MERC will process 760,000 tonnes of waste each year, taking 13% of Victoria’s waste from landfill.
- The MERC will produce energy to power 140,000 homes and businesses and recover 200,000 tonnes of ash and metal resources otherwise sent to landfill.
- Approximately 330 trucks will come and go from the facility each day along an upgraded Summerhill Road.
- 99.9% of the flue gas produced by the MERC will be gases that naturally exist in our air, including oxygen, carbon dioxide, nitrogen and water vapour.
- The MERC will employ around 800 people over the course of construction and up to 50 people during normal operation.
- The MERC will be a catalyst for establishing Northern Quarries as a strategic employment and industrial economic development area.
(Pictured: An artist’s impression of the proposed MERC facility)
How waste-to-energy facilities work
Cities across Europe, America, Japan and many other developed countries use waste-to-energy facilities to recover energy and other valuable resources from material that cannot be recycled and would be destined for landfill. Cleanaway is proposing to build a waste-to-energy facility here in Victoria, using leading-edge technology that is proven.
Download this brochure to read more about the proposed Melbourne Energy and Resource Centre (MERC).
Learn more about the proposal
The Melbourne Energy & Resource Centre (MERC) will include a range of environmental controls and safeguards to reduce potential impacts on people and the environment.
Cleanaway is committed to meeting or exceeding all environmental regulations and standards, and to operating the MERC with the highest levels of environmental safety, transparency, and monitoring.
To learn more about the proposed controls and safeguards of the MERC, please read Cleanaway’s Melbourne Energy & Resource Centre Development Licence Application on Engage Vic: Cleanaway Operations Pty Ltd (APP024914) | Engage Victoria
Air quality standards
The facility must meet strict air quality standards set by the Environment Protection Authority (EPA), which means it can only release very low levels of pollutants such as nitrogen oxides, dioxins and heavy metals. These limits are designed to protect human health and the environment.
Pollution controls
To meet these standards, MERC will use advanced air pollution control technology. This includes filters and scrubbers that remove dust, harmful gases and toxic substances from the air before it is released through the stack.
Real time monitoring
Air emissions will be continuously monitored in compliance with relevant regulatory requirements. The data collected will be shared with the EPA and made publicly available online, so that the community can monitor compliance of the facility.
Safety shutdown systems
The facility will also have safety systems in place to shut down operations automatically if pollution levels rise above acceptable levels or if any equipment fails.
Managing odour, noise and traffic
To manage other impacts, the facility will use sealed areas and ventilation systems to prevent odours from escaping. Noise will be reduced through barriers and building design. A traffic management plan will be used to limit heavy vehicle movements and reduce congestion on local roads.
Water and waste management
Rainwater on the site will be collected and treated before being reused or safely discharged. Waste produced by the facility, such as ash, will be handled carefully and partly recycled, with only a small amount going to landfill. Limited water will be required for the process and the facility will not discharge process wastewater.
Environmental protection planning
Cleanaway must also prepare and follow an Environmental Management Plan that shows how it will protect surrounding land, waterways and wildlife. This plan will be reviewed regularly and overseen by the EPA.
Health risk assessments
Independent health risk assessments have been carried out and found that the facility poses low risk to human health if all controls and regulations are followed.
Locating waste-to-energy facilities near population areas that produce waste, like residential communities and businesses, reduces the need for long-distance waste transportation and allows the resources (such as energy) recovered from waste to be used locally.
The site in Wollert was chosen because it met several important criteria:
Planning policy support
Since 2012, plans have identified parts of Wollert as suitable for employment and utility development. As shown in the Victorian Planning Authority’s (VPA) 10-year plan for Melbourne’s greenfield areas, the location of 510 Summerhill Road aligns with the intended industrial use for the Melbourne Energy & Resource Centre (MERC). The Whittlesea Planning Scheme also places this site within the “Northern Quarries Investigation Area,” which is meant for employment-focused developments.
Distance from residences
Most nearby homes, schools, and future residential areas are located greater than 1 km away from the proposed MERC site, with only one dwelling closer than this. This distance helps reduce impacts to local residents.
Limited other development options
The site’s location next to three quarries makes it unsuitable for residential or other sensitive uses due to buffer zones required around the quarries.
Connection to local industry
The proposed site is located close to developing industrial areas, like the area identified within the Craigieburn North Precinct Structure Plan, where businesses might benefit from using the energy, steam, or recovered materials generated from the MERC process. Additionally, established industrial facilities in nearby areas, such as Campbellfield, could also provide services that the MERC will need when operational.
Freight and road access
The site is close to the Hume Freeway, accessible via Amaroo Road. Plans are being discussed to further strengthen Summerhill Road to support the transportation of waste and resources to and from the facility. Importantly, the route to the MERC does not pass through residential areas.
These factors contributed to the decision for the project’s location aligning with Victoria’s long-term waste management and environmental goals.
Economic benefits
Cleanaway will make a major investment in constructing and operating the Melbourne Energy & Resource Centre, delivering a substantial boost to local and regional economic activity. If approved, the MERC will create an estimated 800 jobs during the 4-year construction and commissioning of the facility and will support 50 long-term skilled operational roles to run the facility once constructed.
Waste-to-energy provides a competitive waste management alternative to landfill that future-proofs Victorians from progressive waste levy increases. Since 2020, the waste levy has increased from $65.90 to $169.79 per tonne in 2025. This means Victorians are paying more for waste disposal to landfill, charged through their Council rates. Delivery of the MERC will provide greater cost certainty to Councils and businesses by eliminating the impact of future levy increases, and the savings could be passed on to residents and businesses through a reduction in Council’s rates.
Community benefits
Cleanaway is in the process of establishing a Community Benefits Fund to support community initiatives across Wollert and the northern suburbs of Melbourne. Importantly, the fund will be administered by the community, for the community. For this reason, a dedicated Stakeholder Reference Group has been put in place to and will report on community priorities and identify suitable project opportunities for discussion with the MERC. The Fund will be available for community initiatives that contribute to:
- Environmental projects, including tree planting, heat reduction, waterway revitalisation, and the connectivity of green spaces.
- Sporting infrastructure, including upgrades to facilities e.g. lighting at women’s sporting facilities.
- Community recreation including projects that benefit recreation spaces.
The MERC facility will include a Visitor and Education Centre, where the community can visit the site and learn about the circular economy, recycling, resource recovery and waste-to-energy. The facility will be open for public visits and tours around the facility. Cleanaway is keen to hear from the community about the programs you would like to see in this Visitor and Education Centre.
Environmental benefits
The Melbourne Energy & Resource Centre (MERC) will divert up to 760,000 tonnes of waste that cannot be recycled from landfill each year. The MERC is intended to generate approximately 80 megawatts of net electricity, for export to the grid, to power around 140,000 homes and businesses. The MERC will enable the recovery of metals that will be recycled and aggregates suitable for a range of construction applications.
All waste-to-energy facilities release carbon dioxide. However, it is estimated the MERC will result in a net reduction of greenhouse gas emissions equivalent to 100,000 cars off our roads each year. This reduction is achieved in two ways:
- The reduction of methane generated from waste disposed of to landfill. Methane has 25 times more global warming potential than carbon dioxide so reducing methane has significant environmental benefits.
- The MERC will generate baseload electricity, which will displace carbon dioxide released through fossil fuel-based electricity generation.
Community engagement for the proposed Melbourne Energy & Resource Centre (MERC) has taken place over several years, beginning with early stakeholder discussions in 2021 and progressing through formal consultation and public submissions in 2023 and 2024.
The engagement process has included community information sessions, opportunities to provide feedback on planning and environmental applications, and formal forums for raising concerns. The timeline below outlines the key milestones in this engagement process and highlights the main themes and issues raised by the community.
Since 2021 – Site selection and project design
Cleanaway began stakeholder engagement with a broad range of participants—regulators, local councils, affected landowners, Traditional Owner groups, industry bodies, and government agencies. A dedicated project website and information resources were launched in December 2022 to make details available publicly.
Early 2023 – Community engagement
Cleanaway held several online and in-person information sessions, including online webinar briefings (February and March 2023) and community drop-in events in Craigieburn and Wollert. This stage focused heavily on raising early awareness and explaining project basics such as waste processing and local impacts.
March 2023 – Technical studies finalised
Technical assessments were prepared by Arup and others—including noise/vibration, hydrology, socio-economic impact, visual effects, and traffic reports. These provided detailed environmental and planning data to inform formal applications.
May 2023 – Planning permit application submitted
Cleanaway submitted its planning permit application (PA2302234) to the Victorian Department of Transport and Planning, initiating the formal planning assessment process.
Late 2022 / Mid 2023 – Development licence application submitted
Cleanaway submitted its development licence application (APP024914) to EPA Victoria under the Environment Protection Act. This launched an official public consultation under EPA’s processes.
24 February – 14 April 2024 – Public exhibition
Formal public exhibition period for the EPA Development Licence application, with 764 submissions received, nearly all opposing the project. Specific issues were raised in a 16-page submission from Climate Action Merri Bek on 17 April.
2 and 6 March 2024 – Public exhibition of proposal and technical assessments
Two EPA-hosted information sessions, one in-person at Wollert and one online, introduced the development licence application to the public and allowed questions about the project’s environmental aspects.
20 and 25 June 2024 – Conference of Interested Persons
EPA ran two Conferences of Interested Persons (COIPs)—one in-person, one online—facilitated independently. These allowed concerned residents to present directly to EPA and Cleanaway and raised detailed local and technical concerns.
7–22 November 2024 – Request for Information
EPA issued Requests for Information seeking further technical clarifications on emissions, health risk assessment, stormwater, noise, and submissions prompting a second formal feedback cycle.
Late 2024 – Public exhibition extended
The second submission period opened on amended or additional project information, running until 19 November. This allowed stakeholders to comment on responses to the RFIs and updated technical documentation.
The Stakeholder Reference Group (SRG) for the Melbourne Energy & Resource Centre (MERC) was established by Cleanaway in late 2023 in response to strong community interest and feedback gathered through earlier engagement activities.
Its purpose is to ensure a two-way dialogue where Cleanaway can share updates and receive meaningful input on the proposed MERC and formation of a Community Benefits Fund. As an advisory body, not a decision-making one, the SRG enables community members, local organisations and agencies to raise questions, identify local priorities, and reflect the diversity of views in the area.
The SRG plays an important role in promoting transparency, strengthening community partnerships, and ensuring that local voices are heard and considered throughout MERC’s development and operation.
If you are interested in joining the SRG, contact us at:
Direct: (03) 9021 0603
From early discussions in 2021–2022 to formal submissions in 2024 and beyond, the consistent issues raised were:
Health and environmental risk
Concern about pollutants (e.g. dioxins, PFAS, heavy metals, microplastics), local air and water quality, and nearby schools and creek areas.
Lack of transparency and information access
Community members reported difficulty accessing technical reports and felt consultation materials were overly complex or incomplete.
Mistrust toward Cleanaway and EPA processes
Many participants questioned Cleanaway’s past compliance record and raised issues about EPA’s capacity to monitor and enforce environmental quality standards.
Procedural fairness and equity
Concerns that Wollert was selected due to its lower-income, regional context without proper community representation, language access, or safeguards.
Policy and regulatory gaps
Many advocated for a full Environmental Effects Statement, independent assessments, and opposed fast-tracked approvals.
Community mobilisation and political advocacy
Local groups formed (e.g. No Northern Incinerator Wollert), petitions gathered thousands of signatures, and local councillors and MPs publicly opposed the project.
Cleanaway acknowledges the depth of community concern about the proposed Melbourne Energy & Resource Centre (MERC) and understands that residents have expressed strong views about health, environmental impacts, and the consultation process.
Cleanaway is committed to listening to this feedback and ensuring that community concerns are carefully considered and addressed in the design, operation, and ongoing monitoring of the facility.
The MERC project is being progressed within a rigorous regulatory framework, and Cleanaway is working closely with the Environment Protection Authority and the Department of Transport and Planning to meet all legal, technical, and environmental requirements.
While not everyone supports the project, Cleanaway believes MERC is a necessary and significant development, delivering local and regional waste solutions, and contributing to Victoria’s broader shift toward a more sustainable, circular economy
The proposed Melbourne Energy & Resource Centre (MERC) is progressing through a staged regulatory process, involving assessment by multiple Victorian government agencies. This process is designed to ensure environmental, planning, and waste policy compliance. This includes oversight by the Environment Protection Authority (EPA), the Department of Transport and Planning (DTP), and Recycling Victoria.
As part of this process, Cleanaway has been granted a volume cap licence by Recycling Victoria under the Waste-to-energy Framework, which limits the amount of residual waste that can be thermally treated in Victoria each year. This cap ensures that waste-to-energy facilities do not undermine recycling and waste reduction efforts, and that they align with the state’s broader circular economy goals.
Regulatory steps taken to date
2021 – 2022 – Strategic site planning and early engagement
Cleanaway undertook site selection, early stakeholder discussions, and technical feasibility assessments. Initial engagement began with government agencies, Traditional Owner groups, and local stakeholders to shape the project concept.
2022 – 2023 – Environmental and technical studies commissioned
Specialist reports were prepared to assess air quality, noise, traffic, ecology, human health, stormwater, and visual impacts. These informed the formal planning and licence applications.
Late 2022 – Development licence application submitted to EPA Victoria
Cleanaway lodged a development licence application (APP024914) under the Environment Protection Act 2017. This licence is required for any facility that may discharge waste to the environment.
May 2023 – Planning permit application submitted to Department of Transport and Planning
A concurrent planning permit application (PA2302234) was submitted under the Planning and Environment Act 1987. The Minister for Planning is the decision-maker for this application.
February – March 2024 – Development licence application and planning permit application public exhibition and submissions
The development licence was publicly exhibited via Engage Victoria for 55 days. Over 760 submissions were received, with the majority opposing the proposal. Concerns focused on health risks, emissions, and local impacts.
June 2024 – Conference of Interested Persons
EPA held in-person and online community forums (COIPs) independently facilitated. These sessions allowed residents to present their views directly to EPA and Cleanaway.
October – November 2024 – EPA Requests for Further Information
Following public submissions, EPA issued detailed RFIs on emissions, fire safety, waste feedstock, noise, and environmental management. Cleanaway submitted updated documents in response.
November 2024 – Second public comment period
Updated information was made available for public comment. This allowed community members to respond to the revised technical reports and clarifications.
December 2024 – Introduction of statewide cap licensing regime
The Victorian Government established a statewide licensing framework for thermal waste-to-energy facilities under the Circular Economy (Waste Reduction and Recycling) (Waste-to-energy Scheme) Regulations 2023, which came into effect on 17 December 2024. This framework introduced a 2 million tonne annual cap on the total volume of residual waste that can be thermally treated across all facilities in Victoria.
March – April 2025 – Public consultation on cap increase
On 20 March 2025, the Victorian Government issued a formal notice in the Government Gazette announcing the preparation of a Regulatory Impact Statement (RIS) to evaluate increasing the statewide thermal waste-to-energy cap from 2.0 to 2.5 million tonnes per annum. Public consultation on the draft regulations and RIS was conducted through April 2025, closing on 17 April, providing stakeholders with the opportunity to submit feedback on the proposed changes.
July 2025 – Cap increase finalised and adopted
Following review of submissions and regulatory analysis, the Victorian Government formally adopted the amended regulations in July 2025, increasing the annual cap on permitted waste-to-energy processing to 2.5 million tonnes. This change was reflected in the updated Waste-to-energy Scheme guidance published on 14 July 2025.
August 2025 – Cap licence granted by Recycling Victoria (August 2025)
In August 2025, Cleanaway was granted a cap licence by Recycling Victoria under the Waste-to-energy Scheme, established through the Circular Economy (Waste Reduction and Recycling) (Waste-to-energy Scheme) Regulations 2023. The licence allocates Cleanaway a thermal processing volume of 760,000 tonnes per year at the MERC, within Victoria’s revised 2.5 million tonne statewide cap. This approval confirms MERC’s eligibility to thermally treat residual waste and represents a key step in the regulatory pathway toward project delivery.
Late 2025 – Early 2026 – Amendment of assessment of planning permit and EPA development licence applications
Cleanaway’s MERC planning permit application and EPA development licence application documentation is being updated to reflect the increased capacity. Following the update, the amendment will be assessed, with final decisions expected to consider environmental performance, regulatory compliance, and public feedback.
We welcome all questions and are here to answer them. If you cannot find the answer to your question in our document, or would like to know more about the project, please let us know.
Or call the Project Hotline on (03) 9021 0603
The term “incinerator” is used internationally but can suggest older, uncontrolled burning methods. MERC will use modern moving-grate combustion with advanced flue gas treatment to recover energy and materials while meeting stringent EU and Victorian EPA emission standards.
MERC will process only non-recyclable residual waste from households, businesses and industry, material that would otherwise go to landfill. The facility will not accept hazardous waste, recyclable materials, asbestos, or food and garden organics that should go to composting facilities.
The facility operates under Victoria’s waste-to-energy cap, which limits the total amount of residual waste that can be thermally processed each year. This ensures waste-to-energy is used only for materials that cannot be recycled or reused, supporting Victoria’s recycling and waste reduction targets.
Waste-to-energy facilities will only be allowed to receive waste that has already been sorted for recyclable materials.Independent air quality and health risk assessments have found the facility poses a low to negligible risk to human health if all controls and regulations are followed. MERC will meet strict Victorian EPA emission limits, designed to protect air quality and public health..
Waste will be tipped and stored in sealed buildings with controlled ventilation to prevent odours escaping. Noise will be minimised through building design, equipment selection and operational controls.
There is over a 1km distance between the proposed facility and nearest residential area.About 99.9% of the flue gas will be gases naturally found in air: oxygen, carbon dioxide, nitrogen and water vapour. The remaining pollutants will be treated using advanced technology to meet strict EPA and EU emission standards.
On cold mornings, you may see a white mist from the stack — this is simply water vapour condensing.
Emissions will be continuously monitored, with results reported to the EPA and available to the public.
Cleanaway assessed many potential sites across Victoria. Wollert was selected because it meets key criteria for a waste-to-energy facility.
It’s located near waste sources like homes and businesses, reducing the need for long-distance transport and allowing energy recovery to be used locally.
The site aligns with planning policies supporting industrial and utility developments, is situated over 1 km from most residences to minimise impacts, and is next to quarries that limit other sensitive uses.
Its proximity to developing and established industrial areas offers potential local benefits and services. Additionally, the site has good road access via the Hume Freeway, with routes avoiding residential areas, supporting efficient truck movement.
All these factors fit Victoria’s long-term waste management and environmental goals.
Avoiding, reducing, reusing and recycling are the best ways to manage waste — and Victorians are getting better at sorting and diverting recyclables, food and organics. However, some materials cannot be recycled, such as certain items in general waste bins or residual commercial and industrial waste. At present, this material, around 5.7 million tonnes a year in Victoria, goes to landfill.
The Melbourne Energy & Resource Centre (MERC) will take residual waste that cannot be recycled, recover energy and metals from it, and reduce the amount going to landfill. This supports Victoria’s waste hierarchy and circular economy goals.This is a privately funded project. Cleanaway will make a major investment in constructing and operating the Melbourne Energy & Resource Centre, delivering a substantial boost to local and regional economic activity. This level of investment will help establish the precinct as a major hub for jobs and industry, while also delivering long-term infrastructure benefits for Wollert and surrounding communities through well-established developer contribution frameworks.
Waste suppliers, such as councils, businesses and waste companies, will pay a processing fee for residual waste, as they currently do for landfill disposal. The project is not funded by ratepayers.
The Melbourne Energy & Resource Centre (MERC) will bring significant economic, community, and environmental benefits to Wollert and nearby areas. It is expected to create around 800 construction jobs and 50 long-term skilled operational roles, boosting local and regional employment.
By providing a cost-effective alternative to landfill, the project helps stabilize waste disposal costs, potentially lowering Council rates for residents and businesses.
Cleanaway is establishing a Community Benefits Fund, managed by local representatives, to support initiatives like environmental projects, sporting facilities, and community recreation.
MERC will also feature a Visitor and Education Centre to engage the community in learning about recycling, resource recovery, and the circular economy.
MERC’s design capacity is based on a detailed assessment of waste volumes currently going to landfill in Melbourne. All waste processed will be material that cannot be recycled.
Cleanaway, through its network of transfer stations and Melbourne Regional Landfill, understand the volume of waste that is currently disposed to landfill.
A thorough assessment of waste volumes in the Melbourne market has been undertaken to inform the setting of the design capacity of the MERC facility and to ensure that there is sufficient waste available to make the facility viable. All waste that the facility is proposing to take is waste that will be diverted from landfill.
Cleanaway is working with the Wurundjeri Woi Wurrung people on the project’s Cultural Heritage Management Plan, including on-site investigations with heritage consultants.
The facility is expected to operate for 25–30 years, with regular upgrades to maintain efficiency and environmental performance.
