Improving waste production and recycling through zero-waste strategy and privatization: An empirical investigation

Using a large 2012–2015 cross-sectional dataset for all 279 municipalities in Tuscany, Italy (the location of the first municipality in Europe to adopt a zero-waste strategy in 2007), this study investigates whether and how municipal waste production and re-cycling activities are related to two waste management policies of municipalities: the adoption of a zero-waste strategy and ownership type of the entity entrusted with urban waste management services. Population density, the municipal average age of inhabitants, municipality area, and the average taxable income of individuals per capita are considered as control variables in the panel data regression models. The study demonstrates the relevance of municipal policies on waste management performance. Specifically, the results show that municipal waste production is higher when urban waste services are managed by privately owned companies, as well as when the average taxable income of individuals per capita is lower. The adoption of a zero-waste strategy by municipalities significantly improves the separate collection rate in Tuscan municipalities. Municipalities that have entrusted solid waste collection and disposal services to mixed-owned firms have lower rates of separate collection than do municipalities that directly manage the service or entrust it to publicly owned firms. Furthermore, the separate collection rate is higher where population density and the average taxable income of individuals per capita are higher. The analysis helps policy and decision makers to identify policies with higher probabilities of reducing waste production and improving the separate collection rate, thereby reaching high standards of waste reduction and recycling.