EU budget gap holding back municipal waste reform and decarbonisation in central and eastern Europe
Brussels, 10 March 2025 – A new report by Bankwatch, Za Zemiata and Zelena Akcija, in collaboration with Zero Waste Europe, reveals that current EU budget allocations for circular economy and municipal waste management measures are insufficient to help central and eastern European countries catch up with the EU’s decarbonisation targets.
The report, released today, analyses the utilisation of EU waste management funding in nine central and eastern European countries: Bulgaria, Croatia, Romania, Hungary, Czech Republic, Slovakia, Estonia, Latvia and Poland. It finds that many of these countries are lagging far behind optimal waste management practices, especially in biowaste separation and recycling, largely due to a lack of targeted funding for higher-tier waste management solutions, such as waste prevention, reduction and recycling.
While the 2014–2020 investment period saw improvements in recycling and landfill reduction, progress in reducing methane emissions from landfills has been slow and remains a challenge due to inefficient diversion of biowaste from mixed waste streams [1]. In 2020, 27 per cent of the EU’s total methane emissions came from the waste management sector, with landfills being a major contributor. Decarbonising the waste sector will require more targeted investment in biowaste treatment, methane-capture technologies and the circular economy, including targeted support for local authorities for improving biowaste collection and recycling systems, including funding for local communication and human resources.
The 2021–2027 budget for waste management and the circular economy is 39 per cent higher than in the 2014–2020 period and more progressive, prioritising prevention, minimisation, sorting, reuse and recycling. Notably, 60 per cent of the total allocation is dedicated to household and industrial waste management, primarily in recycling. This shift towards more sustainable and resource-efficient practices is reinforced by the new cohesion policy funding rules and the ‘do no significant harm’ principle under the Recovery and Resilience Facility, which restrict funding for incineration and landfill projects, steering investments towards higher-tier waste management solutions.
Saša Jovanović, Campaign Leader – Cities for People at Bankwatch, said:
“While a 39 per cent increase in planned budgets for waste management and the circular economy in the nine Central and Eastern European countries for the current funding period sounds encouraging, real results will depend on how timely and efficiently the countries use them. Case studies from the 2014-2020 funding cycle, such as the new biodegradable waste management infrastructure in Blagoevgrad, Bulgaria, or biowaste management on the island of Krk, Croatia, show that proactive municipalities and regions can find the way to manage their waste sustainably, if they focus on landfill diversion and proper treatment of biowaste.”
Iva Dimitrova, Economic Justice campaigner at Za Zemiata, said:
“Biowaste management remains a major challenge across analysed countries in Central and Eastern Europe, with only 10 per cent of municipal waste separately collected as biowaste in 2020. In Bulgaria, the situation is even more alarming, with just 3 per cent collected, leaving the vast majority to decompose in landfills and release methane. Urgent investments are needed in separate collection infrastructure, combined with economic incentives like increased tax on landfilling and incineration and the implementation of pay-as-you-throw system to reduce landfilling and encourage waste prevention.”
Marko Košak, Zero Waste Cities Programme Coordinator at Zelena Akcija, said:
“Progressive cities in Europe are showing that efficient biowaste management is possible, and that EU-funded projects can play a valuable role. Unfortunately, ministries in EU countries responsible for this financing could be much more effective in distributing funds and helping municipalities achieve their goals for reducing landfill biowaste.”
Janek Vahk, Zero Waste Europe’s Zero Pollution Policy Manager, said:
“Landfill methane is one of the most potent climate threats, yet EU funding for waste management is still falling short. With landfills responsible for 27 per cent of Europe’s methane emissions, urgent investment is needed to scale up biowaste collection, composting, and pre-treatment technologies like biological treatment to stop methane generation at its source. Without decisive action, we risk missing our climate targets and allowing waste to accelerate the climate crisis.”
Contacts:
Seán Flynn, Media Outreach Officer, Zero Waste Europe
Mob: +32 471 96 55 93
Michaela Kožmínová, Communications Officer, CEE Bankwatch Network
Mob: +420 607 135 410
Janek Vahk, Zero Pollution Policy Manager, Zero Waste Europe
Mob: +32493553779
Iva Dimitrova, Economic Justice campaigner, EA Za Zemiata, Friends of the Earth Bulgaria
Mob: +359 896 62 88 08
Notes for editors:
Link to the full report, “Waste management and the circular economy in central and eastern Europe: An analysis of EU cohesion policy funding”: https://zerowasteeurope.eu/library/waste-management-and-the-circular-economy-in-central-and-eastern-europe-an-analysis-of-eu-cohesion-policy-funding/
[1] The total landfilled waste in the countries analysed still amounted to almost 19 million tonnes in 2020, meaning the reduction in CO2e represents less than 6 per cent compared to 2014.
About Zero Waste Europe
Zero Waste Europe (ZWE) is the European network of communities, local leaders, experts, and change agents working towards a better use of resources and the elimination of waste in our society. We advocate for sustainable systems; for the redesign of our relationship with resources; and for a global shift towards environmental justice, accelerating a just transition towards zero waste for the benefit of people and the planet. www.zerowasteeurope.eu