• Multi-unit dwelling (MUD) exemptions

  FOGO

  Councils will be exempt from the requirements in s 170E[3] of the Protection of the Environment Operations Act 1997 (NSW) (POEO Act) until 1 July 2035 for multi-unit dwellings[4] that:

  • were legally occupied before 1 July 2030;

  • use a waste chute that is not designed for separating FOGO waste; and,

  • lack a shared waste collection room/area for residents. 

  Occupiers of exempt multi-unit dwellings who have a commercial waste service provider are also exempt from complying with s 170F of the POEO Act.

  Garden Organics

  Councils are exempt from collecting and transporting garden organics waste from multi-unit dwellings without a shared garden, as long as they collect food organic waste from those dwellings in accordance with the FOGO Mandate. 

• Rural household exemptions

  Councils will be exempt from the requirements in s 170E of the POEO Act until 1 July 2033 for households on a property that is 2 hectares or more, if council provides annual education on managing FOGO waste on-site (e.g., composting).

For Businesses:

• Rural business exemptions

  Businesses subject to the FOGO mandate will be exempt from the requirements in s 170F of the POEO Act until 1 July 2028 if the business is located in an exempt regional area, being a local government area:

  • not within the Greater Sydney Region; or

  • where the council does not yet provide a household FOGO or food organics waste collection service in the area.  

• Food court exemptions

  Food court operators will be exempt from the requirements in s 170F of the POEO Act until 1 July 2030 for FOGO waste that is generated in the food court’s common seating area. These premises must still separately collect and transport food organics waste in their 'back-of-house’. 

What custom exemptions may be granted? 

If a generic exemption is not applicable, councils may apply to the EPA for a custom exemption, which the EPA will consider where compliance with the FOGO Mandate:

• is impractical or would be overly punitive (including financially);
• presents a high risk to the environment or human health; and/or
• would disadvantage other methods that are fit-for-purpose and achieve the same or better environmental outcome. 

Applications can be made on the EPA’s website. The EPA has indicated that evidence must be provided to demonstrate that the proposed exemption is:

• not covered by an existing exemption;
• time-limited and justified for the specified time period; and
• required and reasonable for the applicant's specific circumstances.

Record keeping requirements

The EPA highlights that councils and businesses who rely on an exemption should maintain records to demonstrate that they satisfy the applicable criteria. While the EPA has not prescribed the types of records, it suggests the following records may be relied upon:

• development applications, occupation certificate or building approvals;
• tender or contract evaluations for costings or availability;
• implementation plans;
• contracts with end dates beyond mandate implementation dates and break clauses; and,
• FOGO education materials.

Key takeaways

Some key considerations for councils and businesses: 

• Plan for expiry dates: Exemptions are time-limited, so councils and businesses should plan now for how services will transition once exemptions end.
• Engage early with the EPA: If a custom exemption may be needed, early engagement with the EPA will help ensure sufficient time for assessment and approval. The EPA has indicated it will take 8 to 12 weeks to assess a custom application.
• Audit existing infrastructure: Councils should assess which properties meet exemption criteria (e.g. chute systems, garden access) to avoid compliance risks.
• Align with procurement: Waste service contracts should reflect exemption timelines and include flexibility for future compliance requirements.
• Record keeping:  Councils should ensure that collection contracts have sufficient record keeping provisions so that the council is able to demonstrate compliance with the FOGO Mandate and any applicable exemptions.
• Monitor EPA updates: The EPA will release further guidance on custom exemptions and record-keeping – councils and businesses should stay informed to ensure readiness.