SHELLHARBOUR councillors have agreed to continue to take waste from the neighbouring Kiama municipality, but only for two years, not the five years initially requested.
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Shellharbour City Council said it had been taking domestic and trade waste from its southern neighbour since 2004, when Kiama Council closed its landfill operations at Gerroa and Minnamurra.
A five-year contract to accept the waste expires in December 2015 and Kiama Council had requested another five-year contract be entered into.
However, Shellharbour Council staff said a two-year contract would provide Shellharbour Council with the flexibility to take part in any regional strategies that may become available in the short to medium term.
A two-year contract will reduce the life of the Dunmore landfill by three months, however Shellharbour Council said recent initiatives put in place by both councils had extended the life of the Dunmore landfill from about 15 to 25 years.
This week the Joint Regional Planning Panel approved Shellharbour City Council's $14.6 million redevelopment of the Dunmore facility, which will soon see green waste collected weekly from Shellharbour households.
Cr John Murray said it was important Shellharbour co-operate with its neighbour, "but we need them to move on and work out a strategy as we want to make our tip last as long as we can make it", Cr Murray said.
Cr Peter Moran said waste was not a problem confined to one area, but it was "unreasonable" to continue to offer five-year agreements "as it takes pressure off Kiama Council to come up with its own waste stream strategy".
"I've often heard it said that people in Kiama think their domestic waste doesn't stink, but it does just the same as everyone else," he said.
Cr Kellie Marsh said as the arrangement would only affect the Dunmore tip's landfill life by three months she "was happy to take the trash in from other LGAs".