Waste management and Italian provinces: Why pay more for less?

This work investigates the role of waste treatment methods and separation policies in explaining the Total Waste Management Costs (TWMC) at NUTS 3 level, Italy, between 2015 and 2018. In this context, northern provinces generally have high efficiency and circularity, while central and southern provinces lag behind. It is unclear how much of the difference is motivated by socioeconomic factors and how much by political entrenchment in low circularity policies. Panel data models have been estimated using provincial and regional fixed effects targeting TWMC as the dependent variable. Two main independent variables are considered as drivers. One is a composite policy indicator that gives higher weight to circular methods and waste-to-energy treatments. Lower weights have been given to increase landfill, generic incineration, and biological and mixed treatments. The second independent variable is the ratio between separated waste and total municipal waste flow. The estimations' results indicate that the composite indicator of circular policies reduces TWMC while separation policies increase them. Furthermore, it is estimated that provinces need to improve their composite performance significantly to offset the cost increases derived by separation policies. Thus, perseverance in pursuing an incomplete circular policy might be a driver of TWMC at the local level.

Municipal Solid Waste generation dynamics. Breaks and thresholds analysis in the Italian context.

Municipal solid waste prevention represents a topical point in circular economy policies within the European Union. It is therefore paramount to assess its state of decoupling from economic activity. There is weak evidence from empirical research that Italy managed to achieve this structural change locally. Decoupling is not arising homogenously in the waste generation-income relationship in Italy over the last two decades. The heterogeneity in economic performances and waste policies could be an explanation. However, it is possible to find common patterns between decoupler against non-decoupler provinces. This paper involves panel data of 103 provinces during eighteen years (2001-2018) of Italian Provinces (NUTS3) to assess the drivers of structural changes in the income-waste relation. The innovation consists of the use of a threshold model to assess the minimal requirements of socio-economic performances to decouple economic activity to non-separated waste. The threshold point differs from the tipping point as it is always observable in the panel. Previous studies mostly estimated the latter involving panel data analysis. This often resulted in fallacious interpretation, especially due to spurious regressions. The observability is a relevant criterion, as several provinces have achieved the decoupling state. Results indicate that economic activity and tourist are relevant threshold variables in waste prevention. Both are sources of local financing; thus, it is probable that circular practices are dependent on the volume of potential expenditure rather than structural characteristics such as population density.