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Home Circular Economy

Gippsland organics expansion to boost jobs and agriculture

by Lisa Korycki
December 8, 2025
in Circular Economy, Emissions reduction, Food waste, Green waste, News, Organics, Recycling, Sustainability, Victoria
Reading Time: 2 mins read
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gippsland organics

General Manager Commercial Business Simon Aquilina, Managing Director Sarah Cumming, and Board Chair Tom Mollenkopf take in the new expansion at the official opening. Image: Gippsland Water

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An expansion of Gippsland Water’s Regional Organics facility will increase capacity to turn food and garden organics into high-quality compost to boost the productivity of Victorian farms.

Minister for Environment Steve Dimopolous announced the completion of a $12.9 million upgrade to the Dutson Downs Gippsland Regional Organics facility on 5 December.

The Victorian Government invested $2.4 million in the project under the Circular Economy Organics Sector Transformation Fund, with a contribution of $2.4 million from the Federal Government under the Food Waste for Healthy Soils Fund.

The upgrade will allow the facility to process an additional 70,000 tonnes of organic material per year, bringing total capacity to 250,000 tonnes per annum. This will result in an extra 20,000 tonnes of certified compost available for use each year, equivalent to 13 Olympic-sized swimming pools.

For Victorian families, the expansion means more of the food and garden waste collected through kerbside services can be recycled instead of going to landfill. This also offsets operating costs for Gippsland Water, placing downward pressure on customer bills and creating jobs for the region.

The upgrade includes new processing areas, installation of water and power infrastructure, and new equipment to handle increased volumes of organics.

Gippsland Water Managing Director Sarah Cumming said the expansion will have a positive impact on Gippsland’s environmental and economic sustainability.

“We will be able to further reduce emissions by redirecting more organic material away from landfills,” Cumming said.

“Now we are no longer at capacity, we can service an unmet market demand and keep the value of organic materials in Gippsland.

“The expansion supported 47 full-time equivalent local jobs during construction, and Gippsland Regional Organics now includes an additional four full-time equivalent positions.”

Federal Minister for Environment and Water Murray Watt said Australians waste an average of about 300 kilograms of food each year per person. Projects like the one in Gippsland are a critical part of efforts to halve preventable food waste by 2030.

“By repurposing our food waste into compost, we create healthy soils, produce healthy crops, support a circular economy, capture carbon, and create a more sustainable Australia,” Watt said.

“This expansion means Victorian households can be confident that the food and garden waste they put in their green bins is being recycled into a valuable product that supports our agriculture sector,” Dimopoulos added.

Member for Eastern Victoria Tom McIntosh said farmers across Gippsland will benefit from a reliable supply of high-quality compost to improve soil health and productivity, helping grow better crops and strengthen the region’s economy.

Related articles:

Gippsland facility expansion to increase FOGO composting

AORA releases updated fact sheets on compost and mulch

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