Many communities are implementing a “pay-as-you-throw” (PAYT) waste model, where households are charged based on the amount or volume of residual trash they produce, rather than a flat fee. The idea is to create a direct financial incentive to reduce the amount of non-recyclable and non-composted waste, shifting behaviour toward waste prevention, reuse, recycling and organics diversion.
Under PAYT, households purchase official waste bags, tags, or bins, each representing a set amount of waste. The less you throw away, the less you pay.
The evidence shows PAYT systems work. One example is Bergen, Norway, the country’s second most populous city with a population close to 250,000. In the six years since their PAYT program was launched, the city saw a nine percent decrease in residual waste and plastics collected increased by 28 percent.
Waste management may not sound like climate policy, but there is a link. As organic material decomposes in landfills, it releases methane, a greenhouse gas far more potent than carbon dioxide. Globally, waste contributes about 3 % of greenhouse-gas emissions. By diverting food and green waste, PAYT can reduce methane emissions, particularly in regions where landfilling is common.
PAYT will not solve all the challenges around waste management, but it is a practical and proven policy lever that helps connect individual behaviour with broader climate outcomes. Its true impact depends on what happens to diverted materials—whether they are recycled, composted, or used for energy recovery.