
Municipalities adopt new standards
Starting in 2025, Spanish cities with populations over 5,000 will introduce a mandatory annual fee for household waste collection. This fee can no longer be covered by municipal budgets and must be fully funded by residents. The change comes as a result of Law 7/2022, which aims to build a circular economy and tightens waste management regulations.
Who pays the fee: tenant or property owner
Who is responsible for paying the waste collection fee—the tenant or the property owner—is determined exclusively by the terms of the rental agreement. If the contract specifically states the tenant must cover these costs, then they will pay the fee each year. In this case, the payment amount at the time of signing must be included in the agreement. If the contract does not contain such a clause, the responsibility remains with the property owner.
How the fee amount is calculated
Each municipality sets its own calculation method. In Madrid, for example, the fee depends on the cadastral value of the apartment, the volume of waste produced in a particular district, and the quality of waste sorting. Other cities may use factors such as the number of registered residents or water consumption. As a result, the final amount can differ significantly even within the same province.
Principles of transparency and fairness
The law requires that the waste removal fee be listed as a separate expense and not mixed with other utility payments. Municipalities are obligated to ensure transparency in the tariff calculation and make sure it reflects the actual costs of collection, transport, and waste processing. The fee amount must not be lower than real expenses, in order to avoid a budget shortfall for these services.
Incentives for responsible citizens
Authorities encourage residents who separate their waste and participate in recycling programs by offering them discounts and benefits. For example, in Madrid, families who compost at home can get a reduced payment. There are also concessions for socially vulnerable groups, including large families and people facing hardship.
Flexibility for municipalities
Legislation allows city authorities to independently choose additional criteria for calculating fees and implement their own support programs. This makes it possible to consider the specific circumstances of each locality and promote the transition to more environmentally friendly waste management models. For instance, municipalities may offer incentives to short-term rental tenants if they comply with waste sorting rules.
Transition to a ‘pay-as-you-throw’ system
In the future, authorities plan to implement models where the fee amount will be directly linked to the volume of waste produced. This approach aims to encourage citizens to reduce the amount of garbage and participate more actively in waste separation. However, the final decision to introduce such systems rests with local municipalities, which assess their technical and administrative capabilities.












