Smart technologies are all around us and while you might expect IoT sensors in your home or car, perhaps the most interesting application today is in waste management – an area where investment in smart technology is making a tangible difference to the future of our planet.
Thanks to an ability to collect and exchange waste data in real-time, technologies such as IoT sensors are driving impressive improvements in waste handling. From smart fill sensors in street litter bins to IoT for waste auditing and AI-driven waste sorting, these technologies are fuelling a paradigm shift in both collections and recycling efficiency.
But that’s not all. As countries across Europe legislate for a circular economy, with greater emphasis on digital waste tracking and extended producer responsibility, smart technologies are also supporting seamless digital reporting and AI-driven waste compliance.
why waste compliance is changing?
The waste and recycling industry currently faces a complex set of challenges, not least rising waste volumes. Data from the EU indicates that in 2022, the total waste generated amounted to 4991kg per capita. That’s around 5.0 tonnes of waste per EU inhabitant. All of which must be collected, sorted, recycled and managed by waste and recycling operators.
Little wonder then that governments are seeking to turn the tide on waste and shift towards a more circular economy. In the EU, there are strict standards for disposing of items responsibly when they can no longer be used. For example, under the Waste Framework Directive, re-use and recycling of municipal waste must reach a minimum of 60% by 2030.
As pressure to meet recycling targets escalates, countries are introducing laws that raise compliance standards for waste collectors and recyclers. This results in stricter waste tracking regulations that improve visibility and accountability, creating a transparent and traceable record of waste movements from producer to final destination.
what do digital waste tracking regulations mean for your business?
Although legislation differs from country to country, many regions are introducing digital waste tracking systems as a means to improve transparency and support the transition to a circular economy. Such waste tracking systems will replace existing paper consignment notes, ensuring businesses report waste movements accurately.
First and foremost, these measures are intended to stop illegal waste exports and reduce fly tipping, but interestingly, they also open up new opportunities to generate revenue from resource recovery. By simplifying waste collection and reducing contamination, digital waste tracking schemes can improve recycling, often revealing exciting opportunities, built on cleaner waste streams.
In order to harness this potential, many waste and recycling operators are utilizing innovative technologies, such as the Internet of Things, Artificial Intelligence, and Enterprise Resource Management software. And in paving the way for automated waste compliance, these smart technologies often work to unlock increased productivity and efficiency gains that make them a win-win for operators.
Below, we’ll explore 5 ways smart tech is transforming waste management, and how it can help you comply with the latest waste legislation being introduced across Europe.
industry guide: the future of waste compliance
For more in-depth information about smart tech and how it can help to resolve compliance challenges, download our Industry Guide: How IoT, AI & ERP are transforming digital waste tracking.
how smart tech is transforming waste management & compliance
1. IoT supports digital traceability
IoT-enabled sensors provide a network of devices capable of collecting and transmitting data in real-time. Bins, skips and vehicles can all be connected to the internet, ensuring that smart sensors relay information about how much waste is generated, when collections are required, and where each load ends up.
Insights such as this can be used to streamline collections but, beyond the obvious time-savings, IoT-enabled tracking also ensures that every collection is accounted for with a clear audit trail that proves waste is not mishandled.
This makes life much easier when faced with the latest digital waste tracking legislation, which is becoming increasingly common across the region. If we look at EU legislative changes, for example, the digitalisation of waste shipment procedures is one of the key objectives of the EU’s Waste Shipment Regulation, adopted in April 2024. It sets out procedures for the transboundary movement of waste including a Digital Waste Shipment System (DIWASS), which is set to be mandatory from May 2026.
Many countries are following suit with their own digital tracking regulations. In France, the Anti-Waste Law for a Circular Economy (AGEC) requires various waste streams to be handled separately from 2025. Waste operators are obliged to use the TrackDéchets hazardous waste tracking platform to record waste movements and ensure each load reaches the appropriate treatment facility. Similarly, in the UK, a mandatory Digital Waste Tracking System is being introduced from 2026. This will require businesses to digitally record waste movements with a view to reducing waste crime.
With IoT-equipped waste tracking, you can meet such digital traceability requirements with confidence, safe in the knowledge that relevant evidence is at your fingertips.
2. extended producer responsibility compliance
Smart sensors, connected devices, and real-time data collection also play a key role in fulfilling today’s Extended Producer Responsibility (EPR) obligations. Across Europe, many countries are using EPR as a policy tool to hold producers responsible for the entire lifecycle of their products, particularly in relation to packaging waste, where a new EU Packaging and Packaging Waste Regulation (PPWR) came into force in January 2025.
In Germany, for example, the updated Packaging Act (VerpackG) sets strict regulations for businesses placing packaged goods on the market. Manufacturers must join a dual system for collection and recycling of packaging materials with regular reporting on packaging volumes and materials.
Likewise in Austria, updates to the country’s packaging law in 2025 have seen the introduction of a deposit on single-use beverage containers. These changes require consumers to return eligible containers for a refund, ultimately driving a shift towards reusable packaging.
For businesses obligated under an EPR scheme, smart tech provides valuable insights into how packaging waste is managed and its journey through the recycling system. IoT sensors record waste shipments and track the flow of resources in real time while Artificial Intelligence adds further value by spotting patterns in contamination.
3. AI-powered waste sorting accuracy
Sorting recyclables by hand is a difficult and time-consuming task, which is why smart technologies can make a real difference here. By combining high-definition cameras, sensors, and AI algorithms, smart technologies can be used to identify and separate materials quickly and with less errors.
At the Material Recovery Facility (MRF), for example, AI image processing can be used in conjunction with robotic sorters to automatically separate materials and enhance recyclate quality. According to the Sustainability Directory, AI can boost recycling efficiency by up to 60% through better sorting and contamination reduction, resulting in more materials being recycled and less waste ending up in landfills.
For EU Member States including Germany, Austria, and the Netherlands, where landfill taxes are implemented to encourage recycling, or in the UK, where landfill taxes are rising in 2025, this can help to cut costs dramatically.
And AI-powered vision can even be installed on the collection truck itself. AMCS has developed technology to automatically record contamination and overfilled containers during collections. By analyzing this data and using AI to spot contaminated recyclables, AMCS Vision AI helps waste operators identify customers that repeatedly fail to separate materials. This visual evidence can then be used to change recycling habits and improve safety.
4. unlock efficiency savings
AI-powered waste management is also transforming collections efficacy. IoT-equipped GPS sensors improve collections accuracy and efficiency by providing real-time data on the location of both trucks and waste containers. In addition to detecting unauthorized movement or container theft, this can be used to calculate more efficient routes.
Currently, many operators rely on scheduled waste collection, often leading to underutilization of trucks or unnecessary journeys. By combining smart bins with AI-optimized routing, however, it is possible to adapt on-the-fly to waste levels and traffic conditions in order to optimize routes in real time.
For municipal service providers particularly, this can boost collection and recycling rates as well as reducing the costs and emissions associated with fuel consumption. Not only that, but AI analysis and IoT waste tracking can also be used to enhance the efficiency of ‘pay by weight’ or ‘pay as you throw’ (PAYT) schemes.
In Switzerland, for example, a PAYT system sees residents pay for specially taxed trash bags, creating a direct financial incentive to reduce and recycle waste. This policy, based on the polluter-pays principle, has significantly increased recycling rates resulting in a Swiss recycling rate of approximately 52% - close to the EU’s 55% target for municipal waste.
By incorporating on-vehicle smart solutions to record and analyze customer data in real-time, smart technologies can play a fundamental part in helping to meet the EU’s ambitious recycling targets for household waste.
5. end-to-end ERP waste compliance
Finally, while smart IoT sensors and predictive analytics offer immense promise, their full value cannot be realized without an Enterprise Resource Planning (ERP) system. An ERP takes raw sensor data from diverse devices, using AI models to identify patterns, anomalies, and trends in real time. These insights can then trigger actions to enhance collections efficiency, improve sorting accuracy, and facilitate automated waste compliance solutions.
In the context of today’s legislative landscape, end-to-end ERP compliance ensures your central system can manage and fulfil all regulatory requirements. So, whether that’s accurate materials sorting, optimized logistics, streamlined billing, or digital waste tracking, your ERP system provides a single source of truth so you can meet legal obligations. In short, by providing a centralized waste compliance platform, today’s AI-equipped ERP helps you boost efficiency and maintain compliance – not to mention profitability – in the face of changing regulatory requirements.
why legacy systems fail to keep pace
With advantages such as these stacking up, it’s no surprise that relying on manual systems is no longer an option. Paper tickets, spreadsheets, and emails make traceability difficult to demonstrate during an audit. Worse still, should you lose records or file data incorrectly, there can be significant fines for incomplete or inaccurate records. Failure to comply the Verpackungsgesetz (Packaging Act) in Germany, for example, can result in fines of up to €10,000 for data reporting violations.
Functional though they may be, even legacy IT systems can cause problems, with outdated systems often struggling to keep pace with current data demands. Siloed waste data is commonplace and while legacy system failures can lead to increased costs, operational delays, and missed collections, they also present difficulties in meeting waste tracking legislation.
smart tech: an operational necessity
Inevitably, as regulations tighten and legislation continues to shape the way businesses approach waste management, these pressures will escalate. Smart tech, including IoT and AI, offer a solution, accelerating both compliance and overall efficiency, but there’s a growing need for a single, scalable solution that centralizes operations, simplifies workflows, and reduces the complexity of integrating such tech.
At AMCS, we make this process easy
The AMCS platform is the only end-to-end ERP solution that turns IoT-driven waste tracking into automated, audit-proof compliance.
Contact us today to discover how our waste management and recycling platform helps increase efficiency, reduce costs, and embrace greater automation.