Cleanaway has appealed a Victorian Supreme Court decision over a disputed $6.9 million landfill levy shortfall at its Melbourne Regional Landfill in FY18.
The case sits alongside further Supreme Court claims covering additional levy underpayments of $4.7 million in FY19 and $7.2 million in FY22, all tied to similar production-based charges.
The company plans to book a $27.5 million provision that captures the FY18, FY19 and FY22 levies plus assessed costs and accrued interest.
That provision will be treated as an underlying adjustment in Cleanaway’s financial reporting rather than as a one-off hit.
Accountants at the group now factor in timing as well as size.
Cleanaway expects the major cash outflow linked to the FY18 dispute to land in FY27, with about $12.3 million forecast to leave the business for the levy, interest and associated costs.
The provision is larger than that cash figure because it also reflects other levy periods and ongoing financial obligations tied to the claims.
