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Due to increasing consumption and urbanisation, urban waste management and recycling are a primary concern in Italy. Italian waste collection underwent significant reform with the introduction of a sorted collection target of 65% of total collected waste in Legislative Decree No. 152/2006. In this article, we analyse the effect of this regulatory target on the efficiency of waste collection in 275 Italian municipalities in the years 2016-2019. We estimate the coefficients of the cost efficiencies of the sorted and unsorted waste without assuming functional forms for the efficient frontier or the distribution of efficiency. Our findings suggest that municipalities that met the 65% sorted waste target demonstrated higher efficiency as costs increased, whereas those that failed to meet the target demonstrated higher inefficiency as costs increased. Strong effects emerged for population and urban economic development on the success of waste collection, whereas only marginal effects were observed for population density and city size. To improve the situation of municipalities that are not meeting the 65% target, we propose several policy measures, including 'neighbourhood solidarity'., Competing Interests: Declaration of conflicting interestsThe authors declared no potential conflicts of interest with respect to the research, authorship, and/or publication of this article.

Waste management is crucial for advancing the circular economy, and Italy has begun to address this issue by organizing municipalities into collaborative communities of municipalities, named ATOs. In this paper, we propose a quantitative approach based on conditional efficiency analysis to estimate viable eco-efficiency targets for these waste collection communities. The proposed targets are both eco-efficient, because they reflect optimal resource allocation within the eco-efficiency framework, and viable, because they consider the unique specificities of each waste community. The methodology determines a pathway or direction for municipalities to reach the eco-efficiency frontier based on specific external factors, ensuring that each municipality is benchmarked against others with similar contexts within the same community. Our analysis focuses on 89 Italian municipalities within the ATO "Città metropolitana di Roma Capitale" in 2021, revealing that size and economic development significantly contributed to viable eco-efficiency within the community during this period. The proposed approach is general and flexible and can be applied to other municipalities in Italy or across Europe. It can also be extended to meso (regional) or macro (country) levels of analysis., (© 2024. The Author(s).)