In the northern suburbs of Sydney, Australia, Adam Bushell has saved about $10 a month in waste collection fees since his local council swapped flat fees for a “pay-as-you-throw” system four years ago. While recycling is collected free of charge, microchipped bins for general waste are weighed, and households receive a monthly statement listing how much they threw out and what they owe.

The new approach has changed the way Bushell thinks about household waste, not least when it comes to food.

“The pay-by-weight concept has made me very conscious of the amount of food that we waste and has really made me want to dispose of less,” says Bushell, who runs an electrical services company. “The personal financial cost definitely makes you think in a different way on what you discard. It makes it immediately, physically cost-effective to waste less.”

The system works thanks to several factors, first and foremost the clear financial incentive and rules, says Graham Matthews, head of content at U.K. commercial waste management company Business Waste. “Residents know and understand that the less trash they produce, the less they will pay. The system adheres to the principle of ‘polluter pays,’ meaning those who produce pollution should bear the costs of managing it.”