Cleanaway Appeals Victorian Court Ruling, To Take A$27.5 Mln Provision On MRL Landfill Levies
(RTTNews) – Australia’s Cleanaway Waste Management Ltd. (CWY.AX) Friday announced that it has lodged an appeal of the Victorian Supreme Court’s decision regarding the historical underpayment of landfill levy at Melbourne Regional Landfill for fiscal 2018.
The landfill levy underpayment amount for the year is A$6.9 million. The EPA has also undertaken audits for fiscal 2019 and fiscal 2022 and has claimed underpayments relating to similar products of A$4.7 million and A$7.2 million, respectively.
However, the amounts for fiscal 2019 and fiscal 2022 were not the subject of the Supreme Court proceedings, the company noted. These amounts are before costs and interest.
Despite the appeal, Cleanaway said it intends to take a A$27.5 million provision for the relevant levies for the three years, and assessed costs and accrued interest, which will be treated as an underlying adjustment.
The cash flow impact for fiscal 2027 is expected to be approximately A$12.3 million, representing payment of the disputed fiscal 2018 levy amount and associated costs and interest.
In Australia, the shares closed Friday’s regular trading at A$2.3500, up 0.43 percent.
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