A new food and gardening waste kerbside collection service will start in mid-2024, a year later than had been hoped.
Wheelie bins for rubbish, set to replace council rubbish bags, will also be brought in from 2024.
Council rubbish bags will continue to be sold in the meantime.
A 10-year contract with EnviroWaste will start from July 1, 2023, and is worth $104 million.
Dunedin City Council waste and environmental solutions group manager Chris Henderson said specialised collection vehicles would not be available until 2024 because of international supply issues.
"We know residents have been anticipating the new service and may be disappointed at the delay, but the new service will definitely be a big improvement and well worth the wait," Mr Henderson said.
It will include an option for a 140-litre combined bin for food and green waste, or a 25-litre food waste bin.
"This contract will improve Dunedin’s whole waste system and support the city’s zero waste and zero carbon aspirations," Mr Henderson said.
"Big strides will be made over the next couple of years."
The contract includes an extension of kerbside waste and recycling services to Berwick, Woodside, Henley, Pukehiki and Hoopers Inlet after mid-2023.
It also covers construction and management of modern resource recovery facilities for improved recycling, reuse, and food waste and garden scraps composting.
EnviroWaste will manage the waste transfer stations at Waikouaiti, Middlemarch and Green Island.
The city council said there would be improved options for recycling and reuse on rural "skip days" after mid-2023, better rubbish and recycling options in the student precinct and expanded waste-minimisation education.
A combined bin for food and green waste is a change from what was earlier proposed.
The move followed industry feedback, Mr Henderson said.
Residents could still opt for a 240-litre bin for green waste.
EnviroWaste customers and sustainability general manager Glen Jones said the contract would help the city preserve the environment.
"Our focus is to deliver services and solutions that make it easier for people to make more sustainable choices, to reduce waste and environmental impact through increased recycling and resource recovery," he said.
EnviroWaste would work with the council to develop new regional recycling infrastructure.
- Additional reporting Cas Saunders
