The scheme would result in recycling being divided into separate 140-litre wheelie bins for glass and other recyclables, to be collected on alternate weeks, and an 80-litre wheelie bin for other rubbish, collected weekly.
The scheme would add $5.2 million each year to the council's operating budget, beginning in 2010-11, covered by a targeted rate across the service area and costing the average household $190 each year.
The details were contained in a report by council solid waste manager Ian Featherston, to be considered on Monday by the council's infrastructure services committee.
Contacted yesterday, Mr Featherston said last year's rubbish survey, which garnered almost 10,000 responses, showed clear support for wheelie bins.
"There's a clear mandate there - it came through loud and clear," he said.
If approved by councillors, the new system would still require further public consultation, beginning in mid-August, with a final decision expected in November.
The system in its final form was not expected to be operational before October 2010, with time needed to tender a contract and construct an automated materials recovery plant.
He did not believe a three-bin system would be too complicated, and said implementation would draw on the lessons learned in other centres.
Dunedin's experience with smaller-scale recycling would help, Mr Featherston said.
"We have had recycling going since 2002 or 2003, so people are in the habit.
"The only habit we have got to change is keeping the glass out . . . and putting the newspapers back in," he said.
Mr Featherston's report outlined various costs for the scheme and alternative options, as well as maintaining the status quo.
A typical household spent between $148 and $247 each year on black rubbish bags, while those paying for private wheelie bins spent between $169 and $300 each year, depending on the size of the bin and the frequency of use.
Existing 45-litre recycling bins were not considered adequate, limiting the amount of material recycled, and maintaining the old system meant animal attacks on bags, litter on streets in high winds, and other problems would continue.
The city's existing recycling reached 92% of households, but the council would explore ways to bring rural areas into the new system, Mr Featherston said.
Some variations would be required in hard-to-reach areas with steep terrain, or limited space, and communal drop-off areas could be used in rural areas, he said.
A backdoor collection service could be provided for residents with health or mobility issues, and a weekly glass recovery service, or larger 240-litre bins, for University of Otago campus areas, he said.
The cost of the new system would add 5.5% to the overall rates increase forecast for 2010-11, up from 8.7% to 14.2%, with smaller increases forecast annually to 2018-19.
However, those using more than one black bag each week, or paying for a private wheelie bin, may pay less, he said.
It was expected the new system would bring an improved service to Dunedin, meeting community expectations expressed in the survey, and achieving goals established by government and adopted by the council in 2006.
The new system would also increase the amount of material diverted from landfills, although it would not cater for green waste, Mr Featherston said.
Households were being encouraged to compost their own organic material instead.
Kerbside collection: the plan
> Three-bin system: two 140-litre bins for recycling (glass and non-glass), collected on alternate weeks; one 80-litre bin, for rubbish, collected weekly.
> $5.2 million annual cost.
> Covering city areas already recycling; possible inclusion of rural areas; possible special service for hard-to-reach areas.
> Councillors to discuss on Monday; public consultation August to November; operational October next year.
