The first notices and payment letters for the Waste Management Fee (TGR) are now being sent out in Madrid. This municipal tax, which covers the actual cost of collecting, transporting, and treating urban waste, will be applied this year in a single payment.
The measure has generated considerable public concern due to the estimated average cost of €140 and the wide disparity between neighborhoods. Furthermore, its implementation coincides with legal challenges and requests for regulatory improvements from the Spanish Federation of Municipalities and Provinces (FEMP ).
What is the TGR and why is it coming now?
The TGR (Targeted Waste Management Plan) is framed within Law 7/2022 on waste and contaminated soils, which transposes European regulations and imposes a specific financing system for the service on municipalities with more than 5.000 inhabitants . The objective is to move closer to European reuse and recycling targets.
The Spanish Federation of Municipalities and Provinces ( FEMP ) has been warning that the law is too brief in regulating the fee and does not precisely define the calculation parameters , which has led to different criteria among municipalities.
The Spanish Federation of Municipalities and Provinces (FEMP) points out that it worked with the Ministries of Finance and Ecological Transition in a technical group to propose implementation guidelines and calculation formulas, but its contributions were not incorporated into the final text. The organization remains open to introducing adjustments that would reduce inequalities.
How and when the receipt is being notified
The City Council has opened a two-month period to issue all notifications, with preference given to the Electronic Office (notice by email/SMS) and, if access is not received within the deadline, postal delivery to the registered address.
The invoices must be paid within two months of their issue date. For the first batches, payments are due on dates such as October 20th , and for notifications sent from September 16th onwards, the deadline is extended to November 5th.
By 2025 , the fee will be paid in a single installment . From 2026 onwards , direct debit and payment plans similar to those offered for property tax (IBI) will be available, with the aim of easing the financial burden for households and businesses.
Amount, calculation and most and least affected neighborhoods
The formula combines a basic rate (81%) , linked to the cadastral value of the property, with a rate per generation (19%) that considers the amount of waste and the quality of separation by neighborhoods.
The average estimated cost is €140 for residential properties and around €310 for commercial premises . However, there are significant differences by area: Aravaca is around €574 , while El Viso is around €457 , Recoletos around €430 , Los Jerónimos around €427 , and Castellana around €385.
At the opposite end of the spectrum, neighborhoods like San Cristóbal (Villaverde) have an approximate cost of €47 , and areas like Pradolongo and ZofÃo (Usera) around €59 , Amposta (San Blas-Canillejas) around €62 and Portazgo and San Diego (Puente de Vallecas) at €64.
The Madrid Tax Agency estimates revenues of approximately €296 million . With the repeal of the TRUA (Urban Waste from Activities Tax), which contributed around €40 million , the additional net income for the year is estimated at around €256 million.
Garages and storage units associated with a dwelling, as well as vacant lots and dilapidated buildings , are exempt from payment . Empty homes and unused premises only pay the fixed fee for service availability , provided they prove their status each year.
Who pays in rented housing
The City Council sends the bill to the landlords , who can pass the cost on to the tenant if this is expressly stated in the lease agreement . In contracts signed before the tax was introduced, this clause is not usually included.
For new contracts, it is possible to agree that the tenant will assume the payment , without prejudice to the " polluter pays " principle . The key, in practice, is what is agreed upon by the parties and how it is documented in the contract.
Bonuses and exemptions
Discounts are available for groups such as large families and people in vulnerable economic situations . In certain social circumstances (e.g., Minimum Living Income or minimum income schemes), the reduction can reach 100%.
Applications must be submitted using the official City Hall form and filed electronically or in person at assistance offices. It is important to review the requirements and deadlines to avoid losing your entitlement to the discount.
Political and judicial fronts
The TGR (General Treasury of the Republic) has also taken the matter to court . Vox and Más Madrid have filed appeals with the TSJM ( Superior Court of Justice of Madrid), requesting precautionary suspension measures . The city council points out that it is not standard practice to suspend a current ordinance.
The municipal government maintains that it is implementing a state obligation and that it lacked clear guidelines for designing the system. In the political debate, the lack of harmonization between cities and the distributive effects of the fixed portion linked to the land registry are also criticized .
What the city councils ask of the law
The FEMP proposes opening a technical review of Law 7/2022 that better specifies the essential elements of the fee (e.g., use of the cadastral value, number of occupants, water consumption or waste generated ) and provides common criteria that limit the disparity between municipalities.
In this context, the shared objective is to move towards a system that incentivizes recycling , strengthens fairness and offers greater legal certainty to taxpayers and administrations.
With billing already underway , Madrid faces a two-month payment schedule, calculated as 81% fixed and 19% variable , with significant differences between neighborhoods and discounts for those who meet the requirements. Meanwhile, appeals before the High Court of Justice of Madrid (TSJM) continue, as does the debate on how to refine regulations that aim to align service funding with circular economy objectives.
