Everything you need to know about reusing and recycling wood pallets

 Learn more about reusing and recycling wood pallets

 How to recycle wood pallets

Most wood pallets can be reused, repaired, recycled or even used as a bio-fuel instead of going to landfill.

• Pallet suppliers may offer a pallet return service, which may be run as a credit scheme to encourage higher return rates.
• A number of companies also offer drop-off and/or pick-up services for reusable or repairable pallets (this service may be free for large quantities).
• Some companies, including pallet repair companies but also commercial composters and wood waste grinders, will also accept waste pallets for recycling.
• Use the directory on this page to find a timber recycler for wooden pallets.

Reusing and repairing pallets

Most wood pallets can be reused and repaired multiple times, aside from a small proportion designed for single use. Reusing the pallets saves trees, energy and diverts useable materials from landfill.

There are financial incentives to reuse pallets, with many producing companies requiring deposits on pallets to encourage higher return rates. Investing in more expensive multiple-use pallets also offers long-term savings through an extended lifecycle.

Softwood pallets make up the largest proportion of wood packaging placed on market. In 2021-22, 2.4 million tonnes of wood were avoided through the use of qualified reusable packaging systems.
 
Source 
Wood Consumption and Recovery 2021-22 Fact Sheet, Australian Packaging Covenant Organisation (APCO) 
 

Why recycle?

Pallets that can't be reused can be shredded and recycled into wood-based products such as landscaping mulch and building products.
 
Recycling one tonne of timber pallets: 

• Reduces 1.35 tonnes of greenhouse gases (CO2e).
• Reduces energy use to the equivalent of six houses for a whole month.
• Prevents around 14 wheelie bins of timber from going to landfill.

Sources 
Data for timber pallets/packaging (Commercial & Industrial and Construction & Demolition recycling only) contained in Table 4 (p.14) Department of Environment, Climate Change and Water NSW (2010) Environmental Benefits of Recycling, DECCW, Sydney South.
 
“Everyday” cumulative energy demand savings expressed as average household monthly electricity requirements (500 kWh). 10.73 GJ LHV (2,983 kWh). 1GJ LHV = 278kWh (GJ LHV = Giga-joules of fossil energy (low heating value); kWh = Kilowatt hour).
 

What happens to them?

Reuse

Multiple-use pallets offer significant long-term financial savings over single-use pallets. They also offer significant reductions (roughly 50%) in energy consumption, solid waste generation, and greenhouse gas emissions compared to single-use wood pallets.

Repair 

Most wood pallets are made up of a number of standardised components. Therefore, if a component should be damaged or break, your wood pallet can easily be repaired and reused. 

Recycle

Pallets are dismantled and the wood is then processed into wood products like particleboard, wood chips, mulch, animal bedding, biofilters (for stormwater) or used as biomass (a source of renewable energy).