Auckland will be getting curbside compost collection from 2021.
On Thursday Auckland Council announced it will partner with New Zealand owned Ecogas to process food waste instead of sending it to landfills.
In Auckland alone, food scraps make up close to half the weight of the average household bin.
However, the council says research shows the majority of Auckland households do not currently compost.
"Many people believe that food decomposes in a landfill, so it's okay to put it in your bin," said a statement from the Auckland council.
"The reality is landfills are designed to store waste, not to break it down."
The compost collection will break down the scraps and use them to enhance soil and heat greenhouses.
Ecogas told RNZ it estimates 60,000 tonnes of kerbside waste could produce enough renewable energy to power more than 1000 homes.
It's expected to roll out in October 2021 and will contribute to Auckland's goal of being zero waste by 2040.