Chief executive officer Peter Schneider said council couldn't be certain about the percentage of recyclable material that was being processed and reused or sent to landfill.

"This is why council is considering other recycling options, including a separate glass collection," he said.

He said a fourth bin would help contain waste charges while bringing about significant environmental benefits. He said there was a demand for glass as a material as it could be reused in road construction.

Residents will have the opportunity to have their say on four recycling options, two of which include the addition of a fourth bin for glass collection.

The options include:

The survey comes after SKM Recycling told 33 Victorian councils it would cease taking their recyclables, effective immediately.

Mr Schneider said the council was currently operating under an interim processing arrangement following its abandonment of its tender process with SKM in April.

He said the council's recycling contractor Wheelie Waste transported recyclable material to Visy in Melbourne

"We have not received any advice that the interim service will cease, however, the recyclables market is volatile and this could change at any time," he said.

Mr Schneider said contractual arrangements between Wheelie Waste and Visy did not involve the council.

Mr Schneider said a number of councils across the state had adjusted to waste charges to accommodate the higher costs of processing recyclable material.

He said the potential for shared services between south-west councils had been explored and continued to be discussed.

"The business case would need to prove benefit for the Warrnambool community before it occurred," he said.

"There are of course differences between municipalities with Warrnambool largely comprised of a more densely populated, compact urban area compared to surrounding municipalities which have more dispersed populations which has implications for collection costs."

Residents have until August 26 to have their say on council's new approach to recycling.

Warrnambool mayor Tony Herbert said no matter the outcome, council would also replace the existing 80-litre landfill bins with a larger 140-litre bin.

"Many of the 80-litre bins are more than 15 years old and are due to be replaced," he said.

"Ultimately the future of waste management is likely to involve collecting less landfill waste less frequently, which FOGO, a separate glass collection and uncontaminated recycling would allow.

"The larger landfill bin provides Warrnambool with the option to move to a fortnightly landfill rubbish collection. The old 80-litre bins will be shredded and re-used to make new bins."

To have your say, visit to yoursaywarrnambool.com.au.

Kerbside glass separation is being trialled in Koroit after Moyne Shire councillors backed the plan at last month's council meeting.

READ more: Koroit to receive glass separation trial amid pressures on Australian recycling

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