AVE CZ, a major player in the Czech waste management sector, has come under intense scrutiny following allegations of corruption and illegal landfill activities. The controversy centers on the company’s landfill in Čáslav, where Transparency International’s chapter in the Czech Republic raised concerns about improper handling of hazardous waste, lack of regulatory oversight, and possible corruption involving both municipal and national officials.

Illegal landfill operations and corrupt practices

According to Czech Radio (iRozhlas), AVE CZ allegedly failed to comply with environmental regulations at its Čáslav landfill, improperly stored waste and avoided fines through questionable negotiations with authorities. Reports indicate that permits were manipulated or granted under suspicious circumstances, raising concerns about regulatory capture. Transparency International’s chapter in the Czech Republic filed a formal complaint with law enforcement, prompting the police to open a criminal investigation.

Transparency International’s role

The organisation played a key role by gathering evidence from whistleblowers and local activists, showing how AVE’s practices harmed local communities while company officials allegedly leveraged political connections to shield operations from scrutiny. Transparency International Czech Republic also highlighted how the landfill’s expansion plans were pushed through despite public opposition, fuelling suspicions of backroom deals with local government representatives. Transparency International Czech Republic is also assisting with a local referendum on the landfill expansion.

Impact on climate and communities

The Čáslav landfill case exemplifies the intersection of poorly monitored waste disposaland climate-related harm. Improper waste management has significant environmental consequences, including soil and water contamination, methane emissions, and public health risks. Such impacts undermine climate mitigation goals at a time when waste policy and landfill management are increasingly framed as components of environmental transition strategies. Local residents have voiced concerns about worsening air quality and groundwater pollution, linking these issues to AVE’s practices.

Broader context: waste, corruption, and transition funds

The case unfolds amid heightened scrutiny over how billions of euros from the EU’s Just Transition Fund are being allocated in Czech regions affected by coal phase-outs. These funds are intended to support environmentally sustainable projects and cleaner alternatives, including waste management. Transparency International has warned, however, that weak oversight and opaque decision-making create opportunities for politically connected companies to secure permits, subsidies, or expansion approvals despite questionable environmental practices. The AVE CZ investigation illustrates concerns that alleged corruption in the waste sector may risk diverting transition funds away from genuine climate solutions and entrenching environmentally harmful operations under the guise of green transition.

Significance and legal outlook

If proven, the allegations could result in substantial fines, withdrawal of permits, and criminal liability for company executives and complicit officials. The case also illustrates the risks of greenwashing and corruption in sectors tied to the EU’s climate and energy transition.