Fine over recycling explosion increased by $225,000 on appeal

In March 2025, Rose & Co Services Pty Ltd was convicted and fined a total of $35,000 in the Shepparton Magistrates’ Court after pleading guilty to one charge under the Occupational Health and Safety Act and one charge under the Dangerous Goods Act.

Following an appeal, the Melbourne County Court on Thursday 11 December set aside the original sentence, convicting the company and ordering it to pay $220,000 for failing to provide a safe system of work and $40,000 for breaching Dangerous Goods Regulations by failing to instruct workers on the nature, hazards and properties of dangerous goods at the workplace.

It was also ordered to pay $5,292 in costs.

Rose & Co Services recycled items such as aerosol cans, the contents of which were classified as Class 2.1 Dangerous Goods, using an item of plant known as a “shredder” to cut them into smaller pieces.

In May 2023, the shredder was being used to shred aerosol cans when an explosion injured six workers, including two who were airlifted to the Alfred Hospital’s Burns Unit.

Flames from the explosion spread up to 18 metres from the shredder before workers used fire extinguishers to stop the blaze.

A worker who was clearing scrap metal from beneath the shredder at the time suffered severe burns to his back and arms, while a second worker, who was on a forklift next to the shredder, sustained severe burns to his face and upper body.

Four other workers required hospital treatment for superficial burns.

WorkSafe’s investigation found that almost all of the cans on the conveyor belt leading to the shredder were still pressurised, despite many being marked with the warning “empty to recycle”, and that bulk containers stacked nearby had reduced ventilation in the area.

Investigators also found a hazard and risk register had identified the risk of the shredder catching fire, as well as evidence from employees that the shredder had caught fire previously. They also found a Country Fire Authority audit recommending that the company train all employees in the storage and handling of dangerous goods.

It was reasonably practicable for Rose & Co Services to reduce the risk of an explosion by providing a system of work that included emptying or puncturing aerosols before shredding, using ventilation such as fans while the shredder was operating, and not storing bulk containers in a way that reduced ventilation around the machine.

The company also failed to provide the worker operating the shredder with instructions about the nature, hazards and properties of dangerous goods, including aerosols.

WorkSafe Acting Chief Health and Safety Officer Barb Hill said the company’s lack of care, which resulted in injuries to six workers, was a serious breach.

“This incident was entirely preventable through proper training and adequate responses to previous fires and hazards the company was aware of,” she said.

“You cannot be too cautious when working with dangerous goods, and this outcome shows we will continue to fight for the strongest possible penalties against those who disregard their legal duties and endanger the lives of workers.”

Employers of workers involved in handling or storage of dangerous goods must provide induction, information and training, including on the:

• nature of the hazards and properties of the dangerous goods and the processes used for the identification and control of the risks associated with the person’s tasks;
• purpose, use and maintenance of the measures for the control of those risks;
• systems of work and the conduct of persons at the premises to the extent this affects the safe storage and handling of dangerous goods;
• operation of the emergency plan for the premises and any procedures and equipment that may be required for use in the event of an emergency; and
• proper use and fitting of personal protective equipment (PPE).

Employers working with dangerous goods should refer to WorkSafe’s Code of practice for the storage and handling of dangerous goods for advice on:

• the risk posed by areas where explosive gas atmospheres may be present;
• ignition sources such as mechanical and electrical sparks created by hot work processes; and
• engineering controls such as installing local exhaust ventilation to eliminate flammable atmospheres.