Dannevirke's recycling collection will be moving to fortnightly from August 1.
Tararua District Council's infrastructure manager Chris Chapman told the council at a meeting last week that the cost of weekly recycling has "increased significantly", making it no longer sustainable.
He said if the council retained the current collection service, the budget would have to go up to cover the increase.
The main area of concern was that not every resident was leaving out recycling so trucks were only picking up from one or two addresses in each street.
The council agreed to change the recycling collection to fortnightly, beginning next month.