NSW Environment Protection Authority (EPA) inspectors visited the Elouera Association last week to check on its procedures.
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The EPA is the primary environmental regulator for New South Wales.
Elouera CEO Allan Young said the inspection was routine and no breach notices were issued.
"More than 100 tonnes of recycling came into the recycling centre over the Christmas and New Year period and unfortunately due to some people not following recycling rules a lot of that has ended up in the landfill," he said.
"But the EPA has found no fault with us."
A spokesperson for the Environment Protection Authority confirmed the inspection was part of normal procedure.
"Our visit to the site was a part of our routine inspections," the spokesperson said.
"The visit was standard procedure and not due to any complaints from the public.
"We have no records of any breaches at this location following the site visit."