Although a more sustainable lifestyle means less “rubbish” is produced, it is unrealistic to expect there will be none. How we deal with it depends more on arrangements with the local council and agreements between participants. The simplest solution would be each household is assigned one bin which is empties weekly by council services.
Each residence may be hundreds of meters from council sewerage facilities, so it may not be feasible to simply connect your toilets to the traditional sewers. A better option is likely to be standalone and natural systems that degrade human waste. There are many such solutions, with one being at http://www.wormsmart.com.au/
If sewerage is improperly treated, it can present a serious hazard. So all participants must agree to the technology being used, and areas of installation. We will also have the assistance from councils to advise what is suitable.