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Separation of organic waste is compulsory in the Netherlands and is encouraged in Belgium. But even where it's not mandatory, composting is fun! You turn in less waste and don't have the nuisance of a smelly food recycling bin that is only emptied once every fortnight (because a good composter hardly smells). And the fact that you're making fertilizer for the soil is a bonus.
A compost bin is usually sealed on all sides; oxygen can only enter through the lid. Unless you stir the contents regularly, fermentation will occur. The organic waste diminishes enormously in size, and what remains smells like fertilizer and can be used for that purpose. Compost boxes are generally perforated on all sides, which allows the content to compost in the air, especially if compost accelerator is used. Compost can be spread over the garden in a 2 cm thick layer, and it doesn't stink.
It's a shame to use carefully produced – and thus expensive – drinking water for watering plants. Reducing water consumption not only saves you money, it is also a very beneficial contribution towards maintaining a healthy environment. Rain water drums ensure that rain flows where it belongs, all summer long: in your garden, and not down the sewer.