Municipal waste includes mixed municipal waste and separately collected household waste and separately collected waste from other sources, if such waste is similar in nature and composition to household waste. Municipal waste management due to the diverse composition that depends on several factors requires a systematic approach to the problem, and the full implementation of the system, and it is a long process. In the Republic of Croatia, continuous work is being done to improve the legislative framework in order to improve and harmonize the legislation with EU legislation and to increase separation of recyclable species from mixed municipal waste in line with the circular economy. In 2020, 1.653.919 t of municipal waste was produced in the Republic of Croatia, and the rate of separate collection at the state level was 41%, while the specific amount of municipal waste per capita in 2020 was 418 kg/capita/year. The implementation of the circular economy in the municipal waste management system requires investment in infrastructure, and the Waste Management Centers are one of the important elements of the system. Public service providers must therefore increase their activities. In this paper, the modeling of costs of public service providers until 2030 for three different scenarios was made. Based on the obtained results, the implementation of the circular economy in the municipal waste management system increases the costs of public service providers in all scenarios. The largest increase was found is 34,41% in 2030 compared to costs in 2020 in Scenario 3. which assume the largest amount of Waste Management Centers in place.