The amount of waste being recycled across Welsh councils over the last year hit 60 per cent as councils seek to avoid fines.
Targets set for 2015-16 was 58 per cent, before rising to 64 per cent by 2020 and 70 per cent by 2025.
With a 65 per cent recycling rate, Pembrokeshire was the best-performing authority, while Blaenau Gwent was the lowest with 49 per cent.
A Welsh Government spokesman said: "Welsh ministers will make decisions on whether to issue penalties to authorities failing in 2015-16 on an authority by authority basis once the circumstances around the failures are fully considered.
"Which local authorities have failed for 2015-16 will not be fully known until the final validated annual figures are produced in October 2016. Fines may be imposed in future if local authorities continue to miss targets."