"Bins with different colours should be used to segregate the waste in every house and shop. Green bins should be used for the wet waste and blue for the dry waste," he said.
The urban development minister was addressing a gathering after launching a campaign on segregation of waste at the source in the National Capital Region (NCR) on World Environment Day.
Explaining the ill-effects of the incorrect ways of waste disposal, he said the burning of unsegregated solid waste caused the emission of greenhouse gases such as methane and carbon di-oxide which, in turn, resulted in climate change.
Naidu talked about the efforts of the Centre in converting waste into energy.
On the occasion, an agreement, under which the Delhi Metro will purchase "green" power from the Infrastructure Leasing and Financial Services (IL&FS), was signed between the two parties.
Besides flagging off segregated waste collection vehicles, Naidu also released a book of cartoons which highlights the importance of solid waste management.