In this paper, we present a series of environmental policies that were implemented by the city-state of Athens during the Classical period (508–323 BCE) through a specific set of environmental institutions. They included: waste management, the implementation of a recycling process regarding animal manure as well as hygiene practices. Special administrative bodies were set up for this purpose with the power to impose heavy fines to offenders, and the actual job of environmental protection was contracted out to private operators. We argue that the success of the Athenian environmental institutions should primarily be attributed to the economic stimuli that the Athenian state provided to their staff so as to perform their duties efficiently, as well as to the imposition of fines and/or other penalties if they provided subpar services. We finally provide proposals as to how the Athenian environmental policies may be seen as an inspiration for our modern societies.