As a result, the European Commission issued legal proceedings against Berlusconi's government - a move which could lead to heavy fines.
The crisis has been blamed on a lack of local incinerators, and on landfill sites controlled by the local mafia. Official dumps were declared full late last year.
According to reports from the country, Berlusconi warned in a speech in Rome that it would still take time to provide a lasting solution to Naples' waste disposal problems.
'The complete industrial treatment of rubbish will be ready in about three years, which is the time needed to build the four incinerators required,' he said.
'This crisis has harmed the people of Naples and the Campania region and the Italian people, as well as our tourism industry and exports,' he added.
However, photographs have since emerged in the world's press suggesting that the rubbish had simply been moved to the suburbs ahead of Berlusconi's visit to the town, where he also held a Cabinet meeting.