Those living and working in parts of Coldharbour Lane, Stockwell Road and Brixton Road could be fined if they leave waste bags on the street outside set times of 7am – 8am and 5.30pm – 6.30pm.
The scheme will come into force from February 26 and will also apply to part of Waterloo.
Lambeth council say the aim is to reduce the amount of rubbish left out in shopping areas and to ensure companies pay for commercial waste collection.
While 23 statutory notices have been issued to repeat offenders the council says most businesses have complied with the scheme. Cllr Imogen Walker told the London SE1 website that the initial worries that collections during rush hour would disrupt traffic have been show to be unfounded.