I usually keep it frozen until I got enough tech and materials to build an atomiser. It takes little freezer space, as long as you reduce bot usage (I use mostly lifters and cleansweepers), but that depends a lot on colony size and playstyle.

Another alternative is to fill transport pods with the wastepacks and dump them far away. Preferably in the sea, and far away from any other settlement. If you must anger someone with the dumping, then it should be either a faction that you want to keep hostile towards you (hello imps! Thanks for the leather and meat) or one that is really easy to keep happy (because e.g. you keep trading with them).

I just dump it in the river, seems to stop those raids that spawn on toxified land