Avoid waste, improve resource recovery and build demand and markets for recycled products by integrating the circular economy in national waste policy and infrastructure projects.
- Destabilised world
Key messages
Prioritising the delivery of a circular economy through relevant standards, guidelines and procurement can reduce costs for business, support new industries and jobs and enable the efficient use of natural resources.
The transition to a circular economy means everyone who imports, produces, designs, constructs, sells and disposes of a product will share responsibility over its lifecycle.
Transitioning also involves developing the necessary resource recovery infrastructure to re-circulate recovered resources.
A consistent national approach to sustainable waste policies that encompasses all aspects of the waste value chain would accelerate Australia’s transition to a circular economy.
Product development and innovation for using recycled materials as an industry resource is a significant opportunity for Australia, domestically and globally.
What are the impacts?
A circular economy based on the principal of designing out waste and pollution will inherently reduce environmental impacts by keeping products and materials in use and to regenerating natural systems.
For instance, in South Australia, a circular economy could reduce greenhouse gas emissions by 27%, creating 25,700 more full-time equivalent jobs compared to business as usual in the state. Overall, recent modelling of the value of circular economy activities includes potential economic benefits of $23 billion in GDP (in present values) by 2025.
Opportunities for education and employment presented by the shift towards a circular economy have the potential to support social outcomes by creating new industries and jobs.
Tracking and monitoring resource streams could increase regulatory burden on local governments and industry, but will enhance transparent and consistent governance.
How easy is it to implement?
Progress towards a circular economy depends on a fundamental shift in consumer, commercial and industrial behaviour, as well as the development of domestic resource recovery infrastructure. This change will be complex, and much of the upfront cost of implementing new infrastructure and network logistics to support these services is likely to fall on local governments and be passed on to users.
Many states and territories now have, or are developing, circular economy strategies. A circular economy also forms a central part of the National Waste Policy. There are also procurement and public funding policies.
However, harmonising inconsistent policies across all levels of government will require high levels of interjurisdictional capacity. Constraints with end-use market demand and resource recovery infrastructure must be addressed to manage Australia’s waste volumes domestically.
How certain are the outcomes?
Community acceptance for the reforms is likely but may require building awareness of all the changes and outcomes. The concept of waste as a resource and the role of various actors in the circular economy is not yet widely understood, but there is growing public awareness and support for a more sustainable approach to waste.
Confidence that the reforms will be achieved depends on a systems-level change, through procurement, governance and financial and delivery incentives and mechanisms. A piecemeal approach will not create a circular economy.
With waste management being shared across all levels of government, the extent of control will be determined by the decisions, policies and regulations enacted at each level, including industry cooperation.
Environment |
Organic waste reduction
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Economic |
Total waste generated
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Economic |
Recovery rate
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Read more about this recommendation in 9.1 Valuing resources to enable a circular economy in the 2021 Australian Infrastructure Plan.
Reform implementation pathway
This recommendation comprises of outcomes and activities, which form the reform's implementation pathway.
The implementation pathway is designed to guide change agents on the supporting activities necessary to achieve the overall reform.
For each outcome and activity, we propose change agents to act as:
- Proposed sponsor: facilitate, coordinate and champion the recommendation
- Proposed lead: deliver specific activities or lead related outcomes
- Support: share ownership, contributions or knowledge to enable the reform process.
Increase understanding of the role of consumers in the circular economy through community education on responsible waste behaviour.
0-5 years
Increase understanding and compliance through community education, which highlights the benefits of landfill diversion and the importance of correct separation of materials for household waste collection services.
0-5 years
Increase consumer understanding by reviewing the effectiveness of current recycling labels.
0-5 years
Increase consumer participation in product stewardship by applying these recycling label insights to a broader range of materials and products.
0-5 years
Reduce the impact of plastic on the environment by implementing the National Plastics Plan.
0-5 years
Increase plastic recycling by providing guidance on aligning requirements and timeframes between state and territory governments and industries.
0-5 years
Build support for the circular economy and embed circular practices by developing a circular economy roadmap for the infrastructure sector, including annual progress reports.
5-10 years
Improve uptake and consistency in the use of recycled and recyclable materials in infrastructure and construction projects by incorporating targets in building and design codes.
5-10 years
Ensure greater use of recycled materials within government infrastructure projects by developing procurement targets and timelines.
0-5 years
Support the piloting and early deployment of innovative technologies and processes through structured co-investment programs for products incorporating recycled materials.
0-5 years
Support co-location of circular economy facilities by undertaking collaborative land-use planning.
5-10 years
Improve waste infrastructure in rural and remote areas by developing land-use plans that include resource recovery facilities.
5-10 years
Improve levels of service in Rural Communities and Remote Areas by identifying locations for hub-and-spoke models of waste management services.
5-10 years
Reduce organic waste to landfill through mandating local council food organics garden organics (FOGO) collection services.
5-10 years
Reduce waste to landfill and emissions by introducing FOGO collection and processing for households when renewing existing waste management contracts.
5-10 years
Increase uptake of FOGO services and encourage positive waste behaviours by implementing ongoing education and communications with households before and during the life of the collection service.
0-5 years
Account for local factors such as geography, climate and storage when developing place-based guidance on FOGO implementation for local government.
0-5 years
Enable FOGO collection in apartments by amending complying development provisions to allow retrofitting for facilities in existing apartments, and by incorporating FOGO and other collections in the design of new builds.
5-10 years
Reduce mixing of waste by commercial and industrial operators by creating an opt-in program to separate organic waste into a different stream.
5-10 years
Develop end markets for reprocessed organics by developing a FOGO recovery strategy that tests new uses for recovered materials.
0-5 years
Improve distribution of FOGO material to regional areas for further processing and use by consolidating collected FOGO material.
0-5 years
Avoid food waste across the supply chain by working with industry to connect with alternate markets for the quick and direct sale and redistribution of FOGO.
0-5 years