soft plastic packaging - apco

March 2019

WORKING GROUP 2018

SOFT PLASTIC PACKAGING

2SOFT PLASTIC PACKAGING WORKING GROUP 2018

DisclaimerAPCO and the contributing authors have prepared this report with a high-level of care and thoroughness and recommend that it is read in full. This report is based on generally accepted definitions, data and understanding of industry practices and standards at the time it was prepared. It is prepared in accordance with the scope of work and for the purpose outlined in the introduction. Sources of information used are referenced in this report, except where provided on a confidential basis. This report has been prepared for use only by the APCO, and other third parties who have been authorised by APCO. APCO and the contributing authors are not liable for any loss or damage that may be occasioned directly or indirectly using, or reliance on, the contents of this publication. This report does not purport to give legal or financial advice and does not necessarily reflect the views of individual Working Group members or their organisations. No other warranty, expressed or implied, is made as to the professional advice included in this report.

1. Executive Summary 3

2. Definitions 7

3. Scope 9

4. StakeholderIdentification 11

5. MaterialityStatement 12

6. KeyPriorityAreas 13

7. BaselineData 13

a. Amountconsumed 13

b. Mainproductapplicationsorsectors 13

c. Designinitiatives 13

d. Recoveryandrecyclingsystems 14i. Reduction or reuse systems 14ii. Collection systems 14iii. Recycling systems 15iv. Recycling technologies and end markets 16

e Recyclingrates 19

8. LifecycleApproach 19

9. Conclusions 20a. Conclusions 20b. Data Gaps 20

Contents


APCO has been charged by Environmental Ministers in Australia to lead the 2025 National Packaging Targets. To progress towards these targets, the following areas will need to be addressed:• Packaging design will need to ensure that it is

suitable for recovery through either reuse, recycling or composting

• Infrastructure will need to be available for the collection and recovery of all packaging types through either reuse, recycling or composting

• End markets will need to be strengthened to support the recycling industry

• Consumers will need to be informed and educated about the correct recovery channel for all packaging.

In 2018 APCO convened five working groups to investigate barriers and opportunities to improve the recovery of five ‘problematic’ packaging materials: glass, polymer coated paperboard (PCPB), soft plastics, biodegradable and compostable packaging, and expanded polystyrene (EPS). The groups worked to establish a shared understanding of the problem and to identify projects to be undertaken by stakeholders in the packaging value chain to support achievement of the 2025 National Packaging Targets for each material category.

The identified projects have been reviewed, prioritised and combined with other initiatives to develop projects for implementation in 2019. Priority projects for implementation in 2019 are summarised in Table 1. The individual projects aim to support the achievement of the 2025 National Packaging Targets by addressing packaging design, consumer engagement, recovery systems and end markets.

2018 Soft Plastics Working Group’s (the Working Group) vision is for all soft plastics to be designed for reuse or recycling, to incorporate recycled content where feasible, and to be recycled or composted at end of life. This aligns with the UN Sustainable Development Goals (SDG), particularly Goal 12 (‘Sustainable production and consumption’).

In accordance with the waste hierarchy and circular

Executive Summary

economy principles, avoidance and reduction should be prioritised and end markets for recycled plastic need to achieve the highest potential environmental value (see Figure 1). The primary goal is to recycle as much as possible back into packaging, where this is not possible (e.g. for multi-layer packaging formats) plastics may be recycled to make other products that can also be recycled at end of life. Packaging that cannot be collected for material recycling (e.g. because it is too contaminated with food or another organic nutrients), could be designed for composting. Waste to energy is regarded as a useful ‘last resort’ solution once all other technologies and end markets have been explored.

Achieving this vision will require coordinated national action in the following areas:• End markets: Robust and sustainable markets

for soft plastics, including more research and development and reprocessing facilities with capacity to absorb the growing quantities of soft plastics being collected.

• Procurement: Commitment from government agencies and other large organisations to buy recycled products containing recycled plastics.

• Consumer education: Understand the benefits of soft plastics, e.g. for extended shelf life, but avoid unnecessary use; know how to recycle and buy recycled products to ‘close the loop’.

• Design: Unnecessary, problematic or inefficient packaging eliminated; all soft plastics designed for recycling; hard-to-recycle soft plastics e.g. PVC and multi-material laminates, replaced with more recyclable alternatives; inclusion of recycled content, where possible.

• Collection: Users separating soft plastics for recycling at home or at work; at least 80% of households have access to a convenient recycling option through either kerbside collection, retail drop-off, or council recycling centres; clear and consistent recycling labelling.

• Sorting: Material Recovery Facilities (MRFs) set up to sort soft plastics as a separate stream.


Executive Summary

Key themes that emerged from the Working Group include:• The need for more accurate and detailed data on

packaging consumption and recycling• Suggestions for reduction or elimination of

problematic and unnecessary packaging • Additional resources to support sustainable

packaging design and procurement• Consumer education on packaging reduction and

correct recycling• The need for targeted industry education on

packaging design, procurement and recycling• Collection and recycling infrastructure gaps and

lack of local end markets • Government procurement to support end market

development

Avoid

Reduce

Material recycling back into packaging

Material recycling to other products

Biological recovery

Organics recycling

Energy recovery

Landfill

Figure 1: Waste hierarchy for soft plastics packaging (guide only)

This report has been prepared by APCO in collaboration with the APCO Soft Plastics Working Group 2018. The purpose of this document is to analyse the current status of soft plastics packaging materials and propose projects to increase the recovery of these packaging materials.


2025National

packagingtargets

reusable,recyclable orcompostable

Consumer engagement

Recycled content label

Compostable packaging label

Consumer education

100%

of plasticspackagingrecycled orcomposted

70%

averagerecycledcontent

30%

Problematicand unnecessary

single-use plasticspackaging

phased out

Design

Resources to support SPGs

Food service guidelines

Life cycle assessment guide

Industry education

Collection and recycling systems

Analysis of problematic materials

Pulpability trials

Compostability trials

End markets

Government procurement of recyled products

Supply chain procurement of recycled plastics

EPS recycling into local products

SPIRIT

Figure 2. APCO projects linked to the National Packaging Targets

Table 1. APCO priority projects for 2019

Executive Summary

PROJECT NAME DESCRIPTIONAPCO 2019 WORKING GROUP

1. Packaging baseline data

1.1 Packaging consumption and recycling

National Packaging Targets Implementation (NPTI)

1.2 Infrastructure mapping

1.3 Economic analysis of alternative collection systems and end markets

2. Public statements on specific materials

Public statements on outcomes of previous 5 working groups

3. White paper on problematic and unnecessary packaging

Paper to identify target products/materials and build the case for phase-out

4. Options to standardise recycling systems

Modelling strategic options to facilitate achievement of the 2025 NPT

5. Resources to support the Sustainable Packaging Guidelines

5.1 Quickstarts: (i) recovery pathways, (ii) glass, (iii) PCPB, (iv) EPS, (vi) PET, (vii) labelling

Design

5.2 Design for soft plastics packaging (build on CEFLEX)

5.3 Design for compostable packaging

5.4 Wine packaging guidelines

6. Food service packaging guidelines

Engagement workshops, guidelines & case studies


Executive Summary

PROJECT NAME DESCRIPTIONAPCO 2019 WORKING GROUP

7. Compostable packaging label New label to align with the Australasian Recycling Label (ARL)

Design8. Recycled content label New label to align with the ARL

9. Life cycle assessment (LCA) guide

Database and guidelines

10. Consumer education How to recycle – including the ARL

Systems & Education

11. Analysis of problematic packaging materials

Trials to investigate specific issues

12. Pulpability trialsTrials to investigate pulpability of polymer coatings, non-wood fibres etc.

13. Packaging supply chain trainingTraining in collaboration with AIP on PSF – including SPG, PREP/ARL

14. Models for phase out of single use plastics

Working with Boomerang Alliance on council / community case studies to reduce/replace plastics

15. Composting trialsResearch to analyse compostability of different certified materials

16. Regional model for soft plastics recycling

Working with Plastic Police to evaluate and document a regional collection and market development model

17. Remote/regional waste collection partnerships

Workshop on potential partnership-based solutions to packaging waste collection in remote and regional Australia

18. Government procurement of recycled products

Guide on buying recycled including case studies and technical information

Materials Circularity

19. Supply chain procurement of recycled plastic products

Case studies with APCO Members to identify end market opportunities for soft plastics

20. EPS collection and end market pilot

Working with EPSA to document and share a model to collect and reuse EPS in waffle pods

21. Sustainable Packaging Information and Resource Interactive Terminus (SPIRIT)

Resource to help industry and government make sustainable purchasing choices

22. Innovation HubDriving innovation in Australia to address the future of sustainable packaging


Table 2. Definitions relevant to soft plastics packaging

Definitions

1 APCO (2019) Sustainable Packaging Guidelines 2 European Bioplastics, Bioplastics Glossary, Organic recycling. 3 APCO (2019) Sustainable Packaging Guidelines4 APCO (2019) Sustainable Packaging Guidelines

For the purpose of this document, the following terms have been defined:

TERM DEFINITION

Compostable Packaging

Means the packaging has been certified as compostable according to AS 4736, AS 5810 or a similar standard, and the majority of consumers have access to a composting system to recover the material.

DesignIncludes choice of materials, additives, colours, labels, glues, inks, caps and closures, format, dimensions, etc.

Highest potential environmental value

Means that recovery is occurring at the optimal level of the waste hierarchy, based on available recovery systems and sustainability impacts of alternative recovery options (e.g. composting vs. recycling, or recycling vs. energy recovery). Reuse is encouraged prior to recovery when there is evidence that it extends the life of the packaging and achieves positive sustainability outcomes.

LabellingCan be in the form of a statement, symbol or graphic on a purchased product at any point in the supply chain, but most commonly used at the final point of sale (e.g. retail).

Material recyclingReprocessing, by means of a manufacturing process, of a used packaging material into a product, a component incorporated into a product, or a secondary (recycled) raw material; excluding energy recovery and the use of the product as a fuel.1

Materials Recycling Facility (MRF)

A specialised plant that receives, separates and prepares recyclable materials for marketing to end-user manufacturers.

Organics recyclingThe treatment of separately collected organics waste by anaerobic digestion, composting or vermiculture.2

Packaging Recyclability Evaluation Portal (PREP)

An online tool that provides clear, consistent and validated information about the recyclability of specific packaging formats.

Recoverability Of packaging refers to the availability of systems for reuse, recycling, composting or energy recovery. ‘Recyclable’ means that there is an existing system to collect and recycle the packaging in Australia (see ISO 140121 for more detail).

Recyclable

Means that, in a particular geographical area, at least 80% of the overall population has convenient access to a service that collects the packaging or packaging component, and that this item can be recovered and sorted in a stream where at least 70% of its weight can be recycled into another product. This should consider its design, manufacturing process and most likely way of using, disposing and collecting it.3

Recycled Content

is the proportion, by mass, of pre-consumer and post-consumer recycled material in packaging (AS/ISO 14021). ‘Pre-consumer’ material is material diverted from the waste stream during manufacturing (excluding rework). ‘Post-consumer’ material is material waste generated by households or by commercial, industrial and institutional facilities. The amount of renewable or recycled material is expressed as a percentage of the quantity of packaging material put onto the market.4


TERM DEFINITION

Recycling Includes both material recycling (maintaining material structure) and chemical recycling (e.g. breaking materials down into more basic building blocks). It explicitly excludes technologies that do not reprocess materials back into materials but into fuels or energy.

RenewableMaterial that is composed of biomass from a living source and that can be continually replenished. Renewable materials include paper and cardboard from sustainably grown wood fibre, or a biopolymer from a sustainable source.5

Reusable Means a characteristic of packaging that has been conceived and designed to accomplish within its life cycle a certain number of trips or uses for the same purpose for which it was conceived.6

Waste hierarchy

Places the highest priority on avoidance (action to reduce the amount of waste generated) followed by resource recovery (reuse) followed by recycling, reprocessing and then energy recovery, consistent with the most efficient use of the recovered resources; and finally, disposal in the most environmentally responsible manner.

5 ISF UTS (2017) Packaging Sustainability Framework, definitions https://www.australianpackagingassessment.com.au/definitions/ 6 APCO (2019) Sustainable Packaging Guidelines

Definitions


Soft (flexible) plastics are generally defined as plastics that can be scrunched into a ball, unlike ‘rigid’ plastics such as bottles and tubs, which are moulded and hold their shape. They are generally made from low density polyethylene (LDPE), linear low-density polyethylene (LLDPE), high density polyethylene (HDPE) or polypropylene (PP).7 Other potential materials used in soft plastics include:• polyethylene terephthalate (PET)• polyvinyl chloride (PVC)• polystyrene (PS)• polyethylene (PE)• biaxially-oriented polyethylene terephthalate

(BOPET)• ethylene-vinyl alcohol copolymer (EVOH)• polylactic acid (PLA)• biaxially-oriented polypropylene (BOPP)• other - bioplastics, aluminium, nylon and paper.

Complexity is created when more than one type of polymer and/or other materials such as aluminium are used to create flexible packaging8. This has arisen in response to increasing requirements for packaging, e.g. improved food presentation, convenience and product protection9.The composition of soft plastic packaging can be broken down into two broad groups:• Mono-layer: using one polymer, often PE. Examples

include stretch wrap, shrink wrap, retail shopping bags, produce bags, self-seal food storage bags.

• Multi-layer: composed of two or more materials joined together through co-extrusion or lamination. Layering different materials together is advantageous for manufacturers to create a package with unique barrier and mechanical properties. This often results in thinner and lighter packaging (compared to mono-layer), which reduces the resources required to produce and transport packaging. Compositions range from three to nine layers. With so much variation in materials and structure, these formats add to the complexity of recovery and recycling. Examples include primarily product packaging such as pouches, sachets, packets, bags and lidding materials that require high barrier properties.

Defining the scope of soft or flexible plastics is difficult due to the wide variety of resins, polymers and formats used. The main categories are:• Retail shopping and produce bags• Consumer bags, pouches and film• Commercial and industrial film (stretch and shrink

wrap) and bags• Agricultural film (bale wrap, cotton film, mulch film)

and grain bags• Building films used to protect items such as timber,

plasterboard, bricks, etc.Table 3 provides an overview of the soft plastic packaging that this group has focused on, divided into categories that influence recyclability.

Scope

Stakeholder identification

7 Sustainable Packaging Coalition (2018) Multi-Material Flexible Packaging Recovery https://sustainablepackaging.org/committees/multi-material-flexible-packaging-recovery/ 8 Sustainable Packaging Coalition (2018) Multi-Material Flexible Packaging Recovery https://sustainablepackaging.org/committees/multi-material-flexible-packaging-recovery/ 9 APCO (2016) National Recycling and Recovery Survey (NRRS) 2015-16 for plastics packaging (IND 299/16) https://www.packagingcovenant.org.au/documents/item/1070


Scope

Table 3. Types of soft plastic packaging separated by stream

CATEGORY DESCRIPTIONPRIMARY POLYMER

SOURCECONTAMINATION LEVEL/ TYPES

EXISTING RECOVERY METHOD

DESTINATION AND END USE (EXAMPLES)

Household

Mixed film packaging, including retail shopping and produce bags, and consumer bags pouched and film.

LDPE, HDPE, mixed other - PET, PP, PVC

Consumers, households

Moderate contamination (<20%) e.g. glass, hard plastics, aluminium cans, residual food, general waste

- Drop-off at supermarkets (REDcycle), Council resource recovery centres, other (e.g. Plastic Police)- Kerbside collection, in some Vic council areas

- Replas, Newtecpoly etc as a raw material for benches, bollards, decking etc.- Road base or asphalt- Some clean plastics exported

Commercial

Mixed film- shrink wrap, courier packs, food packaging, retail polybags

LLDPE, HDPE, mixed other

Offices, retail stores, restaurants, other commercial

Low (<10%, excluding restaurants) Hard plastics, paper, general waste

Individual arrangement with contractors

Various – see above

Industrial

Mixed e.g. packaging offcuts, redundant packaging, plasticbags, bulk bags

LDPE, PP, HDPE, other mixed-PET, PVC

Manufacturing sites

High (<40%) Product residue, cardboard, gloves, general waste

Collection and processing, e.g. Plastic Forests

e.g. Cable cover and builders film

Supply chain

Stretch wrap, bundle shrink, plastic bags

LLDPE, LDPE

Retail storeroom/ back of store, distribution centres, warehouse s, transportYards

Low (<10%)

Cardboard, strapping, general waste

Individual arrangement with contractors

Various

AgriculturalBale wrap, mulch film, grain bags etc

LLDPE, LDPE, mixed other – HDPE, woven PP

FarmsHigh soil and plant residue

Individual arrangement with contractors, e.g. Plastic Forests

Various


Table 4 depicts the key groups across the packaging value chain that will need to be engaged in the

design or implementation of the identified projects.

Stakeholder Identification

Table 4. Key groups in the packaging value chain for soft plastics

STAKEHOLDER DRIVERS CHALLENGES

Polymer suppliers- Meet customer requirements- Innovation to protect or expand markets (e.g. barrier packs)

- Often not engaged in recycling at end of life

Packaging manufacturers

- Meet customer requirements- Sustainability / recyclability targets.- Protect or expand markets

- Ability to meet product specs with recyclable and/or recycled content packaging (e.g. due to manufacturers’ processes)

Brand owners

- Product protection- Sustainability / recyclability targets- Meet consumer expectations for recyclable packaging

- Ability to meet product specs with recyclable packaging- Imported packaging

Retailers

- Want to provide a recycling solution for customers- Recycling on-site waste to achieve waste reduction / recycling targets

- Space in retail stores- Cost

Householders- Most want to recycle as much as possible- Looking for convenience / easy solution

- Limited awareness of soft plastic recycling options- No standard labelling system- Limited options for recycling / not included in kerbside- Not willing or unable to take to drop-off

Large organisations generating soft plastics waste

- Costs of waste disposal- Sustainability / recycling targets

- Awareness/interest in recycling- Resistance / conservatism- Limited options for collection & recycling- Contamination of collected soft plastics

Councils

- Trialling collection options to provide residents with a convenient recycling solution – drop-off or kerbside- Popular with residents where introduced- Landfill costs

- Need a contractor willing to trial and implement kerbside collection- Value and reliability of end markets

Collectors - Service for clients- Costs of collection / logistics- Lack of sorting infrastructure- Distance from recyclers

MRF operators

- Soft plastics already coming in as contaminant / causes problems with equipment- Recycling turns a problem into a revenue stream- Landfill costs

- Ability to manage new stream – has to be removed manually- Knowledge/ ability to develop new markets- Contracts with councils

Recyclers - Meet requirements in end markets

- Packaging not designed for recycling- Limited end markets, demand- Complex multi-material formats- Falling value in export markets

Consumers of recycled material (packaging manufacturers)

- Quality- Safety- Cost

- Availability of recyclate that meets quality specifications / reliable supply- Food contact regulations

Consumers (other)- Buy recycled / circular economy policies- Performance and cost relative to alternatives

- Awareness / demand for recycled products- Specifications or standards (e.g. roads)


STAKEHOLDER DRIVERS CHALLENGES

Industry associations representing recyclers/waste/plastics

- Innovation- Audience- Collaboration of members and with other groups

- Cost - Forward planning- Collaboration and engagement with members

Non-government organisations and environment groups

- Promoting zero waste, recycling- Strength (push)- Data reliance

Schools and universities

- Meeting personal targets, driven by students and collective groups

- Cost, contractors for collection- Interest or awareness

Local governments

- Meet national and state targets; drive economic opportunity, etc.

- Funding- Tyranny of distance, regional variability (one-cap-fits all approach doesn’t work)

State and territory governments

- Meet national and state targets; drive economic opportunity, etc.

- Funding- Tyranny of distance, regional variability (one-cap-fits all approach doesn’t work)

Australian Government

- National Waste Policy - Differing approaches across states/territories

Research organisations

- Understanding interactions between packaging and food waste (e.g. CRC)

- Understanding interactions between packaging and food waste (e.g. CRC)

International organisations e.g. EMF, WRAP, CEFLEX, NEMO (US)

- Similar objectives to APCO- Lack of collaboration between organisations at an international level

Materiality Statement

The national recycling rate for soft plastics is relatively low. Based on consumption of around 336,000 tonnes and recycling of 48,000 tonnes it was estimated to be around 14% in 2015-1610. The recycling rate is likely to have fallen significantly since then as a result of the Chinese import restrictions. Some of the challenges for soft plastics include:• A trend towards complex, multi-material packaging

formats, which are more difficult to recycle • Limited local markets and low commodity value for

collected soft plastics. There is a mismatch between the costs of collection and recycling and the value of the material, and recycled soft plastic products are often more expensive than virgin alternatives

• Limited collection and drop-off services for businesses and households, and unwillingness or inability of many people to take plastics to a drop-off point

• MRFs not set up to manage soft plastics, which they already receive as a contaminant (non-targeted material)

• Large quantities of contaminated soft plastics, with the contamination making it unviable to recycle

• Current technical difficulties involved in recycling soft plastics back into soft plastics, which mean that it generally gets recycled into rigid products such as outdoor furniture or cable cover

• Soft plastics generally unable to be remanufactured back into food contact packaging due to safety standards and regulations

• The lack of a consistent message on recyclability as a result of different approaches to recovery (recyclable or compostable) and a wide range of drop-off or collection systems.

10 Envisage Works - National Recycling and Recovery Survey (NRRS) 2015-16 for plastics packaging https://www.packagingcovenant.org.au/documents/item/1070

Stakeholder Identification


Key Priority Areas

Baseline Dataa. Amount consumedSoft plastic packaging used in Australia is estimated by industry sources to be around 300,000 tonnes annually.11 This was confirmed by APCO Member Annual Reports for 2017. In the first year of reporting against the Packaging Sustainability Framework, Members reported approximately 336,000 tonnes of soft plastic packaging placed on the market in Australia12. Soft plastics are manufactured locally in Australia as well as imported.

b. Main product applications or sectors The food and beverage sector is the largest single user of soft plastics for consumer products. However, soft plastics are used not only for the retail of products, but also to protect a wide range of products and packaging in distribution. Commercial and industrial packaging applications include stretch films, bundle shrink, garment bags, postal sachets and plastic bags.

c. Design initiatives One of the most difficult packaging formats to recycle is multi-layer (often multi-material) laminates. This problem is being addressed through both innovative design and recovery systems. Dow Chemical, for example, claim to have developed a single-material barrier pouch with improved recyclability compared to existing multi-material alternatives13. Innovia Film14 has also introduced a range of new BOPP biopolymers intended to simplify packaging and improve recyclability15.

The key priority areas to be addressed include:1. Knowledge: Build a stronger knowledge base for

system-wide decision-making. 2. Reduction: Identify and phase out problematic and

unnecessary single use packaging. 3. Design for recycling: Reduce packaging complexity

to improve recyclability where there is an alternative that delivers the required functionality,

4. Recycled content: Promote increased recycled content in packaging.

5. End markets: Develop new end markets beyond packaging.

6. Procurement: Encourage procurement policies that favour products with recycled content.

7. Collection systems: Explore efficient collection systems, for example co-collection with other products, to minimise costs.

8. Supply chain responsibility: Encourage corporate social responsibility by promoting the business case for supply chain involvement in recycling programs.

11 Metropolitan Waste and Resource Recovery Group (2017) Introduction of Flexible Plastic Packaging in Kerbside Recycling Services https://www.mwrrg.vic.gov.au/assets/resource-files/Flexible-Plastics-in-Kerbside-Recycling-Final-Report-FINAL-20170616.pdf 12 APCO (2018) Annual Reporting Data 13 Dow Global (2018) Dow and Vishakha Polyfab Launch Recyclable Barrier Film for Liquid Packaging in India https://www.dow.com/en-us/news/press-releases/dow-develops-recyclable-barrier-film-for-liquid-packaging-with-vishakha-polyfab 14 Innovia Films (2018) https://www.innoviafilms.com/ 15 Packaging News (2018) Innovia Films turns to BOPP http://www.packagingnews.com.au/materials/innovia-films-turns-to-bopp


16 CEFLEX (2018) What we do https://ceflex.eu/what-we-do/ 17 FIACE (2018) Mapping flexible packaging in a Circular Economy https://ceflex.eu/public_downloads/FIACE-Final-report-version-24-4-2017-non-confidential-version-Final.pdf 18 REFLEX (2016) A summary report on the results and findings from the REFLEX project https://ceflex.eu/public_downloads/REFLEX-Summary-report-Final-report-November2016.pdf 19 MRRF (2018) https://www.materialsrecoveryforthefuture.com/ 20 Boomerang Alliance (2019) https://www.boomerangalliance.org.au/ 21 Bye Bye Plastic (2019) https://byebyeplastic.org.au/22 Metropolitan Waste and Resource Recovery Group (2017) Introduction of Flexible Plastic Packaging in Kerbside Recycling Services https://www.mwrrg.vic.gov.au/assets/resource-files/Flexible-Plastics-in-Kerbside-Recycling-Final-Report-FINAL-20170616.pdf 23 REDcycle (2018) http://www.redcycle.net.au/ 24 Randwick Council (2018) Soft plastics recycling http://www.randwick.nsw.gov.au/services/rubbish-and-recycling/recycling-centre/Soft-plastics-recycling

A European consortium of companies from across the value chain is currently collaborating on a project called CEFLEX to improve recovery rates for flexible packaging. CEFLEX aims to develop ‘Design for a Circular Economy’ guidelines for both flexible packaging and the end of cycle infrastructure to collect, sort and recycle. By 2025, it aims to develop collection, sorting and reprocessing infrastructure for post-consumer flexible packaging across Europe16. Other relevant international initiatives include FIACE (Flexibles in a Circular Economy)17, REFLEX (Recycling of Flexible Packaging)18 and MRFF (Materials Recovery for the Future)19.

Baseline Data

d. Recovery and recycling systems

i. Reduction or reuse systems There are some limited examples of reuse systems for soft plastics, such as reusable non-woven PP or heavy-weight LDPE retail bags. There are several NFPs, community groups or local councils that are also encouraging consumers and businesses to reduce single use plastics, for example Boomerang Alliance20, Bye-Bye Plastics21 etc.

ii. Collection systems Current domestic collection systems are summarised below in Table 5, with examples.

Table 5. Domestic collection systems for soft plastics

COLLECTION SYSTEM

EXAMPLES SCOPE / ISSUES LOCATION

Kerbside

Several Melbourne councils are collecting soft plastics following a trial with the Metropolitan Waste and Resource Recovery Group (MWRRG) and SKM Recycling22.

Some WA, SA and NSW councils also trialling.

All soft plastics source separated in a bag (‘bag in bag’). Results from Melbourne showed strong participation, low contamination and efficient sorting at the MRF. Product packaging was the largest volume of material recovered.

Metallised film was excluded.

Melbourne (Cardinia, Hobsons Bay, Nillumbik & Boroondara)

Retail drop-off

REDcycle: Collection bins located in all Coles and Woolworths supermarkets23

All ‘scrunchable’ post-consumer plastics (excluding ‘wet’ food/drink applications e.g. sauces, pet food).

Australia wide

Council drop-off

Community Recycling Centres in NSW E.g. Randwick and Hunter Region24

All ‘scrunchable’ consumer plastics. Can have high contamination rate with mixed approach to materials.

Various


25 Plastic Police (2018) https://crossconnections.com.au/plastic-police-partnerships/26 Plasback (2018) http://pbnzd.tapexstaging.com/about 27 Wellington Shire Council and East Gippsland Shire Council (2017) Silage Wrap Recycling 2017 http://www.eastgippsland.vic.gov.au/files/assets/public/documents/operations_directorate/waste/waste_education/silage_wrap_recycling_2017_flyer.pdf 28 Greater Shepparton Council (2018) Resource Recovery Centre http://greatershepparton.com.au/animals-environment-and-waste/waste-and-recycling/resource-recovery-centres/shepparton-resource-recovery-centre 29 Plastic Forests (2018) Plastic from the Agricultural Industry https://plasticforests.com.au/plastic-from-the-agricultural-industry/ 30 Planet Ark (2018) http://businessrecycling.com.au/ 31 APCO (2018) Market impact assessment report: Chinese import restrictions for packaging https://www.packagingcovenant.org.au/documents/item/1224 32 Zero Waste SA (2012) Stage 1, Final Report: Study on the South Australian Plastics Packaging Resource Recovery Sector. https://www.greenindustries.sa.gov.au/publications-plastics 33 Metropolitan Waste and Resource Recovery Group (2017) Introduction of Flexible Plastic Packaging in Kerbside Recycling Services https://www.mwrrg.vic.gov.au/assets/resource-files/Flexible-Plastics-in-Kerbside-Recycling-Final-Report-FINAL-20170616.pdf

Baseline Data

COLLECTION SYSTEM

EXAMPLES SCOPE / ISSUES LOCATION

Commercial collections

Numerous companies reprocess locally or export

Various. Generally cleaner stream. Various

Plastic Police: collect from businesses, schools etc25

VariousHunter region, NSW

Agricultural drop-off

Plasback stewardship scheme for silage film (previously managed by Tapex), which has ceased operation in Australia but continuing in NZ26.

Some councils provide drop-off services, either at cost or free of charge, e.g.Wellington/ East Gippsland Shire27 and Shepparton Resource Recovery Centre28.

Agricultural film. Under Plasback farmers collected in bags provided and delivered to participating transfer stations for collection. Made into recycled plastic sheeting board and floor tiles.

Some commercial collections of silage, grain bags and other agricultural filmse.g. Plastic Forests29

Various

iii. Recycling systems There are many companies that accept clean, single polymer plastics from C&I sources, such as LDPE film and bag (for examples, see Planet Ark’s Business Recycling website30). Some reprocessors can tolerate a limited mix of polymers and higher levels of contamination through the use of a washing system. Clean, single polymer soft plastics are also exported for recycling. The value of LDPE films in export markets has recently fallen around 33%, as a result of restrictions imposed by the Chinese Government, referred to as the National Sword.31 Conventional MRF technology does not allow for the handling of film and flexible plastics. This is due to the fact that the flexible films get caught in machinery and cause failure or damage. There are emerging reports of international MRFs that have new technologies that allow film and flexible plastics to be recovered, via:• Air capture technology – to remove light film materials• Optical sorting – to separate and recover plastic material by polymer• Associated shredding, cleaning and washing systems to reduce contamination and improve recyclate value32.An alternative approach being used in some Australia councils is to ask residents to add soft plastics to their recycling bin in a separate dedicated bag, which is manually removed out at the start of the MRF. The original Melbourne trial found that MRFs were already receiving soft plastics as a contaminant (~9% by volume of recycling bins), which reduced the value of sorted paper and became entangled in equipment. Sorting the material for recycling addressed both of these problems and provided an additional revenue stream.33


34 Replas (2018) http://www.replas.com.au/recycling/ 35 REDcycle (2019) https://www.redcycle.net.au/ 36 Newtecpoly (2018) http://newtecpoly.com/polywaste/ 37 Integrated Recycling (2018) http://www.integratedrecycling.com.au/railway-sleepers/38 Plastic Forests (2018) https://plasticforests.com.au/

iv. Recycling technologies and end markets The below table provides a summary of the current recycling technologies available in Australia and emerging internationally, with examples.

Table 6. Summary of current recycling technologies for soft plastic packaging

Baseline Data

RECYCLING TECHNOLOGY

EXAMPLES ONLY

DESCRIPTION OF EXAMPLE END MARKETS LOCATION

Mixed soft plastics recycling

Replas34

Recycles post-consumer soft plastics from the REDcycle scheme, Plastic Police and C&I plastics.REDcycle35 and Replas partnered with large supermarkets and brands to fund collection points and require partners to buy back recycled products to ensure there is always an end market for the recycled material.

Outdoor furniture, decking, fencing, signage, etc.

Melbourne, VIC

Mixed plastics recycling Newtecpoly36

Polywaste Technology™ utilise low grade plastics (contaminated film, semi-rigid and rigid plastics) to produce commercial grade recyclable plastic products.Technology does not require shredding or flaking of feedstock, with reported energy savings and operating costs.

Ewood, gardening stakes, posts, bollards, rails, planks and shipping pallets, etc.

Moama, NSW

Mixed soft plastics recycling

Duratrack – Integrated Recycling/Monash Uni/ Sustainability Victoria and APCO

Duratrack37 sleepers are fit for purpose within the Tourist & Heritage railways operating parameters (same characteristics as timber sleepers). 50-year design life and manufactured using Australian plastic waste.

Railway sleepers Victoria

PE/PP recycling

Plastic Forests/ Green Mongrel38

Recycle contaminated plastic film from food, industrial and agricultural industries along the east coast of Australia.

Resin & products such as garden edging, builders’ film, electrical cable covers, bin liners. Recent work investigating manufacturing back into low-density bags.

Albury, NSW

PP recycling

Proctor and Gamble/ PureCycleTechnologies

Opened a plant in July 2017 that will convert recovered PP to ‘virgin-like’ quality with a new recycling method.

Virgin-like quality PP resin

International - USA


39 Close the Loop (2019) TonerPlas https://www.closetheloop.com.au/products/40 Sustainability Victoria (2018) Case study – Recovered plastics and glass fines in concrete footpaths https://www.sustainability.vic.gov.au/About-us/Latest-news/2018/02/18/22/40/Recovered-plastics-and-glass-can-be-used-in-concrete-footpaths 41 Unilever(2018) Rethinking plastic packaging – towards a more circular economy https://www.unilever.com/sustainable-living/reducing-environmental-impact/waste-and-packaging/rethinking-plastic-packaging/ 42 Cat-HR (2019) https://www.licella.com.au/cat-htr/43 Loop Industries (2019) https://www.loopindustries.com/en/44 Recycling Today (2015) Enval project targets aluminum in laminate packaging, 23 March 2015 45 Recycling Technologies (2018) Plaxx https://recyclingtechnologies.co.uk/technology/plaxx/46 The Canberra Times (2018) Foy Group walks away from plastics-to-fuel plant in Hume https://www.canberratimes.com.au/national/act/foy-group-walks-away-from-plasticstofuel-plant-in-hume-20180114-h0i0qw.html 47 ReOil (2018) https://www.reoil.com.au/

Baseline Data

RECYCLING TECHNOLOGY

EXAMPLES ONLY

DESCRIPTION OF EXAMPLE END MARKETS LOCATION

Recycling into roads, footpaths, etc.

Downer / Close the Loop39

Shredded plastics can be blended with asphalt to improve performance. Recently used in road upgrades in Hume (Vic), Sutherland (NSW) and Hunter region (NSW).

Asphalt and road underlays

Victoria and NSW

Sustainability Victoria/ Swinburne Uni/ Polytrade Recycling

Recovered plastics (soft and ridged) and glass fines able to be incorporated into concrete footpaths without compromising the mechanical properties and meeting the standard requirements. Working with local government toincrease uptake in construction.40

Concrete footpaths

Victoria

Chemical recycling

Unilever CreaSolv®41

Aims to chemically degrade the collected plastic waste back into monomers that can then be used again for making new polymers. Unilever co-developed new technology to recover used multi-layer sachets, called CreaSolv®. This will be trialled on a commercial scale at Unilever’s Indonesian pilot plant in 2018.

Plastic monomers that can be used again to make new polymers

International

IQ Renew/Licalla’s Cat-HTR42

Uses chemical recycling to convert residual mixed plastics (those plastics that would otherwise be sent to landfill) into biocrude oil - fuels, waxes and chemicals.

Any oil based product or material (Bitumen to plastics)

Central Coast NSW

Loop Industries43

Recent agreement with PepsiCo to chemically recycle PET into its component monomers, which are used to make new plastics.

Back into plastics International

Waste to energy (pyrolysis, gasification etc)

Nestlé / Coca Cola

In 2015, a UK trial collected and recycled laminated pouches using microwave- induced pyrolysis to recover the aluminium.44 Pyrolysis produces liquid oil, fuels and solvents; syngas, char, metals.Gasification produces electricity, heat, syngas and recovered materials from ash.

Energy – fuels and electricity

International, UK

Plaxx45 Converting recycled plastics into ultra-low sulphur fuel oils or petroleum waxes.

Fuel oils or waxInternational, UK

FOY GroupOther companies have been investigation plants to convert recycled plastics into diesel or fuel sludge.

Diesel or fuel sludge

Canberra, ACT46 and Berkley Vale, NSW

ReOil47 Can process waste PE and PP WaxesRutherford, NSW


Polymer

PET (1) 400 0 400

PE-HD (2) 400 0 400

PVC (3) 0 0 0

PE-LD/LLD (4) 17000 29000 46000

PP (5) 1200 0 1200

PS (6) 0 0 0

PS-E (6) 0 0 0

Other (7) & unknown 0 0 0

Totals 19100 29000 48100

Note: 1. In the table above minor discrepancies may occur between the stated totals and the sums of the component items.Totals are calculated using component item values prior to rounding, and therefore a minor discrepancy may occur fromthose that could be calculated from the rounded figures given above.

Flexible packaging tolocal reprocessors

Flexible packaging tooverseas reprocessors

Flexible packagingrecovery (tonnes)

48 APCO (2016) National Recycling and Recovery Survey (NRRS) 2015-16 for plastics packaging (IND 299/16) https://www.packagingcovenant.org.au/documents/item/1070 49 Sustainability Victoria (2016) Market development strategy for recovered resources http://www.sustainability.vic.gov.au/About-Us/What-we-do/Strategy-and-planning/Victorian-market-development-strategy-for-recovered-resources

e. Recycling rates An estimated 48,100 tonnes of flexible plastics were collected for recycling in Australia in 2015-16 (see Figure 3)48. Based on the earlier estimate of 300,000 tonnes consumed, this represents a recycling rate of around 25%. The majority of this recycling is presumed to be from commercial and industrial sources as very little post-consumer flexible plastics are collected for recycling, in proportion. The recycling rate is likely to have fallen significantly since then as a result of the Chinese import restrictions.

Approximately 172,000 tonnes of flexible plastic waste was generated in Victoria in 2014-15. It is estimated that in 2014-15, 16,892 tonnes of flexible plastics were recovered for reprocessing in Victoria. Around 83% as LDPE or LLDPE, 14% was PP and the remainder was mostly HDPE.49

The below table provides a summary of the current recycling technologies available in Australia and emerging internationally, with examples.

Baseline Data

Figure 3. Flexible plastic packaging recycling by resin type in 2015-2016


Lifecycle Approach

Productprocurement

Recycledproducts

RecyclingSorting /aggregationCollectionConsumption

/ useRetailsale

Packagingdesign

Project 2: Packagingdesign guidelines

Project 1: Consumption & recycling data

Project 7: Supporting end markets through supply chain collaboration

Project 8: Regional demonstration projects

Project 9: Building the case for regulation

Project 6: Consumereducationcampaign

Project 3: Supportingend marketsthroughgovernmentprocurement

Project 4: Review collectionsystems forhouseholdplastics

Project 5: Review collectionsystems forbusiness plastics

Figure 4. Lifecycle approach to soft plastic packaging

While there are many different sources of soft plastics waste, the priorities over the next few years are:• Elimination of unnecessary or problematic

packaging• Collection and recycling of post-consumer soft

plastics from households• Collection and recycling of clean, source separated

distribution packaging from manufacturers, wholesalers and retailers

In analysing the lifecycle approach, the Working

Group discussed nine potential project opportunities. The proposed projects address issues across the soft plastic packaging lifecycle and value chain to ensure system-wide engagement and collaboration (Figure 4). The identified projects have been reviewed, prioritised and combined with other priority initiatives to develop projects for implementation in 2019. Priority projects for implementation in 2019 are summarised in Table 1.


Conclusion

a. Conclusions1. Soft plastics are technically recyclable, although multi-layer formats are the most problematic due

to the presence of different polymers and other materials, e.g. aluminium foil. 2. Trials have demonstrated that MRFs can manually sort aggregated soft plastics from kerbside

bins, sometimes at a neutral cost. This is because soft plastics are already being received as a contaminant and recycling therefore avoids landfill costs.

3. Design guidelines being developed in Europe (CEFLEX) will help inform domestic design of soft plastic packaging to make it more ‘recyclable’. Plastic film currently plays a key role in reducing food waste, extending shelf life of food and reducing product damage and loss in transportation.

4. Although collection/drop off points for consumer packaging are increasing (e.g. REDcycle), there is a need for more collection points for consumers and/or services for other identified streams such as C&I, accompanied with extensive education and engagement regarding reducing, reusing and recycling.

5. End markets have been significantly affected by the Chinese import restrictions leaving the material with little to no commodity value, as it does not fit into conventional recycling models. This places a greater emphasis on the need for local recycling solutions and end markets. New end markets are emerging, e.g. soft plastics in roads.

6. Soft plastics are generally unable to be remanufactured back into soft plastic packaging due to limitations in technology, as well as food contact standards and regulations. Commercial factors also play a large role in the cost of recycled materials vs virgin.

7. Emerging chemical processing technology has the potential to convert end of life mixed plastics to oil that can close the loop by being used to remanufacture plastics or any oil based product.

b. Knowledge and data gaps• Consumption, collection, recycling and market destination data for soft plastics by source and waste

stream, to identify exact volumes we are dealing with in differing streams.• The lifecycle (environmental and economic) benefits of recycling soft plastics compared to other

disposal options such as landfill, to support the business case for pursuing new initiatives.• The lifecycle (environmental and economic) benefits of different end-markets for soft plastics, to

ensure highest value applications.• Consumer and business behaviours to recycling soft plastics, to support source separation education

at home, work or drop off points.• Consumer and business behaviours to support use of recycled content in soft plastic packaging or

other applications, and the technical and commercial viability of including recycled content in soft plastic packaging.

• International efforts and technologies to address the reduction and recycling of soft plastic packaging, to inform best practice for Australia.

To contact APCO please visit our website www.packagingcovenant.org.au

soft plastic packaging - apco

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