Can the plastic recycling industry be saved?

Can the plastic recycling industry be saved?

The plastic recycling sector is facing significant challenges, highlighted by ongoing plant closures across Europe. For instance, Waste management company Biffa recently closed its Sunderland plant, which was established in 2022 at a cost of £7 million, while Viridor has shuttered multiple facilities, including its Avonmouth plant and, most recently, its Rochester operation. Similarly, Veolia is set to close its two German facilities, and seven recycling plants in the Netherlands shut down last year.

Plastic Recyclers Europe indicates that Europe has lost nearly one million tonnes of recycling capacity since 2023. Some companies, including Borealis, Dow, and Nester, have withdrawn plans for new recycling plants in Europe, prompting concerns that without governmental intervention, the region could become increasingly dependent on unsustainable waste imports and face challenges in meeting climate objectives.

High energy and labor costs, coupled with cheaper options for sourcing virgin and recycled plastic from Asia, have compounded operational difficulties for UK and European recyclers. This has led to decreased competitiveness and profitability. The UK is also contributing to a growing dependence on exports, having shipped around 600,000 tonnes of plastic waste in the last year, which has increased by 5% compared to 2023.

In response, some industry representatives call for significant reforms to UK regulations to promote domestic processing rather than exporting waste. Current regulations are perceived as benefiting foreign markets instead of fostering local recycling. Initiatives such as the upcoming Deposit Return Scheme, aimed at incentivizing recycling, are being rolled out, although experts warn that without immediate political action, the future of plastic recycling in Europe remains precarious.

While there are efforts to invest in new technologies and facilities, such as Biffa’s acquisition of Esterform and Enviroo’s new recycling plant set to open in 2026, industry leaders are urging for a cohesive strategy to establish a sustainable circular economy. Concerns persist that unless the market conditions improve, Europe may lag behind in plastic recycling initiatives.

Source: https://www.bbc.com/news/articles/c5yv8e0prg9o?at_medium=RSS&at_campaign=rss

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