The Federal Government’s new $190M Recycling Modernisation Fund will generate $600 million of recycling investment and drive a billion-dollar transformation of Australia’s waste and recycling capacity.
Wastech Engineering has welcomed the Federal Government’s $20 million commitment to grow Australia’s domestic recycling capabilities.
Funds are available through round eight of the Cooperative Research Centre grants program, which opened 13 August.
Wastech Managing Director Neil Bone said the grants are a step in the right direction, following the Council of Australian Governments export ban announcement on 9 August.
“Companies such as Wastech are ready and well prepared to assist local government and industry, with a wide range of solutions and products that will meet the desired outcomes of converting waste products into useful products for the Australian consumer,” Mr Bone said.
“This is a fantastic initiative by the Federal Government, and allows any organisation with an interest in diverting waste from landfill to apply for the grant and start minimising its environmental footprint.”
Mr Bone said in addition to reducing waste, the program will likely spark job creation and further recycling sector growth.
“With Wastech’s proven industry capabilities and equipment range, we can offer turn-key solutions for material recovery, including co-mingled recyclables, municipal solid waste, construction and demolition, commercial and industrial, waste to energy and e-waste,” Mr Bone said.
“Wastech personnel can also assist interested parties in applying for these grants.”
Consistent labelling and increased industry capacity would help councils identify the correct pathways for recyclable plastics, writes Australian Local Government Association President David O’Loughlin.
A new strategy commissioned by the Federal Government aims to help maximise Australia’s potential as a world powerhouse in lithium-ion battery manufacturing.
Trade, Tourism and Investment Minister Simon Birmingham launched Austrade’s new Lithium-Ion Battery Value Chain: New Economy Opportunities for Australia strategy on 11 December.
He said Australia was well positioned to become a world-leader in this developing market.
“Lithium-ion battery technology has enabled the mobile device revolution and is driving innovation and a global shift in energy storage solutions.
With growing global demand for lithium-ion batteries, this report recognises that Australia has a once-in-a-generation opportunity to transform into a major processing, manufacturing and trading hub for lithium-ion batteries,” Mr Birmingham said.
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“At the moment Australia produces about half of the world’s lithium, but once it’s mined out of the ground, it’s shipped offshore, with all of the value-creation activities such as processing and battery manufacturing occurring overseas.
“Australia is uniquely blessed with numerous rare earths, that are increasingly important both economically and strategically across the globe. Our ambition is to drive enhanced investment across the value chain of commodities like lithium,” he said.
“Now is the time to accelerate the development of a high-tech lithium manufacturing sector in our own backyard. Through Austrade’s Resources team we are ramping up our activities overseas to attract investment and highlight our significant comparative advantage such as our strong economic conditions, skilled workforce and well-established resources infrastructure network.”
Resources Minister Matthew Canavan said it was time Australia took advantage of the booming lithium industry.
“Lithium prices have tripled since 2010 and global battery consumption is predicted to increase five-fold in the next 10 years, driven by a global shift to electric vehicles in some markets and off-grid storage to support renewable energy development.
“As the world’s largest producer of lithium and with mineral reserves covering 90 per cent of the elements required in lithium-ion battery production, we have an enormous opportunity to leverage of this rapidly-growing industry,” said Canavan.
“Our Resources 2030 Taskforce report highlights the importance of developing new strategies to develop competitive downstream industries, including value-adding for prospective battery and critical-minerals industries.
Mr Canavan said it is a roadmap for how we can put Australia in the best position to make the most of investments in the lithium supply chain.
“With the right policies we can advance our industry further up the value chain to become the world’s leading supplier of high grade lithium components including ion-batteries – creating new jobs and opportunities for Australians,” he said.
The Lithium-Ion Battery Value Chain: New Economy Opportunities for Australia report is available on the Austrade website.
The Australian Local Government Association (ALGA) has called for continued national leadership from the Federal Government to ensure waste management and resource recovery policies are consistent across all levels of government.
It follows the endorsement of the new National Waste Policy at the eighth Meeting of Environment Ministers in Canberra last week.
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After the Federal Government’s Department of the Environment and Energy issued a statement indicating a consensus was reached on a national action plan for the National Waste Policy, Environment Minister Melissa Price issued a statement last week claiming state and territory ministers “walked away from solid targets on Australia’s recycling and waste”.
“The Federal Government expected to formalise the targets, after months of negotiations and consultation and endorsement at state and federal official level,” Ms Price said in the statement.
“Instead the state and territory governments refused to endorse aspects of our National Waste Policy.
“This is an incredibly disappointing outcome for the nation that simply deprives Australia of a policy that would ensure we have a responsible and environmentally sensible approach to managing waste in the future.”
The minister went on to say that the Federal Government will continue to press forward with an action plan on reducing waste and increasing recycling.
ALGA President, Mayor David O’Loughlin attended the meeting and said there is more work to be done on the issue.
“The new policy may be full of good intentions and strong principles, but has as much backbone as you’ll find in the average plastic shopping bag,” Cr O’Loughlin said.
“Urgent action is needed as ministers themselves have acknowledged. Industry and communities need to see real on-ground action and there is a critical need for national leadership to maintain a unified approach.
“Dedicated and nationally-coordinated action on recycling will give industry the signal it needs to increase investment in sustainable resource recovery and support the nation’s move towards a circular economy,” he said.
Cr O’Loughlin said it is essential that all levels of government increase their procurement of goods and infrastructure that incorporate recycled materials, such as those used in road bases, to help reduce items entering the waste stream. He adds that state and territory governments need to take the necessary steps to help the recyclate industry sector go further.
“89 per cent of Australians have indicated that they want recycled content included in government procurement,” he said.
“There is more than $1 billion sitting in state waste levy funds that could be invested in industry innovation, pilot projects and financially supporting transitions from virgin product feedstock to recycled feedstock.
“There’s another $1 billion to be collected next year, but the meeting achieved no strong policy commitment, no agreement on concrete targets or timeframes, miniscule investment and little progress,” Cr O’Loughlin said.
The Waste Management Association of Australia (WMAA) has written to Federal Government Environment Minister Melissa Price ahead of the December 7 Meeting of Environment Ministers (MEM) meeting calling for five policy priorities for the government to drive.
In its letter, WMAA called for a national proximity principle as well as a level playing field, including a common approach to levies and market development, and strengthening product stewardship and extended producer responsibility schemes. WMAA also called for government leadership in sustainable procurement and market development and a whole-of-government approach.
Commenting on the upcoming MEM, Ms Sloan said it was time for the Federal Government to take ownership of its important role in driving industry forward and start using the tools and levers that only it has to turn Australia’s circular economy aspirations into reality.
“The one thing we all know about waste is, it just keeps coming. The role of ministers at this meeting must be to start pulling the right levers for Australia, to leverage demand for these resources to meet this ongoing supply,” WMAA CEO Gayle Sloan said.
“Take the GST as an example. This is not payable on second hand products so why couldn’t the same exemption be applied to recyclate? There are other levers such as research and development incentives, import bans, tax disincentives… All of which can go a long way in incentivising the use of recycled material in Australia.”
Ms Sloan noted that next year, Germany will have a new packaging law requiring all manufacturers, importers, distributors and online retailers to meet strict material generation targets or face hefty fines.
“Packaging producers must also licence their packaging and all businesses will have to register with a central packaging registry to ensure compliance and maintain market access. Australia can draw lessons from Germany because it is time for our Federal Government to take our extended producer responsibility laws and frameworks seriously if Australia is genuine about creating jobs and investment,” Ms Sloan said.
WMAA noted that of course, each state and territory must focus on particular policies, but there is value in developing some commonality across key regulation and policies or further exacerbate what is now a highly uneven playing field and continue to create confusion and uncertainty among businesses that operate nationally.
The plastic waste crisis is expected to deepen, potentially leading to a federal response in the form of an emergency tax by 2021, according to global wealth manager Credit Suisse.
It argues that reactionary policy measures are highly likely in the short term and could include a tax on virgin resins or additional tariffs placed on imported plastic goods in its report, The age of plastic at a tipping point.
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With too much plastic waste domestically and with no large export markets available, Credit Suisse estimates there will be a sharp increase in plastic being sent to landfill and illegal dumping.
“Our headline view is that things will get worse before they get better: the policy initiatives in the National Waste Strategy won’t take hold until FY20/21,” the report said.
Credit Suisse expects bans on single use-plastics to be extended to the six most common plastic packaging and tax incentives to be provided to help hit the 2025 target of 30 per cent recycled content in packaging.
The long lead time from policy approval to implementation is problematic, particularly for new waste infrastructure, which the company said will likely lead to a more supportive project approval environment for waste infrastructure.
Waste managers are expected to benefit from this scenario, with short term potential from council re-negotiations and long-term potential to fast-track waste infrastructure approvals, according to the report.
“Plastic has infiltrated almost every aspect of human life. It is the most prolific material on the planet, growing faster than any commodity in the last 33 years,” the report said.
“Plastic packaging has become one of the most intractable environmental challenges of our age. None of the commonly used plastics are biodegradable; they accumulate in landfills or the natural environment rather than decompose.
“To curtail the situation in the short run, it is a matter of when, not if, we see reactionary policy measures,” the report said.
The Clean Energy Finance Corporation (CEFC) Annual Report 2017-18 has shown the corporation has invested $127 million in waste-related projects in the past year.
The report was tabled in the Australian Senate and has found the total new CEFC commitments in 2017-18 were $2.3 billion, which is up from $2.1 billion in the previous year.
Across its entire portfolio, the corporation has contributed to projects with a total value of around $19 billion and financed more than 5500 smaller-scale clean energy projects through its partners.
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The CEFC is responsible for investing $10 billion in clean energy products on behalf of the Federal Government to reduce the country’s carbon emissions.
Since beginning in 2013, a total of 190 million tonnes of greenhouse gas emissions have been forecast to be cut, once funds are deployed and projects fully operation.
In the Chair’s Report, CEFC Chair Steven Skala said these investments include marquee projects and highlight decarbonisation and can be achieved profitably and effectively across the clean energy sector and waste related projects.
“This year has seen industry seizing the challenges and opportunities offered by decarbonisation and accelerating its consideration of emerging duties associated with carbon disclosure,” he said.
“The financial markets have also moved in this regard. The question now is not one of direction, but of pace. This means the CEFC will continue to have a significant number of opportunities available in its investment pipeline.”
CEFC CEO Ian Learmonth said much has changed since the CEFC began investing in 2013.
“From our early days largely focusing on renewable energy opportunities, we now see our capital working right across the economy, in an increasingly diverse range of projects,” Mr Learmonth said.
“We see clean energy technologies embraced by home owners and small businesses; essential infrastructure projects and landmark property developments; innovative start-ups and institutional investors with an eye to a sustainable future.
“In 2017-18, our most active year of investment, we see a common thread in this activity: a focus on embracing technological innovation to cut energy costs and lower emissions.”
A new plant that aims to turn biosolids from waste water treatment sewage into renewable crude oil is being built in Gladstone, Queensland.
The Federal Government is providing Southern Oil Refining with up to $4 million in funding for the $11.8 million demonstration plant.
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Biosolids will be sources from waste water treatment plants in Gladstone as well as the project’s partner Melbourne Water Corporation’s Werribee facility.
The renewable crude oil will then be upgraded to renewable diesel and potentially jet fuel.
Southern Oil Refining’s existing Northern Oil Refining facility in Gladstone will be used for the project, which is currently being used for re-refining waste oils such as transmission and engine oils.
It will treat up to one million litres of biosolids a year using a thermochemical conversion process to produce a biocrude.
Minister for the Environment Josh Frydenberg said that bioenergy projects not only provide an alternative to the stockpiling of waste, but also have the potential to help with Australia’s fuel security.
“With Australia producing over 300,000 tonnes of biosolids through sewage treatment annually, it makes sense to look for options for commercialising its disposal,” Mr Frydenberg said.
Federal Member for Flynn Mr Ken O’Dowd said he is excited for Gladstone to be the home of world-class, state of the art technology.
“Using the skills and some of the world’s best R&D and scientists, there is no stopping this remarkable ‘new age’ company from achieving this huge benefit that was once thought to be a distant aspiration,” Mr O’Dowd said.
The project was funded though the Australian Renewable Energy Agency (ARENA), which also provided $2.4 million for Australia’s first biocrude and biofuel laboratory based at the same site.
Waste Management Review speaks to Alex Serpo, Policy Officer at the National Waste and Recycling Industry Council, about the harmonised government policy required to grow the waste and recycling industry.