Pact Group announces $500M investment in plastics recovery

Pact Group, one of Australia’s largest rigid plastic product manufacturers, will invest $500 million into plastics recovery infrastructure, research and technology over the next five years.

Pact Group Non-Executive Chairman Raphael Geminder made the pledge at the first National Plastics Summit at Parliament House this week, following news the company plan to develop a plastic pelletising facility with Cleanaway and Asahi.

According to Mr Geminder, the company will partner with government and industry to invest in new facilities for sustainable packaging, reuse and recycling initiatives.

“Our stated vision is to include 30 per cent recycled content across our product portfolio by 2025. Across our business, this would be the equivalent of keeping nearly two billion plastic containers out of landfill,” Mr Geminder said.

“Just as importantly, we will be creating jobs for Australians in the circular economy – a new and growing sector where we believe Australia can lead the world.”

Environment Minister Sussan Ley said the commitment was encouraging, with industry leadership to reduce plastic waste, increase recycling and create jobs a critical outcome of the summit.

“Pact’s announcement at the National Plastics Summit follows announcements from major brands McDonald’s and Nestlé, with McDonald’s committing to phase out plastic cutlery by the end of 2020, removing 585 tonnes of plastic waste per annum,” Ms Ley said.

“This adds to McDonald’s previous commitment to phase out 500 million straws every year and takes the total annual plastic reduction to 860 tonnes.”

Furthermore, Nestlé will partner with waste management company IQ Renew on a soft plastics collection trial, to be tested at 100,000 homes.

“The recycling economy starts here, this is where we take what are now seen as problems and turn them into assets that create remanufactured products, which create jobs and which grow our economy,” Ms Ley said.

Additional commitments include $650,000 from PepsiCo to support Greening the Green, a program aimed at educating consumers on soft plastics, and Unilever announcing it will halve its use of virgin plastic in production and packaging by 2025.

The Australian Packaging Covenant Organisation announced it would lead the development of the ANZPAC Plastic Pact, a new program within the Ellen MacArthur Foundation’s Global Plastics Pact Network.

“ANZPAC will provide the significant intervention required to meet Australia’s national plastic packaging target – that 70 per cent of all plastic packaging will be recycled or composted by 2025,” Ms Ley said.

According to Assistant Waste Reduction Minister Trevor Evans, the summit was an important step in working with industry to drive long-term practical outcomes, such as increasing Australia’s recycling rates and domestic reprocessing capabilities.

“We are looking towards fundamentally changing the way we think about and manage our waste, and creating new markets for recycled products,” he said.

“This transformation towards a circular economy will both create jobs and help our environment.”

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McDonalds to phase out plastic straws by 2020

McDonalds to phase out plastic straws by 2020

McDonald’s Australia has announced it will phase out existing plastic straws from it 970 restaurants around the country by 2020.

It is currently working with local suppliers to find viable alternatives and will start a trial of paper straws in two restaurants from August.

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The move is part of the company’s global effort to identify sustainable alternatives to its current single-use plastic straws.

The trial will also help McDonald’s reach its goal of making its guest packaging from entirely renewable, recycled or certified sources by 2025.

McDonald’s Australia Director of Supply Chain Robert Sexton said as one of the world’s largest restaurant businesses, the company has a responsibility and opportunity to make significant change.

“Together with the global business, we have been working for some time to find appropriate alternatives. We know plastic straws is a topic our customers are passionate about and we will find a viable solution,” he said.

Alongside the moves to eliminate plastic straws, McDonalds is also currently trialling cup recycling through a partnership with Simply Cups. The trial launched in April in eight restaurants and includes segmented dining room bins to separate liquids, plastics, paper cups and general waste.

“Beverage cups are a unique concern when it comes to recycling through normal paper recycling facilities due to the inner plastic lining,” Mr Sexton said.

“By separating the cups through designated bins, we can ensure cups are diverted to the right facility to recycle this material. Our trials will provide useful learnings that will help to determine next steps for potential wider restaurant implementation.”

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