Cleanaway extends the waste value chain to create sustainable value and a circular economy

Cleanaway extends the waste value chain to create sustainable value and a circular economy

Cleanaway continues to invest in the waste value chain from collections, through to resource recovery, treatment and disposal

Industry Updates - Resource Recovery

February 10, 2021

Highlights

"The waste sector plays a pivotal role in enabling a circular economy, ensuring waste is minimised and resources are re-used and recycled in the best possible way."

Highlights

"The waste sector plays a pivotal role in enabling a circular economy, ensuring waste is minimised and resources are re-used and recycled in the best possible way."

The first sod was turned on Friday 5 February on a $45 million plastic pelletising facility being built by a joint venture of Cleanaway, Pact Group and Asahi at Albury in NSW, which will be able to recycle more than one billion bottles per year.

“This new facility for PET plastic will recycle the containers collected through the NSW Return and Earn Scheme and Cleanaway’s Material Recovery Facilities, helping create a domestic circular economy,” Cleanaway’s CEO and Managing Director, Vik Bansal, said.

Pictured from left to right: State Member for Albury, Justin Clancy, Asahi Beverage’s Group CEO, Mr Robert Iervasi, Cleanaway’s CEO and Managing Director, Mr Vik Bansal, Pact’s Managing Director and CEO, Mr Sanjay Dayal, Environment Minister and Federal Member for Farrer, the Hon. Sussan Ley MP 

Only days earlier the Federal and Western Australian governments announced a $9.5 million grant from the $190 million Recycling Modernisation Fund for a plastic recycling facility planned in Perth by Cleanaway and Pact under the Circular Plastics Australia (CPA) joint venture.

These milestones marked the continued extension by Cleanaway of the waste value chain which extends from collections, through resource recovery and energy from waste, to treatment and disposal in landfill.

By reprocessing commodities recovered from waste, like plastic, glass, paper and cardboard, we extend the value chain beyond sorting to create long term value for recycling.

Cleanaway has invested more than $500 million in growth projects, including collection, sorting and processing infrastructure, since FY16.

This includes greenfield developments such as the original Perth Materials Recovery Facility (MRF), transfer stations and resource recovery facilities, and landfill biogas generators to recover to energy from landfill gas.

In addition, the company acquired SKM Recycling Group’s resource recovery assets and industrial services and waste management business Toxfree Solutions for more than $700 million in total.

More capital investment is planned in coming years, including CPA pelletising and recycling facilities, potential energy-from-waste facilities in Melbourne and Brisbane, and improved landfill engineering and technology in Melbourne, Adelaide and Queensland.

“These greenfield and acquisition investments are part of our Footprint 2025 strategy to ensure we have the right infrastructure and technology across the waste value chain and can play our role in sustainably meeting Australia’s waste needs and contributing to the creation of a circular economy,” Vik said.

“The waste sector plays a pivotal role in enabling a circular economy, ensuring waste is minimised and resources are re-used and recycled in the best possible way.”

“This requires significant investments in new infrastructure and a change in the way we think about and deal with our waste.”

“As an important material, plastics represent a big opportunity which is why we are investing in this space.”

Vik said Cleanaway was focused on collecting, sort and reprocessing four key polymers: high density polyethelene (HDPE), polyethylene terephthalate (PET), low-density polyethylene (LDPE) and polypropylene (PP), which represent 54 percent of Australian plastic consumption.”

The material is collected from Cleanaway’s 100-plus council and 140,000-plus commercial customers using its fleet of more than 400 recycling vehicles, along with container deposit schemes (CDS) in NSW, Queensland and Western Australia.

For instance, TOMRA Cleanaway, the joint venture with global reverse vending technology leader TOMRA, in is the network operator in the highly successful NSW CDS, with more than five billion containers returned and $430 million refunded to customers and charities since the start in December 2017.

“To enable the development of a circular economy for plastics in Australia we need to improve the quality of material that is available for recycling, and develop reprocessing technology on-shore so that material can be sent direct to recyclers for manufacturing,” he said.

“We also have to improve the quality of materials that go into the recycling bins through the introduction of harmonised multi-bin collection systems, with standardised rules and lid colours to help education across jurisdictions, and then monitoring of compliance levels to correct contamination issues.”

“With reduced access to export markets we need to generate demand for recycling content in manufacturing on-shore so that we can truly close the loop on plastic.”

Contact us to learn more about how we’re making a sustainable future possible.

Australia’s largest PET recycling plant now under construction in Albury-Wodonga

Australia’s largest PET recycling plant now under construction in Albury-Wodonga

Construction is now underway on a world-class recycling facility in Albury-Wodonga that will see the equivalent of around 1 billion PET plastic bottles recycled each year.

Industry Updates - Partnerships - Resource Recovery

February 5, 2021

Highlights

This new facility for PET plastic will recycle the containers collected through the NSW Return and Earn Scheme and Cleanaway’s Material Recovery Facilities, helping create a domestic circular economy

Highlights

This new facility for PET plastic will recycle the containers collected through the NSW Return and Earn Scheme and Cleanaway’s Material Recovery Facilities, helping create a domestic circular economy

Construction is now underway on a world-class recycling facility in Albury-Wodonga that will see the equivalent of around 1 billion PET plastic bottles recycled each year.

Environment Minister and Federal Member for Farrer, the Hon. Sussan Ley MP, today marked the official start of construction by turning the first sod on-site at the project, which is being delivered in a joint venture between Asahi Beverages, Pact Group Holdings Ltd and Cleanaway Waste Management Ltd.

Pictured from left to right: State Member for Albury, Justin Clancy, Asahi Beverage’s Group CEO, Mr Robert Iervasi, Cleanaway’s CEO and Managing Director, Mr Vik Bansal, Pact’s Managing Director and CEO, Mr Sanjay Dayal, Environment Minister and Federal Member for Farrer, the Hon. Sussan Ley MP 

The $45 million plant – in the Nexus Precinct 10km outside the Albury CBD in NSW – is set to be fully operational by October, two months earlier than expected owing to Albury Council approving the project ahead of schedule. The facility will trade as Circular Plastics Australia PET.

Excavation of the site has already started, sheds to house more than a dozen diggers have been erected and dozens of jobs will be created as construction ramps up in coming weeks. The raw plastic material that the new plant will recycle each year is equivalent to 1 billion 600 ml PET plastic bottles and will be used to produce more than 20,000 tonnes of new recycled PET bottles and food packaging, making it the largest end-to-end rPet plant in Australia.

It will increase the amount of locally sourced and recycled PET produced in Australia by two thirds – from around 30,000 tonnes currently to over 50,000 tonnes per annum according to Pact Group. The plant will also reduce Australia’s reliance on virgin plastic and the amount of recycled plastic Australia imports. Solar energy will power part of the facility.

The project was made possible with the assistance of almost $5 million from the Environmental Trust as part of the NSW Government’s Waste Less, Recycle More initiative funded from the waste levy, with the support of the Department of Regional NSW and the Australian Government’s Recycling Modernisation Fund.

Federal Environment Minister and Federal Member for Farrer, Sussan Ley, said: “The project is integral to ensuring the successful delivery of Australia’s 2025 National Packaging Targets. It will create local jobs during construction and permanent jobs when it begins operations.”

State Member for Albury, Justin Clancy, said: “The investment in this facility by the NSW Government demonstrates our commitment to a cleaner environment and regional development. Albury will become the powerhouse of recycling.”

Pictured from left to right: Asahi Beverage’s Group CEO, Mr Robert Iervasi, Pact’s Managing Director and CEO, Mr Sanjay Dayal, Cleanaway’s CEO and Managing Director, Mr Vik Bansal

Cleanaway’s CEO and Managing Director, Mr Vik Bansal, said: “This new facility for PET plastic will recycle the containers collected through the NSW Return and Earn Scheme and Cleanaway’s Material Recovery Facilities, helping create a domestic circular economy.”

“We’re proud that Cleanaway’s Footprint 2025 strategy has reached a point where we’re not only providing the right infrastructure for resource recovery but extending the value chain to ensure that material is optimised for recycling into new products.”

Asahi Beverage’s Group CEO, Mr Robert Iervasi, said, “Asahi Beverages is excited to be partnering with Pact and Cleanaway to make this investment and create more jobs for the Albury-Wodonga region. “This will be a world-class facility that helps transform Australia’s recycling capacity and the Albury-Wodonga region should be proud of its contribution to manufacturing and recycling in Australia. “Along with our beverage manufacturing plant in Albury, the new plant is part of our long-term commitment to the region.”

Pact’s Managing Director and CEO, Mr Sanjay Dayal, said “The state-of-the-art facility will reimagine domestic manufacturing and recycling in Australia. “Our investment in building this plant is central to Pact’s strategy which is to lead the plastics circular economy here in Australia. “This project would not have been possible without increased demand for locally-processed recycled content from forward-thinking Australian companies who are keen to meet Australia’s 2025 National Packaging Targets. And we know Australians’ attitudes to recycling are shifting, with a recent poll from research company Quantum showed three quarters of Australians wanted more locally recycled content in their packaging.”

“Industry collaboration is critical to being able to build a local circular economy. We are excited to see our first venture together coming to life – and look forward to many more in the future”.

For more information journalists can contact:
Pact:
Shamah Waters
Head of Marketing
+61 400 827 984
shamah.waters@pactgroup.com

Cleanaway:
Mark Biddulph
Head of Corporate Affairs
+61 499 332 601
Mark.biddulph@cleanaway.com.au

Asahi Beverages:
Reid Sexton
Group Head of External Communications
+61 413 777 393
reid.sexton@asahi.com.au

Download media release (PDF)

Pact and Cleanaway celebrate award of Recycling Modernisation Funding for proposed Western Australian plastic recycling plant

Pact and Cleanaway celebrate award of Recycling Modernisation Funding for proposed Western Australian plastic recycling plant

The proposed plant in WA will see over 17,000 tons of kerbside plastic waste processed into nearly 14,000 tons of resin and polymer flake

Industry Updates - Partnerships

Highlights

This new facility for plastic will recycle the containers collected through the container return scheme and Cleanaway’s new Material Recovery Facility, creating a local circular economy in WA

Highlights

This new facility for plastic will recycle the containers collected through the container return scheme and Cleanaway’s new Material Recovery Facility, creating a local circular economy in WA

Pact Group and Cleanaway are delighted to announce that a proposed joint project to build a new plastic recycling plant in Western Australia has attracted funding from the Recycling Modernisation Fund and the WA Government*.

The announcement was made yesterday by WA Minister for Environment Stephen Dawson MP and the Federal Minister for Environment the Hon Sussan Ley MP.

The $9.5 million grant funding is a critical step in enabling a world class plastic recycling plant to be constructed in WA for the processing of locally collected HDPE, PET, LDPE and PP into food grade polymers for use back in plastic packaging.

The plant would trade as Circular Plastics Australia (WA) and form the second facility under the collaboration between Pact and Cleanaway which was established last year. The initial venture, the country’s largest PET recycling facility, is currently under construction in Albury and is expected to be operational later this year.

The proposed plant in WA will see over 17,000 tons of kerbside plastic waste processed into nearly 14,000 tons of resin and polymer flake which will be used to make packaging for food, household and industrial products.

Cleanaway CEO and Managing Director Vik Bansal said “I congratulate the McGowan Government for the vision shown by implementing their container return scheme where consumers can return clean and high quality sourced-separated plastic to be locally recycled. This new facility for plastic will recycle the containers collected through the container return scheme and Cleanaway’s new Material Recovery Facility, creating a local circular economy in WA.”

“We’re proud that Cleanaway’s Footprint 2025 strategy has reached a point where we’re not only providing the right infrastructure for resource recovery but extending the value chain to ensure that material is optimised for recycling into new products.” said Mr Bansal.

Pact CEO Sanjay Dayal said “We want to sincerely thank Minister Ley and the Federal Government for the establishment of the Recycling Modernisation Fund. They have shown great support and leadership by enabling the creation of world class infrastructure to manage the local processing of Australia’s waste. I would also like to thank Minister Dawson and the WA Government for their support towards this project. We are proud to be given the opportunity to build this facility in WA and offer much needed employment as areas our economy rebounds from the impacts of Covid 19”.

It is expected that the facility would create over 50 new jobs in the area.

The proposal is for the facility to be operational in the first half of 2022.

* The funding remains conditional upon the completion of financial due diligence and entry into formal funding agreements.

For further information please contact:

Cleanaway:
Mark Biddulph
Head of Corporate Affairs
+61 499 332 601
Mark.biddulph@cleanaway.com.au

Pact:
Shamah Waters
Head of Marketing
+61 400 827 984
shamah.waters@pactgroup.com

Download media release (PDF)

Government applauded for choosing a CRS that benefits all Tasmanians

Government applauded for choosing a CRS that benefits all Tasmanians

The Tasmanian Government announced adopting a split-responsibility model for the state’s proposed Container Refund Scheme

Industry Updates

February 4, 2021

Highlights

In NSW we have a positive relationship working with the Government, Scheme Coordinator and Collection Point operators, resulting in a Scheme which has continued to grow and evolve for the benefit of all citizens

Tags: CDS
Highlights

In NSW we have a positive relationship working with the Government, Scheme Coordinator and Collection Point operators, resulting in a Scheme which has continued to grow and evolve for the benefit of all citizens

TOMRA Cleanaway welcomes today’s announcement by the Tasmanian Government to adopt a split-responsibility model for the state’s proposed Container Refund Scheme (CRS).

The model chosen by the Government will ensure high levels of community participation as a result of an accessible, convenient and rewarding Scheme, which will ultimately drive higher return rates and hence better outcomes for the environment and the community.

TOMRA Cleanaway Chief Executive Officer, James Dorney, said the decision was a huge step towards ensuring the CRS delivered on its promise to reduce litter and boost recycling.

“We congratulate the Tasmanian Government on choosing the right scheme design, which will truly make a difference to Tasmania’s cherished natural environment, providing cleaner communities and waterways,” Mr Dorney said.

“We know from our experience running the NSW CRS how effective the split responsibility model is. In NSW we have a positive relationship working with the Government, Scheme Coordinator and Collection Point operators, resulting in a Scheme which has continued to grow and evolve for the benefit of all citizens”.

Mr Dorney said importantly, the scheme adopted by the Tasmanian Government would provide the best opportunity for citizen access as well as local charity and community group participation.

“In NSW, 3 out of 4 adults are regular participants in the Scheme and there is more charity, community groups and small business operators involved in the CRS than in any other scheme in Australia” he said.

“The model announced by the Government today is the scheme Tasmanians expect and deserve.”

Download media release (PDF)

About TOMRA Cleanaway

TOMRA Cleanaway is the government appointed network operator for the NSW container deposit scheme ‘Return and Earn’. TOMRA Cleanaway was established in 2017 by shareholders, TOMRA Collection Solutions, a global leader in sorting technology and expert in container return systems and Cleanaway, Australia’s largest waste and resource recovery company. TOMRA Cleanaway is driving value through recycling and is the premier network operator for container deposit schemes in Australia.

For more information visit, www.TOMRACleanaway.com.au

Fraser Road Landfill rehabilitation update 2021

Fraser Road Landfill rehabilitation update 2021

Cleanaway’s Remediation team provides an update on post closure works at Fraser Road Landfill in Victoria

Industry Updates - Our Services

Highlights

Cleanaway manages and oversees the rehabilitation and post closure works at various landfill sites in Victoria including Carroll Road, Clayton, Deals Road, Fraser Road, Ryans Road and Victory Road.

Tags: Landfill
Highlights

Cleanaway manages and oversees the rehabilitation and post closure works at various landfill sites in Victoria including Carroll Road, Clayton, Deals Road, Fraser Road, Ryans Road and Victory Road.

The Fraser Road Landfill rehabilitation project reached an important milestone with the complete installation of the geosynthetic cap lining system. These caps ensure surface water is captured and managed and does not leach into the soil. Over 1,500,000m2 of geosynthetics have been installed to date, the equivalent of 75 football fields.

Fraser Road landfill was closed in June 2017 and work began to rehabilitate the site in June 2019.

Earlier on in the rehabilitation process, approximately 650,000m3 of ‘cut to fill’ was performed to achieve final top of waste contours. This involves excavation and placement of materials to create a foundation for the capping layers and geosynthetics that was recently completed.

As part of the rehabilitation of the site, water that comes into contact with waste, called leachate was extracted, collected, and treated. Leachate is stored in ponds and treated before being disposed of offsite. Fraser Road has six dedicated leachate ponds with a total capacity of approximately 65 million litres.

With the cap liner placement complete, subsoil placement will continue along with constructing stormwater drains and an attenuation basin to catch water that runs off the landfill after rain. Topsoil will be placed on the capped landfill to encourage vegetation growth at the final stage of the rehabilitation process.

Rehabilitation works are on track for completion later this year.

Pictured: Fraser Road Landfill geosynthetics placement, dam wall construction

Pictured: Fraser Road Landfill geosynthetics placement

Pictured: Fraser Road Landfill Geosynthetics placement, final section 16 South

Want to learn more about landfills? Read our FAQ here.

Read our previous updates on the rehabilitation of Fraser Road Landfill here and here.

Cleanaway manages and oversees the rehabilitation and post closure works at various landfill sites in Victoria including Carroll Road, Clayton, Deals Road, Fraser Road, Ryans Road and Victory Road. In January 2021, we successfully completed the rehabilitation at Deals Road Landfill.

Contact us to learn more about how we’re making a sustainable future possible in the communities where we operate.

Cleanaway’s roadmap for business and resource recovery

Cleanaway's roadmap for business and resource recovery

Cleanaway CEO and MD Vik Bansal on the future of the waste management industry in Australia

Industry Updates - Resource Recovery

January 22, 2021

Highlights

The time is now for Australia to build a circular economy and with the right investments and partnerships that help deliver sustainable outcomes for recycled materials in Australia.

Highlights

The time is now for Australia to build a circular economy and with the right investments and partnerships that help deliver sustainable outcomes for recycled materials in Australia.

Early in 2020 as many eastern states were still battling bushfires and governments were setting up COVID-19 lockdown plans, CEO and Managing Director Vik Bansal was clear about Cleanaway’s three priorities for working through the situation, and what our teams should be focusing on:

“Firstly, it was paramount that we protect our employees and keep them safe as many would continue to work on the front-line delivering essential services. It was also clear we had to maintain our collection services and processing operations to ensure our communities could keep functioning despite the lockdowns. The third priority was the sustainability of our business – to keep our people employed and provide that security for those that relied on us.”

Cleanaway CEO and MD

Pictured: Cleanaway CEO and Managing Director Vik Bansal

2020 and the COVID-19 pandemic turned out to have far greater impact than we expected but by working together Cleanaway enters 2021 as resilient as ever – delivering value for customers and communities and investors through a strong bottom line, expanding resource recovery capabilities and continuing to provide our essential waste management services.

But Cleanaway wasn’t always the leading waste management solutions provider it is today.

When Vik arrived as CEO in July 2015, Cleanaway, then known as Transpacific (and Brambles before that) was struggling to recover under a debt burden of around $2.1 billion and a lack of strategic direction, despite management’s best attempts.

Vik set about turning around the business by refreshing the brand, focussing on a consistent approach to customer service, and improving capital discipline. By 2016, Cleanaway Waste Management was born with a mission to ‘make a sustainable future possible’, revenue and earnings were showing growth for the first time in three years and a medium to long term strategy was clearly articulated. The markets and industry started taking notice, and Cleanaway was awarded the Turnaround Management Association’s (TMA) Turnaround of the Year Award, in the large company category in the same year.

“The focus was on re-setting the business for success with a clearly-defined strategy and an achievable action plan. It was also about accelerating and re-focussing our growth initiatives and customer service and ensuring clear accountabilities for our senior leadership to enable improved performance.” said Vik.

With a clear direction set for the business, it was time to look inwards. We launched Our Cleanaway Way, a strategy on a page that articulated a unified set of values to guide priorities and decision making, and outline what we could expect of each other. Our Cleanaway Way aligned our people towards a single mission and gave us a vision in our journey to take the company from “good to great”.

In 2017, Cleanaway launched our Footprint 2025 roadmap to ensure Australia has the right infrastructure in place to support communities in managing their waste, while continuing to improve resource recovery.

“Growing populations and increased waste generation meant we had to look at long-term and sustainable solutions to recover more from waste and process more recyclables to ensure that the least amount of residual waste is left to be disposed of.” said Vik.

“We set about ramping our capabilities through greenfield investments and strategic acquisitions. The successful integration of Toxfree and Daniels Health truly cemented Cleanaway’s position as a total waste services provider in Australia with an unrivalled footprint of more than 6,000 people and over 5,300 vehicles, operating from over 250 sites around the country.”

In 2019 when the former SKM Recycling went into administration, Victoria lost half its recycling capacity. Vik and the leadership team were able to see the potential of the assets, including material recovery facilities, a plastic recovery facility and transfer stations. Following a public process, Cleanaway acquired SKM assets in Victoria and Tasmania, and restored recycling to Victorian councils.

“The recycling sector is undergoing significant structural changes with a move to increase recycling within Australia to support a transition towards a circular economy. The Acquisition provides us with the infrastructure to capitalise on the growth opportunities created by these changes.” Vik explained at the time.

With our mission, “To make a sustainable future possible” firmly in mind, in 2019 Vik told the market that Cleanaway would publish a comprehensive Sustainability Report. Launched in 2020, the report lays out a set of material topics and nine of the UN Sustainable Development Goals that we believe we can make the greatest impact on.

Today and into the future, Cleanaway has our sights firmly set on extending our capabilities further up the waste value chain. Our partnership with Pact Group and Asahi to build a plastic palletising facility in Albury to recycle the equivalent of 1 billion 600ml PET plastic bottles each year into new food and beverage packaging demonstrates how Cleanaway is contributing to the development of the circular economy in Australia.

Recent grants by the State and Federal Governments will enable Cleanaway to continue investing in glass beneficiation, as well as plastic pelletising in Victoria, enabling a closed loop solution for glass and plastics.

“The time is now for Australia to build a circular economy and with the right investments and partnerships that help deliver sustainable outcomes for recycled materials in Australia. We hope to see a sophisticated recycling economy in Australia, driven by technologies such as energy-from-waste, strong industry-government partnerships and a commitment to and from all Australians to make a sustainable future possible.” said Vik.

Contact us to learn more about how we are making a sustainable future possible for communities and businesses across Australia.

Cleanaway receives state and federal funds to enable circular economies

Cleanaway receives state and federal funds to enable circular economies

Cleanaway CEO Vik Bansal welcomes Government funding to make closed loop recycling possible for glass and plastic food packaging in Victoria

Industry Updates - Resource Recovery

January 19, 2021

Highlights

By extending the value chain of glass and plastic packaging we can effectively create a closed loop solution for these waste streams.

Highlights

By extending the value chain of glass and plastic packaging we can effectively create a closed loop solution for these waste streams.

On 18 January 2021, the Victorian Minister for Environment Hon Lily D’Ambrosio MP and the Federal Minister for Environment the Hon Sussan Ley MP announced Cleanaway as a successful recipient of State and Federal recycling grants.

In response to receiving the funding, Cleanaway’s CEO and Managing Director Vik Bansal said, “These grants have made it possible for Cleanaway to invest in a state-of-the-art glass beneficiation plant and a HDPE, LDPE and PP plastics pelletising facility in Victoria.”

Pictured: Cleanaway was announced as a recipient of State and Federal recycling grants at an event in Laverton, Victoria 

Announced at an event at Cleanaway’s Material Recovery Facility (MRF) in Laverton North, Cleanaway received funding from the Victorian Government’s Recycling Victorian Infrastructure Fund which was matched by the Federal Government through its Recycling Modernisation Fund.

Mr Bansal explained, “There is currently very low recycled content in food and beverage packaging in Australia. Cleanaway wants to change this by investing in technology that takes some of our highest volume consumer materials and prepares them for recycling.”

“By extending the value chain of glass and plastic packaging we can effectively create a closed loop solution for these waste streams.” Mr Bansal said.

”This is a great example of industry and government working together to work towards making a sustainable future possible. I am grateful to Minister D’Ambrosio and Minister Ley for their continued support and belief in building a circular economy in Australia.”

Pictured from left: Environment Minister Lily D’Ambrosio, Senator Jane Hume, representing Federal Minister for Environment the Hon Sussan Ley MP, Matt McKenzie, General Manager, Solid Waste Services, Victoria, Cleanaway

Pictured: Matt McKenzie, General Manager, Solid Waste Services showing Senator Jane Hume around the Material Recovery Facility at Laverton.

The new facilities will integrate with our existing processing and sorting capability in the Victorian Commingled Resource Recovery (VCRR) network to extend the value of the material Cleanaway collects from our customers and ensure it can be turned into new products.

Contact us to learn more about how we’re making a sustainable future possible for businesses and communities across Australia.

How the optimised Victorian Commingled Resource Recovery network extends the value chain for a circular economy

How the optimised Victorian Commingled Resource Recovery network extends the value chain for a circular economy

Cleanaway CEO Vik Bansal recently presented to investors on the Victorian Commingled Resource Recovery network and how it supports our Value Creation Story

Industry Updates - Resource Recovery

December 18, 2020

Highlights

"The waste sector plays a critical role in enabling a circular economy by maximising recovery of resources for recycling." CEO Vik Bansal

Tags: Editorial
Highlights

"The waste sector plays a critical role in enabling a circular economy by maximising recovery of resources for recycling." CEO Vik Bansal

At the recent Cleanaway FY21 Investors Series, CEO and Managing Director Vik Bansal shared how our Value Creation Story drives Cleanaway’s business activities and our Footprint 2025 roadmap to ensure Australia has the right infrastructure in place to support growing waste needs.

“The foundation of our Value Creation Story is Our Mission of “Making a sustainable future possible”. By focussing on our strategic pillars of People, Earth, Markets, Assets and Financials, our inputs are transformed through our business activities, applying Our Cleanaway Way, to create outcomes for our stakeholders.” said Vik.

“The waste sector plays a critical role in enabling a circular economy by maximising recovery of resources for recycling. We are investing in collection, sorting and processing infrastructure across recycling waste streams to optimise value and environmental outcomes of these materials. This is what our Footprint 2025 is all about – strategic investments further down the waste value chain into resource recovery, energy-from-waste and treatment and disposal.” added Vik.

Vik highlighted Cleanaway’s joint venture with Pact Group and Asahi Beverages to build a new $45 million PET plastic bottle recycling facility and the Western Sydney Energy and Resource Recovery Centre energy-from-waste proposal as examples of Greenfield investments that extend Cleanaway’s value-add down the waste value chain.

Vik called out 2019’s acquisition of SKM Recycling’s assets, now collectively known as Victorian Commingled Resource Recovery network, as a significant extension of Cleanaway’s resource recovery footprint across Victoria and Tasmania.

Facilities in Coolaroo, Hallam, Geelong and the Laverton North Material Recovery Facility (MRF) were upgraded and recycling was restored to Victorian households in record time.

“The SKM acquisition also provided us with a relatively new, state-of-the-art plastic sorting facility in Laverton. This facility further sorts the materials from our MRFs and from third parties into individual polymers and provides important feedstock for our reprocessing efforts in addition to the materials from the Container Deposit Scheme in NSW. It is a clear illustration of how Cleanaway is developing infrastructure to grow the circular economy in Australia.” explained Vik.

“There are further opportunities that we are exploring for HDPE, PP and LDPE pelletising. Our Laverton site is well suited to the addition of a new purpose-built polyolefin pelletising hall that can facilitate LDPE extrusion, food-grade HDPE extrusion and non-food grade HDPE and PP extrusion.”

EGM, Solid Waste Services Mark Crawford then provided an overview of what Cleanaway has done since we acquired the SKM’s assets and what we are looking to do going forward.

“We acquired a good set of assets that have great potential and have worked hard to bring them up to standard so they can deliver the operational and financial outcomes that we are seeking. We have been operating at approximately 200 kilo tonnes per annum capacity since the start of this financial year.” said Mark.

“We continue to bed down operating procedures to ensure we are getting high quality output at the current throughput rates. We will also look to increase throughput rates once the fine tuning of operations is complete.”

Major site remediation and equipment overhaul was needed following acquisition of SKM’s assets. Work done included:

People
– Signed employment contracts
– On-boarded employees (including pre-employment screening)
– Determined and implemented relevant organisational structure
– Embedded Health and Safety culture and trained employees
– Rolled out Cleanaway policies and processes

Markets
– Removed stockpiles
– Staged volume intake to determine contamination level
– Established gate rate fees and secured volume intake from councils
– Developed municipal reporting
– Established purity levels for saleable commodities
– Secured outlet for glass material

Assets
– Undertook R&M and urgent capex works
– Optimised site layout
– Updated site signage and branding
– Explored glass beneficiation infrastructure
– Progressed sales of South Australian properties

Financials
– Migrated to Cleanaway systems
– Transferred IT infrastructure
– Implemented reporting cadence
– Delegated Authority Levels put in place
– Detailed budgeting and systems mapping and secured IT platform

“We improved the processing technology at the facilities in order to deliver outputs that are of a high purity. This ensures we can meet relevant thresholds for sales into commodity markets or meet required purity levels to be further beneficiated.” said Mark.

“Contamination was a major issue for the MRFs. We are managing this issue diligently and ensuring that financial penalties are appropriately applied for unacceptable contamination levels. Not only does contamination create an unnecessary potential financial burden, it also creates significant health and safety issues for employees working at the facility that we need to carefully manage.” added Mark.

Cleanaway works closely with council customers to ensure residents have access to the right information about what can go in their kerbside bins. We recently relaunched our Recycling Hub to provide even more resources to schools, households and communities about what goes in the bin.

Looking to the future, Mark said Cleanaway will look to ramp up our throughput once operations are finely tuned.

“There is a large addressable market for kerbside commingled waste that we will target. At present we are predominantly processing municipal waste. We will look to supplement that with further council contracts and by servicing the C&I market. As a consequence of processing mostly municipal waste we end up processing around 50% of Victoria’s kerbside plastic waste.”

“We are also looking at a Victorian glass beneficiation solution for our recovery glass. The feedstock will come from out Victorian MRFs and can be supplemented with feedstock from the NSW CDS and potentially the Victorian CDS once it is established. This will provide us with a very strong circular economy solution for glass in the region that we can leverage.”

The end-to-end customer solution has created the opportunity for Cleanaway to pursue value chain extension opportunities that can add further value to the business. Having an end-to-end solution also means that as new waste policies are developed and implemented, and value shifts across or within the value chain, Cleanaway will be well positioned to respond and capture the value opportunities.

Why is container return scheme design so important?

Why is container return scheme design so important?

A well-designed container return scheme ensures the smooth delivery of the scheme’s objectives around the environment, economy and society.

Industry Updates - Learning - Our Services

December 16, 2020

Highlights

Access to drop off points is crucial to embedding scheme use among communities. Drop offs need to be convenient – travelling too far or waiting too long will turn people off and discourage use.

Highlights

Access to drop off points is crucial to embedding scheme use among communities. Drop offs need to be convenient – travelling too far or waiting too long will turn people off and discourage use.

With Victoria currently in the process of structuring its container return scheme ahead of a 2023 rollout, and Tasmania also working to reinstate their scheme, we take a look at why scheme design is critical to success.

It’s useful to look at good scheme design through the lens of the scheme’s objectives. Does it contribute to the environment, economy and society? Is it tailored to the unique needs of the population? Is it adaptable and cost-effective?

Community access and ease-of-use

At its core, a container return scheme is a product stewardship initiative, where responsibility for beverage containers is shared between brand owners, manufacturers, retailers, recyclers, government and consumers. A strong container return scheme complements kerbside collections which collect waste generated at home by focusing on the waste we make when we’re out and about. This is reflected in the types of containers a return scheme typically accepts – soft drink cans, beer bottles and juice boxes but not milk cartons and wine bottles.

By providing a refund for every container returned, we are incentivised to collect not only our own but other containers we find, therefore diverting rubbish away from our streets, parks and waterways. Thus, a major benefit from a successful CDS is the significant reduction in litter.

Access to drop off points is crucial to embedding scheme use among communities. Drop offs need to be convenient – travelling too far or waiting too long will turn people off and discourage use.

Densely populated areas will need more return points especially at high foot traffic areas. The opposite is true for remote regional areas which require drop off points at strategic locations that are easy to access but not so many that operational costs become untenable.

The bottom line is that there is no ‘one size fits all’ approach when deciding where and how many drop off points to provide. Geography, population size, transportation and access are factors that have to be carefully considered when designing the network.

In NSW, a combination of reverse vending machines (RVMs), automated depots and local businesses operating as over-the-counter collection points provide ample coverage to both high traffic and rural areas. To minimise downtime, reverse vending machines are cleared regularly, and bin levels are tracked in real time through a sophisticated live data network. Automated depots are bulk container processing locations where staff at the depot use counting machines to process the large amounts of containers quickly and efficiently to minimise wait time.

Coordinated, data-driven collections and processing

The benefits of a container return scheme extend beyond diverting litter from the environment. A well-designed scheme aims for 100% of materials to be recycled into new containers again.

To make this possible, a well-coordinated and data-informed network is needed to collect, transport and process containers for recycling as well as a ready end market for the recyclable commodities.

Regular and coordinated collections are necessary to ensure minimal downtime at drop off points. Full receptacles can send notifications and collections can be tracked using in-cabin software so that the network operators can monitor truck movements, optimise route density and correct issues as they arise.

In Queensland, Western Australia and New South Wales Cleanaway’s fleet collects containers from drop off points all over the states. The collected containers are transported to sorting facilities such as Cleanaway’s Container Sorting Facility at Eastern Creek in New South Wales and Morning side in QLD.

Speed is of essence here – in Queensland for example, 3.7 million containers are taken every day to a Containers for Change recycling centre. That’s a lot of containers to process in a day! State-of-art optical sorting technology can separate the various material streams with speed and ease, ready to be sent to recyclers for further processing.

Jobs creation and economic growth

Recycling creates jobs which in turn stimulates spending and the local economy. According to the Department of Agriculture, Water and the Environment, more than nine jobs are created for every 10,000 tonnes of waste recycled.

Sorting and processing facilities typically operate seven days a week to manage volumes of recyclable material. Our container sorting facility in NSW alone employs up to 39 staff and 200 drivers to collect and process containers around the state. In WA, the Department of Water and Environmental Regulation reported more than 600 jobs created from its container return scheme.

In Albury/Wodonga, Cleanaway, Pact and Asahi have announced a $48 million PET plastic recycling plant that will recycle the equivalent of around 1 billion 600ml PET plastic bottles each year and create over 300 direct and indirect jobs, with tradespeople, engineers and technicians among the roles that need to be filled.

Cleanaway will provide the plastic to be recycled through its collection and sorting network which includes bottles collected from the NSW container return scheme, Pact will provide packaging expertise and Asahi will buy the recycled plastic from the facility.

This joint venture is a perfect example of a circular economy in action, where recycled material is reused in the manufacturing process, reducing the need for virgin raw material while boosting the local economy with more jobs and greater opportunities.

Social benefits to the community

Container return schemes deliver significant social benefits to the community with many individuals and groups using the refunds for fundraising or to supplement their income.
Having an established network of donation partners and multiple options for refund (Paypal, vouchers, cash) are essential to facilitate this process.

Once in place, it’s important that people know about the options available to them – this is where promotions on social media, through community groups and other media comes in. All stakeholders should play a part in the scheme’s promotion, which means regular and coordinated meetings to align on communication strategies.

Good governance and accountability

It might seem self-evident but it’s worth emphasising that a container return scheme aims to collect as many containers as possible so that fewer items are littered or landfilled and more are recycled into new products. This is where the structure of governance, administration and operations of the scheme should be considered in their ability to achieve the container return scheme’s objectives.

South Australia works on a “super collector” model where three approved collectors operate in the state. In the Northern Territory, four organisations in the beverage or recycling industry are approved to run the Cash for Containers scheme.

In other states, the government splits scheme responsibilities between a coordinator and operator. This shared responsibility model between scheme participants across the supply chain including brand owners, manufacturers, retailers, recyclers, government and consumers ensures that each stakeholder is incentivised to do their best to keep the maximum volume of recycled containers in circulation.

Scheme design and governance are typically managed by the state government. The scheme coordinator manages overall scheme costs, engagement with beverage suppliers and is ensuring the scheme is run efficiently. The network operator is incentivised to maintain an easy to use and accessible network of return points which maximises container recovery.

How Cleanaway supports container return schemes in Australia

Cleanaway provides collections in selected regions for Containers for Change in Queensland and Western Australia.

TOMRA Cleanaway is the joint venture leveraging a dynamic combination of cutting-edge technology provided by TOMRA, global leader in reverse vending technology and Cleanaway, Australia’s largest waste management and resource recovery organisation. TOMRA Cleanaway is committed to providing community access to the New South Wales’ Container Deposit Scheme.

Contact us to learn more about how we are making a sustainable future possible for communities and businesses across Australia.

AWRE 2020: Calling for a national four bin system

AWRE 2020: Calling for a national four bin system

At AWRE 2020, CEO Vik Bansal participated in panels on the National State of Waste and Recycling Modernisation Fund where Vik called for consistent national bin standards and a container deposit scheme in every state

Industry Updates

December 10, 2020

Highlights

"It’s important that we clean up inputs to Material Recovery Facilities by ensuring a consistent national four bin system and a container deposit scheme in every state.” Vik Bansal

Tags: Events
Highlights

"It’s important that we clean up inputs to Material Recovery Facilities by ensuring a consistent national four bin system and a container deposit scheme in every state.” Vik Bansal

At the Australasian Waste and Recycling Expo virtual conference this month, Cleanaway CEO and Managing Director Vik Bansal reiterated Cleanaway’s support for the Government’s Recycling Modernisation Fund and explained the policy frameworks that must be in place before the benefits of the waste export ban can be fully realised.

“At all levels, the export bans are a good thing – socially, environmentally and economically. However, successful recycling policy comes down to three key factors – contamination, scale and logistics. It’s important that we clean up inputs to MRFs by ensuring a consistent national four bin system and a container deposit scheme in every state.” said Vik.

While Cleanaway has invested significantly in Material Recovery Facilities, the ability to scale our operations is impacted by the quality of material received.

Source separated recycling enabled through container deposit schemes and compliant use of four bin kerbside systems puts the responsibility on generators of waste to separate materials such as glass, plastic and cardboard at the point of disposal, which encourages a clean, high quality input of materials to sorting facilities.

While educating householders to put the right materials in the bin will still be necessary, Vik explained that having a policy framework in place through national bin standards is the first step to avoid mixed messaging and confusion.

Vik added that the industry’s ability to scale operations will be increased if infrastructure spend and procurement are linked so that the industry would know where the product was going and therefore where to invest.

Australasian Waste and Recycling Expo 2020
On day two of the conference, Cleanaway CEO and Managing Director Vik Bansal joined National Waste and Recycling Industry Council (NWRIC) CEO Rose Read and The Minister for the Environment Hon Sussan Ley MP in a discussion on the Recycling Modernisation Fund. The Fund is aimed to generate $600 million of recycling investment and drive a billion-dollar transformation of Australia’s waste and recycling capacity.

In the following session on the National State of Waste, Vik joined Assistant Minister for Waste Reduction and Environmental Management, The Hon Trevor Evans MP and other experts to discuss the impact of the waste export ban due to start 1 January 2022 and the new Recycling and Waste Reduction Bill.

Visit https://awre.com.au/whats-on/awre-2020-online-event/ for more information.

Contact us to learn more about how we’re making a sustainable future possible for communities and businesses across Australia.