Pact Group today welcomed the Federal Government’s announcement of the new Recycling Modernising Fund, launched to progress the development of recycling resource infrastructure in Australia.
The fund, which was announced by the Minister of the Environment, Susan Ley MP, and Assistant Minister for Waste Reduction and Environmental Management, Trevor Evans MP, will see the Federal Government commit $190 million in investment to strengthen Australia’s recycling and processing capability and help strengthen the local circular economy. The announcement outlined that the $190 million commitment from the Federal Government will be matched by a further $190 million contribution from state governments with the recycling industry expected to invest an additional $200 million. Additionally, the Federal Government has committed $35 million to fund a national waste plan and $25 million to address national waste data and a greater focus on outcomes.
Pact Group Managing Director and CEO, Mr Sanjay Dayal, joined the Ministers this morning in the announcement of the Recycling Modernisation Fund. Speaking at the event, he outlined the importance of this initiative in bringing government and industry stakeholders together and the significant economic and employment opportunities that would be unlocked by advancing Australia’s domestic recycling industry.
Commenting on the announcement – Pact MD and Group CEO Sanjay Dayal said “Pact announced in February our commitment to invest $500M in building a local circular economy in partnership with industry and government. This is exactly the kind of support that we have been seeking. We look forward to working with both state and Federal Government to build the recycling infrastructure that Australia desperately needs”.
This announcement follows the commitment made by Pact Group earlier this year, pledging to invest $500 million to progress Australia’s sustainable manufacturing capabilities and circular economy over the next five years. This will see Pact strive for the inclusion of 30% recycled content across its packaging portfolio, eliminate all non-recyclable packaging it produces, and increase reusable secondary packaging in supermarkets. In addition to the proposed recycling plants, Pact has identified $50M of investment to upgrade their Australian manufacturing platform to enable the inclusion of recycled content in food and industrial packaging.
On hearing the recent announcement Raphael Geminder, Chairman of Pact Group said “Australians are some of the best recyclers in the world and our country is well positioned towards a world class circular economy. I am personally delighted by the Government’s bold leadership on sustainability. It feels like the recycling industry has finally matured and this material boost in the funding and building of recycling infrastructure, will enable many businesses to fast track investment, in scaled solutions that address Australia’s waste problems and significantly boost employment in the sector”.
As part of its existing commitment, Pact has been discussing and working on a number of initiatives with state governments to identify ways to co-create new circular economy solutions that will deliver local jobs, bolster the domestic manufacturing industry and deliver smarter solutions for plastic waste and recycled packaging in Australia.
Earlier this year, Pact Group announced its intention to jointly develop a plastic pelletising facility in Albury alongside, Cleanaway and Asahi Beverages. This facility is designed to contribute to a circular economy and is supported by a grant from the NSW Government’s Waste Less, Recycle More initiative.
These initiatives sit within Pact Group’s aspirational targets as part of its 2025 End of Waste Strategy:
• By 2025 Pact Group will eliminate all non-recyclable packaging that it produces.
• By 2025 Pact Group will have solutions to reduce, reuse and recycle all single use secondary packaging in supermarkets.
• By 2025 Pact Group will offer 30 per cent recycled content across its packaging portfolio.
Achievement of these targets will help to substantially reduce, and potentially eliminate, non-recyclable packaging as well as virgin plastic items, helping to position Australia as the destination for recovered materials, which can be recycled and reused.