Cleanaway and Viva Energy explore circular soft plastics recycling solution

The proposed project seeks to convert these materials back into feedstock for food-grade plastic resin.

Cleanaway and Viva Energy have signed an agreement to jointly assess the feasibility of a circular recycling solution aimed at diverting soft plastics and other hard-to-recycle materials from landfill. The proposed project seeks to convert these materials back into feedstock for food-grade plastic resin, supporting sustainability goals and regulatory compliance within Australia's packaging sector.

The collaboration targets a growing demand from food manufacturers, packaging companies, households, and businesses for environmentally conscious waste management solutions. If implemented, the initiative could significantly reduce landfill contributions while fostering a closed-loop system for plastic reuse.

The feasibility study will explore the development of a facility that integrates a dedicated sorting and mechanical pre-treatment plant alongside an advanced chemical recycling unit. The latter would convert plastic waste into plastic pyrolysis oil (PPO), which can be processed at Viva Energy’s Geelong Refinery. The resulting recycled plastic resin would possess the same properties as virgin plastic, enabling its use in food-grade applications.

This potential facility aligns with the Australian Government’s upcoming recycling regulations, which are expected to come into force by the end of 2025. The proposed legislation includes mandatory obligations and a product stewardship scheme for soft plastics. Both companies see regulatory clarity as crucial for unlocking investment in infrastructure like this.