ACCC grants eight-year approval for Australia’s national soft plastics recycling initiative

AUSTRALIA – The Australian Competition and Consumer Commission (ACCC) has approved an eight-year authorisation for Soft Plastic Stewardship Australia (SPSA) and its industry partners to launch a nationwide voluntary scheme for collecting and recycling soft plastics. 

This decision, announced this week, allows collaboration among major retailers and brands such as Woolworths, Coles, Aldi, Nestlé, Mars, and McCormick Foods to recover items like shopping bags and food wrappers from waste streams.

SPSA, an independent not-for-profit organization formed in 2024, will manage the program under a shared-responsibility framework. 

Participating companies will contribute fees based on the volume of soft plastic packaging they produce, funding collection efforts, recycling processes, and the creation of end markets. 

The scheme expands existing in-store and kerbside trials, aiming to divert materials from landfills into reusable resources. 

iQRenew’s SPEC facility in New South Wales will serve as a central processing hub, handling up to 20,000 tonnes of soft plastics annually once fully operational.

Bill Heague, interim chair of SPSA, described the approval as a major advancement for waste management in the country. 

He stated that it enables industry to build a system reducing landfill use while fostering investments in processing technology. 

Heague added that the effort now shifts toward implementation, targeting a circular market where soft plastics gain higher value through coordinated efforts among producers, collectors, and recyclers.

Barry Cosier, co-CEO of SPSA, highlighted the program’s foundation in cross-sector partnerships built over several years. 

The initiative seeks to raise recycling rates for these materials, encourage infrastructure development, and support sustainable packaging designs. 

Cosier noted that it ensures collection volumes match available processing capacity, preventing buildup of unprocessed waste. 

He emphasized the regulatory clarity this provides for long-term commitments, potentially creating jobs in recycling operations.

The ACCC’s review centered on competition impacts, confirming the scheme would not harm market dynamics. 

Deputy chair Mick Keogh pointed out its potential to meet public expectations, as many residents seek options for handling soft plastic items currently limited in disposal paths. 

Keogh said the program would likely channel more waste away from landfills, delivering clear environmental gains.

To maintain accountability, the authorisation includes requirements for yearly performance reports to the public, independent board evaluations in the third and seventh years, at least two independent directors on the SPSA board, and prohibitions on exclusive processor deals.

Following the green light, SPSA plans to issue a Request for Information to attract supply chain partners for the rollout.

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