Preventing and reducing marine plastic pollution requires a circular economy approach, covering all stages of the life cycle of plastics, including material extraction and refining, the design and manufacture of products, trade and retail, use and reuse, recycling, and final disposal.
This approach aims to keep plastics in the economy for as long as possible, reducing the need for new materials and deriving as much use and value as possible.
Adopting a plastic circular economy includes not only recycling or banning single-use plastic products, but also coordinated policy interventions at the upstream level, such as avoiding the use of harmful additives, developing viable alternatives, adopting business models that enable reuse and repair schemes, designing products with long lifetimes, necessary warranties, recyclability, and setting up source-segregated waste collection systems.
To accelerate such efforts, strong and continuous financial support is a crucial element. In Indonesia, the national government strives to assist local governments to enhance their capacity in waste management, but a lack of funding is a real challenge.
The average budget allocation for waste management in cities or districts is only 0.7% of the total budget, while the ideal proportion is about 4-5%. Local leaders should strongly consider increasing the budget allocation.
Furthermore, funding itself is not enough to make such a business model sustainable. Entrepreneurship is key to unlocking the value of plastics in the longer term, and it is important to effectively manage and use the funding.
‘If there is no entrepreneurship thinking, the funding, even if unlimited, will just run out at some point. It is better to hand over such a business model to the private sector, including recycling associations like the Indonesian Plastics Recycling Association (ADUPI) or Indonesian Plastics Recyclers (IPR), with incentive support from the government,’ said Ms Ariana Susanti, Business Development Director of the Indonesian Packaging Federation, during a talk show on circular economy in Bali last week.
Innovative start-ups are emerging in the fields of refill, recycling, and waste management, to administer entrepreneurship skills and take advantage of such opportunities.
‘In the past three years, there are about 145 start-ups adopting the circular economy to reduce or manage plastics,’ said Mr Ujang Solihin Sidik, Head of Producers Management Sub-Directorate of the Ministry of Environment and Forestry of Indonesia, at the same forum.
The benefits mean these start-ups are gradually applying concern and awareness of the circular economy to their business models.
‘Future businesses are businesses that are aware of the circular economy as a way forward for sustainability. By adopting a circular economy, they could experience business efficiencies, valuable branding images, and a greater chance to survive in future markets,’ he said.
Also read: Waste Reduction by Indonesian Producers: Opportunities and Challenges towards Sustainable Business
Communication Desk
Preventing and reducing marine plastic pollution requires a circular economy approach, covering all stages of the life cycle of plastics, including material extraction and refining, the design and manufacture of products, trade and retail, use and reuse, recycling, and final disposal.
This approach aims to keep plastics in the economy for as long as possible, reducing the need for new materials and deriving as much use and value as possible.
Adopting a plastic circular economy includes not only recycling or banning single-use plastic products, but also coordinated policy interventions at the upstream level, such as avoiding the use of harmful additives, developing viable alternatives, adopting business models that enable reuse and repair schemes, designing products with long lifetimes, necessary warranties, recyclability, and setting up source-segregated waste collection systems.
To accelerate such efforts, strong and continuous financial support is a crucial element. In Indonesia, the national government strives to assist local governments to enhance their capacity in waste management, but a lack of funding is a real challenge.
The average budget allocation for waste management in cities or districts is only 0.7% of the total budget, while the ideal proportion is about 4-5%. Local leaders should strongly consider increasing the budget allocation.
Furthermore, funding itself is not enough to make such a business model sustainable. Entrepreneurship is key to unlocking the value of plastics in the longer term, and it is important to effectively manage and use the funding.
‘If there is no entrepreneurship thinking, the funding, even if unlimited, will just run out at some point. It is better to hand over such a business model to the private sector, including recycling associations like the Indonesian Plastics Recycling Association (ADUPI) or Indonesian Plastics Recyclers (IPR), with incentive support from the government,’ said Ms Ariana Susanti, Business Development Director of the Indonesian Packaging Federation, during a talk show on circular economy in Bali last week.
Innovative start-ups are emerging in the fields of refill, recycling, and waste management, to administer entrepreneurship skills and take advantage of such opportunities.
‘In the past three years, there are about 145 start-ups adopting the circular economy to reduce or manage plastics,’ said Mr Ujang Solihin Sidik, Head of Producers Management Sub-Directorate of the Ministry of Environment and Forestry of Indonesia, at the same forum.
The benefits mean these start-ups are gradually applying concern and awareness of the circular economy to their business models.
‘Future businesses are businesses that are aware of the circular economy as a way forward for sustainability. By adopting a circular economy, they could experience business efficiencies, valuable branding images, and a greater chance to survive in future markets,’ he said.
Also read: Waste Reduction by Indonesian Producers: Opportunities and Challenges towards Sustainable Business
Communication Desk
