Advanced recycling offers a unique potential solution to the problem of plastic waste. Conventional mechanical recycling is limited by technological and logistical issues, particularly the inability to process plastic waste contaminated by food or oil residue. Mechanical recycling is also not designed to recycle the millions of tons of flexible plastics (e.g., shopping bags and plastic films) generated each year, which means those plastic products must be sent to landfills. Existing recycling initiatives have shown promise, but not at the scale required to meaningfully reduce the amount of plastic waste that ends up in landfills.
A distinct advantage of advanced recycling over mechanical recycling is that, through chemical processes like pyrolysis, advanced recycling facilities can reduce plastics down to the molecular level. This means that a broader range of plastics, including flexible plastics, can be recycled at advanced recycling facilities compared to mechanical ones. Advanced recycling facilities are complementary to existing mechanical recycling facilities: together, both types of facilities form an “all-of-the-above” solution to recycling plastic waste.
In addition to broadening the types of plastic materials that can be recycled, advanced recycling expands the geographical extent of recycling efforts. Advanced recycling technology can be added to oil refineries, integrating plastic waste into their processes as a feedstock. Many existing oil refineries are located in states that historically have had low recycling rates, such as Louisiana, which currently has an estimated total plastic recycling rate of just 6%.
Advanced recycling could deliver economic benefits to municipalities beyond the benefits of plastic waste diversion. Landfills charge a “tipping fee” per ton of waste collected. Because recycling diverts plastic waste away from landfills, advanced recycling could save between $230 million and $328 million in tipping fees per year for municipalities across the U.S. For example, Los Angeles County, CA, could save between $3 to $6 million in tipping fees while Harris County, TX, could save up to $22 million.
Despite the potential environmental and economic benefits of advanced recycling technology, the advanced recycling industry lacks the regulatory framework necessary for a robust market for plastic waste to form. Absent strong economic incentives to collect, sort, and transport waste to advanced recycling facilities, the scale of the industry and its realized benefits will be constrained.