Toward a sustainable future: Public-private collaboration for a circular economy

The Philippines faces a growing plastic waste crisis, underscoring the urgent need for massive systemic change. Latest data shows that the country is estimated to produce 60 billion plastic sachets a year, thereby exacerbating environmental degradation and economic losses with reliance on single-use plastics.

However, amidst this bleak scenario and reality, there lies an opportunity worthy of everyone’s support — that of a circular economy where waste is turned into value and different sectors and industries implement collaborative efforts towards charting a more sustainable future — one that helps solve the waste problem in the country. Any initiative to arrest the waste problem involves recognizing that the plastic waste problem is one that cannot be addressed by a single entity alone. There must be an integrated effort among public institutions, private companies, and community stakeholders.

A shining example of a collaborative initiative is what was highlighted during the Philippine National Recycling Conference, co-organized by the Department of Environment and Natural Resources (DENR) and Nestlé Philippines. This landmark event brought to the fore the importance of a robust recycling value chain that manages existing gaps and integrates novel solutions.

THE CASE FOR PPPS
More and more stakeholders are realizing and recognizing that Public-Private Partnerships (PPPs) are not just a convenience, they have become “a must” — in addressing and managing plastic wastes of the country. Kudos to the DENR for pushing for and championing the Extended Producer Responsibility (EPR) Act of 2022, which requires producers to look after their plastic packaging beyond the consumer stage. But the success of this law relies heavily on the private sector, which will have to play more significant and aggressive roles in achieving the gargantuan task of managing the worsening level of garbage in the Philippines.

Commendably, companies such as Nestlé Philippines have started to take the lead by launching recovery and recycling programs and pushing for the EPR law. Their efforts in introducing circular solutions, such as piloting food-grade recycled packaging, show the potential of private enterprise in driving innovation. Nestlé’s initiatives, including multi-sectoral collaborations, highlight how industry leadership can spearhead systemic change.

These contributions, however, should be viewed as a starting point rather than the end. More businesses should join the efforts in helping effect systemic change. We cannot also overemphasize that equally important in solving this problem is the involvement and proactive participation of local government units and civil society. Shared collaboration can cover gaps in terms of implementation of policies, infrastructure, and public information dissemination.

BUILDING A CIRCULAR ECONOMY
Building a circular economy ensures lower waste volumes but some of the major challenges in achieving this include the inadequate recycling infrastructure, limited consumer awareness, and the fragmentation of waste collection systems.

Hence, there is a need for key investments in waste management infrastructure: Material Recovery Facilities (MRFs) and recycling plants must be modernized for flexibility in plastics processing towards the production of food-grade material. Data show that current facilities serve less than 40% of towns, which leave millions of Filipinos without access to effective recycling systems. Experts have argued that the inclusion of waste infrastructure in the government’s flagship projects can help bridge this gap. They said the Philippines can ensure sustained progress in addressing plastic waste by giving priority to circular infrastructure under national economic strategies. This is a challenge for government planners and national budget executives.

EMPOWERING THE INFORMAL SECTOR
A critical component in managing the waste problem in the country is the integration of the so-called informal waste sector into the formal economy. For one, waste pickers, who contribute significantly to recycling rates, often lack stable incomes and protections. When we transition these workers into wage-earning roles, they can enhance their livelihoods while at the same time bolster waste recovery efforts. Crucial in this endeavor are public-private initiatives to ensure fair wages, legal protections, and improved working conditions.

When we institutionalize the role of waste pickers, the Philippines will be able to address two major problems simultaneously: the inefficiency of the current systems of collecting waste and the socio-economic problems of informal workers. Local government units, in collaboration and partnership with private companies and businesses, can create structured waste management programs that encourage flexible packaging recovery. This not only empowers the marginalized but also strengthens the recycling value chain.

POLICY AND INNOVATION AS CATALYSTS
There is also a need for policy interventions that go hand-in-hand with infrastructure development. For example, simplifying bureaucratic processes and providing tax incentives can attract investments in recycling and other waste management technologies. Moreover, encouraging research into sustainable packaging alternatives, such as mono-material or biodegradable options, is becoming more essential in reducing reliance on sachets and other flexible plastics.

Based on provisions of the EPR Act, companies must recover a huge percentage of their plastic footprint. However, due to a lack of awareness and some logistical hurdles, the compliance rate has been quite uneven. To accelerate the move towards a circular future, there is a need to streamline regulatory frameworks, improve data on waste generation, and enforce transparency.

Consequently, any effort to arrest the growing waste problem in the country needs serious consumer engagement. For instance, a public awareness campaign can educate the households, including on segregation and circular economy principles. “No segregation, no collection” community-led actions can be brought about within every household, developing recycling skills at the grassroots level. All these can be complemented and supplement by educational programs at schools aimed at developing environmental responsibility among the young, ensuring that future generation of consumers understand the ill-effects of waste in their daily lives and therefore value the importance of circular economy and sustainability.

INNOVATION AND TECHNOLOGY
Technological innovation is important in attaining circularity. In that respect, investment in chemical recycling facilities can sort the challenge of processing flexible plastics, which are so difficult to recycle currently. These plants will be able to deliver food-grade recycled materials, meaning safety and quality standards will not be compromised.

On the other hand, digital tools can optimize waste collection and processing systems. Some of the technologies include the use of Radio Frequency Identification (RFID) tracking waste flows and AI-powered sorting machines that improve the efficiency of MRFs. The technology will not only increase the ability to operate but also reduce costs in the long term.

SHARED RESPONSIBILITY
All sectors must commit to the journey toward a circular economy. Public institutions must create enabling environments through policy support and funding. The private sector must step up with innovation and investment. Communities must actively participate in recycling and waste management initiatives.

It speaks volumes of the power of private sector leadership that Nestlé Philippines is co-organizing the recycling conference and continuing its efforts on circular solutions. However, this should also be scaled up in terms of industry and regions. This needs to be across all stakeholders: from local governments and NGOs to consumers and multinational corporations.

This shared responsibility extends beyond borders. The Philippines can draw inspiration from global best practices, such as Australia’s initiative to create soft plastic packaging from recycled materials. The country can adapt these models to its local contexts to accelerate the transition to circularity.

THE ROAD AHEAD
Challenges abound, but so do opportunities. Moving towards a circular economy could unlock billions in economic value and significantly reduce the country’s environmental footprint. More importantly, it presents an opportunity to redefine our relationship with resources: sustainability and long-term resilience should be the new norm.

The public-private partnerships will be the bedrock of progress for the country as it begins this process. Trust will be generated, resources shared, and goals harmonized to produce a homogeneous ecosystem that is focused on innovativeness and inclusiveness.

The transformation will not happen overnight, but the foundation is already in place. The Philippine National Recycling Conference has set the stage for meaningful action, providing a roadmap for future initiatives. In moving forward, momentum needs to be maintained with successful programs scaled up and persistent gaps addressed.

This is through the creation of public-private partnerships, infrastructure investment, and community empowerment. Thus, the Philippines can set itself up as a leader in circular solutions. This shared endeavor is not merely for waste management; it is creating a future where economic growth and environmental stewardship walk hand in hand.

A CALL TO ACTION
The time to act is now. As we look forward, let us remember that sustainability is not a solitary effort but a shared responsibility. Together, we can build a waste-free Philippines — one that serves as a beacon of innovation and collaboration for the rest of the world.

Through embracing circular principles and decisive action, the Philippines can turn a crisis over waste management into an opportunity for growth, resilience, and sustainability. The journey ahead will be arduous; yet, with unity and determination, it is worth it.