Two proposed recycling projects in New South Wales are set to divert over 12,000 tonnes of hard-to-recycle plastics from landfill annually, transforming them into valuable materials for local manufacturing.
These projects, supported by a $7.4 million government investment, are expected to accelerate the transition to a circular economy, create jobs, and address the state’s growing waste challenges, according to a joint announcement made today by Federal Minister for the Environment and Water, Tanya Plibersek, and NSW Minister for Climate Change and the Environment, Penny Sharpe
Sicut Enterprises will receive $5 million to establish Australia’s first commercial composite sleeper production facility in north-west NSW. This facility will repurpose up to 8000 tonnes of coloured rigid and soft plastics annually, converting them into composite railway sleepers for Australian rail infrastructure. The project is set to support 30 ongoing and 10 construction jobs.
“Sicut is delighted to partner with the NSW and Commonwealth governments to bring the transformative impact we’ve had on railways across Europe and the USA to Australia’s rapidly growing circular economy,” said Thomas Staley, director of Sicut Australia. “This investment is a win for Australia’s railways, consumers, and the environment, reducing embodied carbon and deforestation while providing a sustainable use for plastic waste.”
Close the Loop has been awarded $2.35 million to establish an advanced mechanical recycling facility in south-west NSW. This facility will process 4400 tonnes of mixed post-consumer soft plastics each year into plastic pellets, which can be used to manufacture items such as bins, crates, and the engineered asphalt additive TonerPlas.
“TonerPlas has been used in major projects like the M80 Freeway Upgrade in Victoria, and we’re thrilled to expand the model into NSW with the support of the RMF,” said Steve Morriss, head of Circular Economy at Close the Loop. “This grant will enable us to manufacture TonerPlas in NSW, using soft plastics waste and creating jobs across the state.”
The projects are part of the Recycling Modernisation Fund Plastics Technology Stream, a $60-million initiative aimed at increasing recycling and recovery rates for hard-to-recycle plastics. With co-investment from states, territories, and industry, the Recycling Modernisation Fund is injecting $1 billion into Australia’s recycling capacity.
Tanya Plibersek said, “This funding is supporting new recycling infrastructure, helping to solve challenges with plastic waste and stop plastics from going to landfill. This is great for the environment and the economy. For every job in landfill, there are three jobs in recycling.”
Penny Sharpe said, “Close the Loop and Sicut are leading the charge in transforming the recycling industry in NSW, demonstrating innovative solutions to cut back on plastic waste. These facilities will boost recovery and recycling rates, allowing plastics to be recirculated into the economy in a sustainable way.”
These investments arrive at a critical time, as Greater Sydney’s landfill capacity is projected to run out by 2030. The government says the new facilities will not only address waste challenges but also enhance Australia’s reputation as a leader in sustainable innovation. With advanced technology and local collaboration, NSW is poised to set a benchmark in recycling and resource recovery.
