Complex and costly: How retailers are moving away from single-use plastics

The Australian retail scene is currently undergoing a significant transition away from single-use plastics.

This transition has been guided by state and territory governments which have introduced various regulations to address the issue, as aligned with 2025 national waste and packaging targets. However, as yet there isn’t a federal regulatory framework – rather, it’s being approached on a state-by-state basis.

For instance, Western Australia has already banned various items, such as plastic shopping bags with handles, disposable plastic utensils, and certain types of disposable foodware items, subject to certain exemptions. Additional regulations are expected to be introduced in the coming year.

Conversely, Tasmania has recently prohibited lightweight plastic bags and is yet to establish a clear timeline for the phase-out of other single-use plastics. State and territory frameworks are outlined by the Australian Retailers Association (ARA).

So, how are retailers managing the speed and cost of this transition away from single-use plastics, and how can they dispose of their existing, unusable stock safely?

State vs national framework

According to ARA CEO Paul Zahra, reducing the reliance on plastic pollution is of the utmost importance, and addressing these challenges is a top priority for the retail sector.

This comes amid 2022 data from the Department of Climate Change, Energy, The Environment and Water, which showed that 3,791,000 tonnes of plastics were consumed in Australia, while 2,646,7000 tonnes reached end of life in the country.

Further, according to a 2022 Inside Retail and Klarna report, 71 per cent of consumers believe that brands have a responsibility to make a positive change in the world, while 68 per cent demand that they act as leaders in driving positive social and environmental change.

Retailers face increasing pressure to report their practices accurately and transparently, with a recent study revealing that 85 per cent of Australians express scepticism toward the social and environmental claims made by companies. This challenge is further compounded by the growing issue of greenwashing.

While Zahra said that he was proud of the work done by Australian retailers as part of this transition, he said that the lack of a federal framework adds to the challenges faced by the industry.

“Dealing with eight different jurisdictions, who are all taking a different approach, has been problematic for our national members, making the change complex and costly to manage,” he said.

“We would like to see national consistency and a mutually agreed timeline that everyone can operate within.”

He believes that the transition is occurring at a sufficient pace, given it is at the mercy of complicated, state-by-state regulations.

“Many retailers would likely agree that we could have transitioned away from single-use plastics much faster if we had a national framework,” Zahra added.

Time to prepare

However, banning items alone may not change the attitudes that support a “throwaway culture,” especially if it is not reinforced with supporting measures, or isn’t treated as part of a broader phase-out process, according to the authors of an article in The Conversation.

Authors Antaya March, Steve Fletcher and Tegan Evans cited a review of the Global Plastics Policy Centre, which identified three primary factors that would help to reduce the global reliance on single-use plastics.

These include making it easier for businesses to source affordable alternatives to single-use plastics, introducing a “phased approach” to bans, and keeping the public in the loop as to why a ban is needed.

Meanwhile, Zahra explained that if retailers have insufficient time to run down their existing stock of single-use plastics, unintended environmental consequences could follow.

He noted that retailers typically require a three-month process to phase out unusable stock. However, in the ACT, they were only provided with one month’s notice to do so.

“It is important that jurisdictions give retailers enough notice ahead of bans, so that they have sufficient opportunity to run down current stock levels, design, acquire and test safe alternatives to single-use plastics,” he said.

“Without sufficient time to prepare for these bans, [an] unintended consequence is that a lot of single-use plastics can end up in landfill, which has environmental and financial ramifications – and negates the very purpose of the bans.”

He pointed to community organisations and social enterprises – such as Great Plastic Rescue – which is undertaking vital work to recover non-compliant plastics from landfill and give them a second life.

However, he believes that relying on these organisations should be seen as a last resort.

Managing costs and educating customers

Managing the costs of transitioning away from single-use plastics is a significant undertaking for retailers.

According to Zahra, retailers should consider preparing ahead of time, conduct an assessment of inventory and determine the costs of alternative products.

He added that Coles and Woolworths have empowered consumers as part of this transition – encouraging them to bring and reuse their own bags, and introducing new lines which encourage shoppers not to use plastic where possible.

“Encouraging customers – where possible – to consider avoiding single-use utensils at takeaway venues is also a good approach. We’ve seen an increase in the opt-in approach, so customers only receive single-use utensils when necessary.”

“A lot of packaging also now comes with the Australasian Recycling Label, which is [also] helpful in educating and reminding customers when they can avoid sending their waste to landfill.”  

Sustainability outcomes

Zahra added that transparency is crucial in transitioning away from single-use plastics – especially when it can lead to a modest price increase for customers.

He stressed that clear communication would help them understand what’s involved in the transition.

“Using credible certifications and labels on reusable products goes a long way in enhancing sustainability outcomes,” he said.

“Recyclable material only has environmental benefits when customers are aware they’re meant for recycling – otherwise they still end up in landfill.”

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